Business associates of Rudy Giuliani, seeking to profit from fuel sales to Ukraine, tried to leverage American influence to replace the CEO of the country’s state-owned natural gas company, two people with knowledge of their plans told the AP.
But the effort to install a friendlier management team at the helm of the gas company, Naftogaz, would soon be taken up with Ukraine’s new president by U.S. Energy Secretary Rick Perry, whose slate of candidates included a fellow Texan who is one of Perry’s past political donors.
While it’s unclear whether Trump’s remark Friday referred specifically to the behind-the-scenes maneuvers this spring involving the multibillion-dollar state gas company, The Associated Press has interviewed four people with direct knowledge of the attempts to influence Naftogaz, and their accounts show Perry playing a key role in the effort. Three of the four spoke on condition of anonymity for fear of retaliation.
Parnas and Fruman have made hundreds of thousands of dollars in political donations to Republicans, including $325,000 to a Trump-allied political action committee in 2018. This helped the relatively unknown entrepreneurs gain access to top levels of the Republican Party — including meetings with Trump at the White House and Mar-a-Lago.
Going back to the Obama administration, the U.S. Energy Department and the State Department have long supported efforts to import American natural gas into Ukraine to reduce the country’s dependence on Russia. A second person who spoke on condition of anonymity also confirmed to the AP that Favorov had recounted details of the Houston meeting to him.
She is now listed as the CEO of 45 Energy Group, a Houston-based energy company whose website describes it as a “government relations, public affairs and business development practice group.” As part of their impeachment inquiry, House Democrats have subpoenaed Giuliani for documents and communications related to dozens of people, including Favorov, Parnas, Fruman and Baumgardner’s 45 Energy Group.
John Dowd, a former Trump attorney who now represents Parnas and Fruman, said it was actually the Naftogaz executives who approached his clients about making a deal. He says they then met with Rick Perry to get the Energy Department on board. Perry’s push for Ukraine’s state-owned natural gas company Naftogaz to change its supervisory board was first reported by Politico.
U.S. Energy Department spokeswoman Shaylyn Hynes said Perry had consistently called for the modernization of Ukraine’s business and energy sector in an effort to create an environment that will incentivize Western companies to do business there. She said Perry delivered that same message in the May meeting with Zelenskiy.
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