NEWSLINK: Putin dismisses defense minister after scandal

(Putin dismisses defense minister after scandal – Reuters – Thomas Grove – November 6, 2012 – http://www.reuters.com/article/2012/11/06/us-russia-defence-idUSBRE8A50A820121106)

Reuters covers Russian President Vladimir Putin’s sacking of defense minister Anatoly Serdyukov after a multi-million dollar corruption scandal.  Putin replaced Serdyukov with former emergencies minister Sergei Shoigu, who has enjoyed a strong  public approval rating:

Putin’s announcement made at a meeting with Shoigu appeared designed to show he will crack down on high-level corruption in his new, six-year presidential term.

“Taking into consideration the situation around the Defense Ministry, in order to create conditions for an objective investigation into all matters, I have decided to free Defense Minister Serdyukov of his post,” Putin said, sitting across the table from Shoigu at a state residence outside Moscow.

The defense minister wields immense power in Russia, channeling billions of dollars every year through the country’s powerful defense industry, the second largest arms exporter in the world. Putin has promised to spend 23 trillion roubles ($726.30 billion) on the military by the end of the decade.

Serdyukov was tainted by a scandal involving a defense ministry-related company, and questions over his relationship with a female official:

Russian investigators raided the offices of Defense Ministry firm Oboronservis last month and opened an investigation into the company on suspicion that it had sold assets to commercial firms at a loss of nearly $100 million.

The investigation also raised questions about Serdyukov’s relationship with a former top female military bureaucrat, whose apartment was found to contain dozens of expensive paintings, rare antiques and more than 100 valuable rings.

A Russian tabloid newspaper with connections with the country’s security personnel reported that Serdyukov was in the apartment as well when the raid began.

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