A drugmaker named in an alleged corruption scandal in Cyprus has denied making any political donations to the country’s president to protect a Russian businessman from EU sanctions.

Cyprus has been plunged into political turmoil just as it assumed the leadership of the Council of the EU, a role which is crucial to the bloc’s political functioning. It is now having to defend itself against allegations senior officials accepted cash to help companies avoid sanctions as well as to bypass campaign spending caps.

In a video released on X last week, Cypriot former energy minister Giorgos Lakkotrypis is apparently seen claiming that Remedica, a Limassol-based generics firm, had paid €75,000 to President Nikos Christodoulides so that he would speak in support of Andrei Kosogov.

Kosogov is a co-founder of LetterOne, Remedica’s parent company. Two other Russian businessmen at LetterOne have already been sanctioned: Mikhail Fridman and Petr Aven, also co-founders, were sanctioned by the EU and U.K. in March 2022.

“Remedica has not engaged in any discussions with the Cypriot government regarding concerns about EU sanctions related to individuals associated with LetterOne,” the generics firm said, adding: “Neither LetterOne nor Remedica have made any political donations to President Christodoulides’ administration.”

The government has denied the allegations made in the video and calls it “hybrid activity” aimed at harming “the image of the government and the country.” Investigators are examining whether the X video was from a sting operation by people posing as investors, reported Phile News.

Kosogov is not named on the EU sanctions list. There is no record in any public debates or meetings’ minutes at the European Commission, Parliament or Council of officials discussing Kosogov with regard to a possible EU sanction; his name is mentioned only in a June 2025 EU court judgement regarding another sanctioned individual, German Khan, who transferred ownership of his stakes in LetterOne and Russia’s Alfa Bank to Kosogov.

Renew MEP Sandro Gozi has written to the Commission asking which position Cyprus took during discussions on the possible inclusion of Kosogov on the sanctions list and “whether representations were made in his favour” by Cypriot representatives, reported Cyprus Mail.

In July 2025, Remedica donated €75,000 to the Cypriot government to support “wildfire relief efforts” in Cyprus.

“LetterOne did respond to Cyprus’ public call for support for those affected by last year’s devastating wildfires, which also impacted Remedica employees,” Remedica told POLITICO.

Asked if this was something the company would usually do, Remedica said that it had also provided “in-kind support during times of national need,” including donating ten new ventilators to the State Health Services Organisation in October 2020, to support the country’s health care system during the Covid-19 pandemic.

“LetterOne has made similar donations in other markets where natural disasters have had an impact on staff in Portfolio companies — for example, the terrible flooding in Valencia, Spain, (where LetterOne has a substantial interest in Dia Supermarkets),” Remedica added.