**Global Money Laundering Scheme Dismantled**
The United Kingdom’s National Crime Agency (NCA) has announced the dismantling of a massive money laundering scheme. The operation, which spanned over 30 countries, allowed criminal networks to evade sanctions using cryptocurrency.
According to investigators, two companies, Smart Group and TGR Group, served as financial hubs for various transnational criminal organizations. Funds were laundered to allow Russian espionage networks and oligarchs to invest in the UK, despite sanctions. The operation used a US dollar-backed cryptocurrency called Tether to launder money.
The investigation, which led to 84 arrests and £20 million in seized assets, was the most significant money laundering operation undertaken by the NCA. New sanctions were announced on five individuals and four entities associated with TGR Group.
**Russia’s Sanctions Evasion**
Russia has been using sanctions evasion networks and shell companies to avoid financial restrictions since its invasion of Ukraine. Despite efforts to cut off Russia from Western allies, the country continues to find ways to circumvent sanctions.
The use of cryptocurrency like Tether has become a key tool for Russian oligarchs and spies to launder money. The operation was not just limited to London, but also involved Moscow and Dubai.
**Investigation Details**
Rob Jones, NCA director-general of operations, said that the investigation was a major success. He added that the operation had been complex and involved many different countries.
The two companies at the center of the scheme were Smart Group and TGR Group. They were accused of serving as financial hubs for various transnational criminal organizations, including Russian ransomware groups and the Irish Kinahan cartel.
**Impact on Ukraine**
Russia’s use of sanctions evasion networks has been a major issue for Ukraine. The country has faced severe economic difficulties since the invasion, with the purchasing power of the Russian ruble hitting its lowest point since March 2022.
The economic toll of the full-scale invasion of Ukraine has become more glaring, and businesses are increasingly looking beyond diesel generators to fuel their operations during power cuts.