Estonian Defense Minister Resigns Over 70 Million Euro Waste of Ukraine Aid

Estonia's Minister of Defense Hanno Pevkur has announced his resignation after it emerged that his ministry transferred 70 million euros of EU funds intended for Ukraine to companies that had never previously sold an artillery shell.

Estonian public broadcaster ERR revealed that the government struck a deal in 2024 to purchase artillery shells for Ukraine, paying 70 million euros upfront from the EU's European Peace Facility. The companies involved, including an Indian firm, had never before delivered this type of military equipment. Estonia is now challenging the contracts at the European Court of Arbitration in Strasbourg.

Pevkur, who has been Defense Minister since 2022, announced his departure at Estonian broadcaster ETV. He said he must take political responsibility for everything that happens within his ministry, even though he was not personally involved in the details.

"Although the minister does not count socks and ammunition and does not conduct contract negotiations, the criticism from the Audit Office - primarily aimed at the performance of the Defense Forces and the Center for Defense Investments - raises the question of political responsibility," Pevkur stated.

Estonia's National Audit Office criticized the country's defense spending last month, including investments by the armed forces. Questions were also raised about the Estonian Center for Defense Investments, the army's procurement office.

Regarding the controversial shell contracts, Pevkur said he had never read them, claiming it is not customary for a defense minister to deal with the details of individual procurement deals.

A European Commission spokesperson said Brussels is in contact with Estonian authorities to investigate whether Estonia should repay the 70 million euros.

Pevkur's departure follows that of Latvia's Defense Minister Andris Spruds, who resigned in May after a similar scandal.