Russian nationals detained in Georgia for smuggling, illicit virtual asset trades PHOTO

In a coordinated operation, the Investigation Service of the Georgian Ministry of Finance, working alongside the Georgian Prosecutor General’s Office, apprehended five Russian citizens in connection with a large-scale case involving illegal business activities and money laundering through virtual asset transactions.

According to official statements released during a briefing by the Investigation Service, the suspects are implicated in operating a company that provided virtual asset services without the requisite registration or authorization from the National Bank of Georgia. The company reportedly engaged in offering unauthorized office services alongside the so-called “courier” services, facilitating illicit financial operations, Caliber.Az reports.

Over the past several months, the investigation revealed that the entity conducted virtual asset transactions amounting to hundreds of millions of Georgian lari. These activities constituted uncontrolled international financial dealings within Georgian territory, circumventing established regulatory frameworks.

Further scrutiny uncovered a sophisticated scheme in which the Russian nationals allegedly smuggled substantial sums of foreign currency into Georgia via automobiles, bypassing border controls. The illicit cash was then used to purchase virtual assets, effectively legitimizing illegally acquired funds. Notably, neither the implicated company nor the individuals involved were registered taxpayers, underscoring the illicit nature of the operations.

During subsequent investigative raids at multiple locations in Tbilisi, authorities seized a total of $721,000 in cash—comprising $371,000, along with accounting records, documentation, and computer equipment from the company’s office; $100,000 earmarked for virtual asset purchases from a private individual; and an additional $250,000 recovered from vehicles bearing Russian registration plates.

By Vafa Guliyeva