The SBU blocked a large-scale illegal sale of counterfeit cigarettes and alcohol in Dnipropetrovsk and Donetsk regions. The money turnover amounted to over UAH 10 m (USD 357,143) per month.

According to intelligence the smugglers imported goods manufactured in DNR and in a neighboring country. Moreover, the operatives established that some of the goods, in particular cigarettes, were of unknown origin. The offenders smuggled the counterfeit goods from the temporarily occupied territory.

Allegedly, the illegal business was organized by five residents from Dnipropetrovsk and Donetsk regions. In general, the number of people involved in the fraud accounted to more than 20 individuals. To cover the illegal activities, the fraudsters used the details of several LLCs and sole proprietors. They sold illegal goods with counterfeit excise stamps via the retail network.

Within the open criminal proceedings, law enforcement officers conducted more than 20 searches of storing places of counterfeit goods, suspects’ places of work and residence in two regions of Ukraine. During the investigation, SBU officers seized over 250 boxes of 125,000 packs of cigarettes, more than 1,000 bottles of counterfeit alcohol, drafts and UAH 500,000 (USD 17,858) in cash.

The total value of the seized goods was over UAH 10 m (USD 357,143).

The criminal proceedings were opened for making, storage, purchase, transportation, mailing, or bringing into Ukraine for selling purposes or sale of counterfeit money, government securities or state lottery tickets of counterfeit Ukrainian currency and unlawful manufacturing, storage, sale or transportation for selling purposes of excisable goods.

Investigation is ongoing. Information on the sale of counterfeit goods in other regions of Ukraine is being checked.

The operation was carried out by the SBU Main Directorate for Counterintelligence Protection of the State's Interests in Economic Security jointly with the SBU Office in Dnipropetrovsk region, the State Border Guard Service and the Main Investigation Department of the National Police under the supervision of the Prosecutor General's Office.