Over 630 million hryvnias in cash and searches across 16 regions: OGP and the BES have uncovered shadow financial network. PHOTOS
A large-scale underground financial network has been uncovered which, according to the investigation, operated throughout Ukraine and was used for tax evasion and money laundering. During more than 30 searches across 16 regions, law enforcement officers seized cash amounting to over 630 million hryvnias.
According to Censor.NET, this was reported by the Office of the Prosecutor General of Ukraine.
"The Office of the Prosecutor General, in conjunction with the Economic Security Bureau, has uncovered a large-scale underground financial network which, according to the investigation, was used for tax evasion and the laundering of criminally obtained funds. The network operated throughout Ukraine. Its members exchanged cash and digital assets, as well as transferring funds both within the country and abroad. The scheme’s participants referred to such transactions as ‘reallocations’," the statement reads.
The financial transactions were carried out without the necessary permits, and the income received was not recorded in the accounting or tax records.
Currency exchange outlets were used
The network operated from the premises of unlicensed currency exchange outlets operating under a well-known brand name. However, the necessary licences to carry out the relevant currency exchange transactions were not in place.
Under the guise of operating currency exchange offices, cash was also converted into digital assets in breach of the established requirements.
Over 30 searches carried out in 16 regions of Ukraine
As part of the criminal proceedings, over 30 searches were carried out in 16 regions of Ukraine. Law enforcement officers seized cash in various currencies, including Russian roubles, totalling over 630 million hryvnias in hryvnia equivalent. No documents confirming the lawful origin and proper accounting of these funds were provided during the investigative proceedings.
Computer equipment, mobile phones and draft documentation, which may contain information about the organisation and activities of the network, were also seized.
The pre-trial investigation is ongoing.
