Dec 05, 2024 17:20:00

The existence of an international money laundering network involving Russian elites, ransomware gangs, and British drug traffickers is exposed

The international investigation led by the UK's

National Crime Agency (NCA) , Operation Destabilise, has uncovered an international money laundering network that supports organised crime around the world. The NCA-coordinated investigation has already led to the arrest of 84 people involved, and the US Treasury Department's Office of Foreign Assets Control (OFAC) has imposed sanctions on individuals and organisations involved.

Operation Destabilise: NCA disrupts $multi-billion Russian money laundering networks with links to, drugs, ransomware and espionage, resulting in 84 arrests - National Crime Agency
https://www.nationalcrimeagency.gov.uk/news/operation-destabilise-nca-disrupts-multi-billion-russian-money-laundering-networks-with-links-to-drugs-ransomware-and-espionage-resulting-in-84-arrests

Treasury Exposes Money Laundering Network Using Digital Assets to Evade Sanctions | US Department of the Treasury
https://home.treasury.gov/news/press-releases/jy2735

Global investigation exposes alleged billion-dollar Russian money-laundering network | Business | The Guardian
https://www.theguardian.com/business/2024/dec/04/global-investigation-exposes-alleged-billion-dollar-russian-money-laundering-network

UK disrupts Russian money laundering networks used by ransomware
https://www.bleepingcomputer.com/news/security/uk-disrupts-russian-money-laundering-networks-used-by-ransomware/

Operation Destabilise is a multi-year international project involving the NCA, the US Federal Bureau of Investigation (FBI) , France's Central Directorate of Judicial Police (DNPJ) , and the Irish police (Garda) .

Operation Destabilise uncovered the existence of two Russian-speaking money laundering networks, Smart and TGR. These groups laundered cash and cryptocurrency for criminal organizations operating in the UK and Western countries. Criminal organizations that laundered money using Smart and TGR include the Kinahans, an Irish crime organization that traffics drugs and firearms around the world, including the UK.

'Operation Destabilise has exposed a billion dollar money laundering network operating in a way previously unknown to international law enforcement and regulators,' said NCA Director Rob Jones. 'For the first time we have been able to map the links between the Russian elite, crypto-rich cybercriminals and drug gangs on the UK's streets. The thread that connects them - the combination of Smart and TGR - was previously invisible.'

Smart and TGR also launder illegally obtained funds from Russian cybercriminals. Smart's leader, Ekaterina Zhdanova, is known to have laundered more than $2.3 million in cryptocurrency paid as ransom by victims of the Ryuk ransomware group in 2021.

In addition, Smart and TGR were used by Russian individuals and entities under Western sanctions to conduct economic activities in Western countries. TGR concealed the transfer of funds from

Russia Today , a Russian media outlet sanctioned by the UK, and indirectly supported the activities of Russian-language media in the UK. In addition, in 2022, it was reported that TGR transferred 2 million pounds (approximately 380 million yen) to the UK for Russian clients and purchased real estate while concealing the source of the funds.

The money laundering operation involved the use of cash transit networks spread across the UK, through which the group collected cash, laundered it and converted it into usable cryptocurrencies, etc. One cash transit network apparently delivered cash to 55 locations in the UK over a four-month period, laundering more than £15 million (approximately 2.86 billion yen) in cash.

According to the NCA, Operation Destabilise resulted in the arrest of 84 suspects involved in the money laundering network and the seizure of more than 20 million pounds (approximately 3.8 billion yen). OFAC also imposed sanctions on five individuals and related entities, including Ukrainian national George Rossi, who heads the TGR Group, and his direct subordinate, Russian national Elena Chirkinyan.

Nick Adams, head of economic crime at the UK's National Police Chiefs' Council (NPCC) , said, 'The networks disrupted in Operation Destabilise operated hidden from our view in our communities, moving huge amounts of money linked to drug trafficking and serious street violence. Money laundering causes immeasurable harm to the British people and deprives society of legitimate funds that should be paid for schools, hospitals and social care,' he said, and asserted that police will tackle these crimes.