Updated

Prosecutors are questioning former Ukrainian Prime Minister Yulia Tymoshenko about allegations she misspent $280 million during her time in office.

Tymoshenko stands accused of using money from the sale of carbon credits under the Kyoto protocol to pay pensions during a severe recession while serving as prime minister to the previous president, pro-Western Viktor Yushchenko.

She denies the charges, which she says are part of a campaign by new Kremlin-friendly President Viktor Yanukovych to sideline his opponents.

A spokesman for the Prosecutor General's Office, Yury Boichenko, says Tymoshenko was questioned Wednesday. She is charged with abuse of office, and if convicted faces a prison sentence of seven to 10 years.