Ukraine president replaces Donetsk governor with hardline general

Kiev (AFP) - Ukraine's president on Friday fired a millionaire businessman who failed to stop the advance of pro-Russian rebels while governor of war-torn Donetsk and replaced him with a hardline nationalist general.

Sergiy Taruta was one of several pro-Western tycoons put in charge of restless Russian-speaking provinces after the revolution that ousted a Kremlin-backed president in February.

The office of President Petro Poroshenko said Taruta has been replaced as Donetsk governor by former troop commander Oleksandr Kykhtenko.

Some analysts speculate the ex-general's appointment means Poroshenko is planning a tougher approach to dealings with the rebels and the Kremlin.

"Poroshenko now needs someone who can establish stability," said Kiev political analyst Volodymyr Fesenko.

"The oligarch failed. Now its the strongman's turn."

Taruta has faced a turbulent time in the governor's chair, having been booted out of his seat of power in Donetsk in April by rebels who proclaimed independence and allegiance to Russia.

The 59-year-old oil and metals magnate -- valued at $600 million (475 million euros) by Forbes magazine last year -- tried repeatedly to mediate an end to the conflict.

But he reportedly angered Poroshenko by criticising his decision to grant limited autonomy to the rebels in a ceasefire agreement last month.

Taruta demanded that martial law be proclaimed in Donetsk and the neighbouring rebel-run region of Lugansk -- a decision Poroshenko resisted because it would have automatically frozen the delivery of an urgent IMF rescue loan.

Various Kiev media speculated that Poroshenko made up his mind earlier this week when Taruta overstepped his authority by urging Russian President Vladimir Putin in a birthday greeting to halt his "artificial" war on Ukraine.

The Kremlin denies masterminding the conflict as payback for Ukraine's decision to leave Russia's orbit and tie its future to the West.

But Poroshenko has said he must keep his relations with Putin civil in order to stem bloodshed that has claimed 3,400 lives.

- Donetsk 'lost for decade' -

Kykhtenko will immediately be tasked with making sure the industrial province can safely open polling stations for October 26 general elections.

The rebels have vowed to disrupt the vote and intend to stage their own election next month. Kiev and its Western allies have denounced the move as illegitimate and in violation of the shaky September 5 peace deal.

Kykhtenko has developed a reputation as a respected commander who fought the endemic graft that brought the former Soviet state's once-proud armed forces to its knees.

His units were charged with protecting sensitive state facilities and fighting the mafia bosses who infiltrated the coal mines and steel mills that have been fuelling Ukraine's economy for more than a century.

The 58-year-old currently heads the parliamentary election list of a small nationalist party called Strength and Honour.

His party colleague Igor Smeshko was recently named the president's surveillance and intelligence adviser -- seen as another sign of Poroshenko trying to project an image of strength ahead of the election.

"Today, the region needs a military commander rather than an administrator," said political consultant Taras Berezovets.

"In my opinion, Ukraine has lost control over the area for the next five or 10 years, and now (Poroshenko) needs to make sure it does not turn into another Chechnya," he said in reference to a separatist southern region of Russia that remained lawless for nearly 20 years.