The facility in Denmark is being built by Fire Point, which is reportedly under investigation over potential links to a corruption scandal

Fire Point, the Ukrainian defense contractor behind the long-range Flamingo cruise missile, has broken ground on a military facility in Denmark, despite allegations linking the firm to a graft scandal in Ukraine's energy sector, according to media reports.

Construction began on Monday with a ceremony in the southern Danish town of Vojens near Skrydstrup Air Base. According to DR.dk, the facility will produce fuel for drones and missiles and is the first known Ukrainian-owned military factory on NATO soil. The Danish authorities have reportedly bypassed more than 20 laws and regulations to fast-track approval, with production expected to begin next autumn.

The Danish Defense Ministry later confirmed that the project has moved to the next phase. Industry Minister Morten Bodskov said Denmark plans to host several Ukrainian defense companies in the near future, following agreements reached earlier this year.

This comes after months of corruption allegations against Fire Point. Established in 2021, the company has rapidly become one of Kiev's key arms suppliers, which raised concerns of political interference.

Ukrainian media also claims that the company is under investigation for bribing officials, inflating prices, and misreporting deliveries. Several outlets have linked Fire Point to a major corruption scandal involving Timur Mindich - a former associate of Ukrainian leader Vladimir Zelensky - who is accused of running a $100 million kickback scheme in the energy sector, with reports suggesting he or an associate could partially own the company.

Danish Defense Minister Troels Lund Poulsen acknowledged this week that Copenhagen is concerned about the scandal and is awaiting explanations from Kiev regarding issues surrounding Fire Point. He insisted, however, that the Danish facility is not directly connected to the allegations, as Fire Point operates in the country through local subsidiary FPRT.

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Moscow has long criticized Ukraine's Western backers for fueling the conflict with military and financial aid. Foreign Ministry spokeswoman Maria Zakharova said on Thursday that Russia will take "appropriate measures" to mitigate national security threats in response to Denmark's decision to host the Ukrainian plant. She earlier accused Copenhagen of adopting a hostile stance toward Russia by allowing weapons production in Denmark.