SBU blocks major scheme of smuggling from occupied Donbas

The SBU Security Service of Ukraine says it has exposed, documented, and blocked a large-scale scheme of illegal goods supplies worth over UAH 300 million (US$10.7 million) from the temporarily occupied part of Luhansk region.

Perpetrators would use transit via Russia to hide traces of the products' real origin.

The scheme, which had operated from 2017 to 2020, involved industrial goods from production facilities located in Russian-occupied area of Luhansk region, being supplied to metallurgical and machine-building enterprises in government-controlled areas, the SBU press service wrote on its website on January 27.

"The culprits would ship products through uncontrolled sections of the Russian-Ukrainian border in the temporarily occupied territory. In Russia, they would replace or falsify paperwork for customs clearance and import goods into Ukraine under the guise of Russian-made products," the press service said.

SBU officers reported that the conspirators had converted the funds received into cash through a number of fictitious firms.

"Part of the money was sent to the territory temporarily beyond Ukraine's control to finance the occupying authorities of the so-called 'LPR' [Luhansk People's Republic] and illegal armed formations. During the investigation, SBU operatives at the customs checkpoint detained a truck carrying goods certified by forged paperwork, including certificates of origin," the report said.

Read alsoSBU busts Russian-controlled network of propaganda assetsLaw enforcers conducted raids in Zaporizhia, Kharkiv, Donetsk regions, and the city of Kyiv. Computer hardware, business and accounting documentation confirming the plot were seized, as well as almost UAH 2.5 million (US$88,810) in cash and counterfeit products worth nearly UAH 10 million (355,240).

Further pretrial investigation is underway.