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UK Cocaine Purchases Tied to Russian Arms Funding, NCA Warns
Buying cocaine in Britain on a Friday night may indirectly fund Russian arms factories, the National Crime Agency (NCA) has revealed. Investigators uncovered a sprawling money-laundering network linking street-level drug deals to Russia's military-industrial complex, with a UK-based syndicate purchasing a Kyrgyz bank to facilitate sanctions evasion.
Kyrgyz Bank Acquired to Bypass Sanctions
George Rossi, head of the TGR money-laundering network, acquired a 75% stake in Kyrgyzstan's Keremet Bank through his firm, Altair Holding SA, on Christmas Day 2024. The NCA found Keremet Bank was processing payments for Promsvyazbank (PSB), a Russian state-owned institution labeled a "sanctions evasion hub" by the U.S. Treasury. These transactions supported Russia's military production, including weapons used in the Ukraine war.
Sal Melki, the NCA's Deputy Director for Economic Crime, described the operation as a "vast criminal ecosystem" fueling global harm. "We can trace a direct line from a UK cocaine purchase to geopolitical conflicts causing worldwide suffering," he stated. "This isn't just a local transaction-it sustains serious crime and its far-reaching consequences."
Operation Destabilise Uncovers Billions in Dirty Money
Launched to dismantle the ransomware group Evil Corp, Operation Destabilise exposed two interconnected networks-TGR and Smart-laundering "billions of pounds" in illicit funds. These groups provided "full-spectrum" services, converting cash from drug traffickers and arms dealers into cryptocurrency. Investigators identified 28 UK towns and cities where the networks operated, embedding cash in businesses like construction or smuggling it abroad in household goods, including washing powder and baby formula.
Among those linked to the scheme are former Hibernian footballer James Keatings and associates of the Irish Kinahan cartel. Two convicted launderers, Valeriy Popovych and Vitaliy Lutsak, purchased UK vehicles, sold them in Ukraine for crypto, and moved an estimated £6.63 million between August 2022 and June 2023.
Couriers Targeted with Prison Warnings
The NCA has placed bilingual adverts in motorway service station toilets, warning couriers-who earn as little as 0.5% commission (£500 per £100,000 moved)-of five-year prison sentences. "You own all the risk," Melki cautioned. The ads, in Russian and English, declare: "Moving money for organised criminals might seem like easy work. But it ends with hard time."
"We're communicating directly in their language: the walls are closing in. We know who you are, and we're coming for you."
Sal Melki, NCA Deputy Director for Economic Crime
Links to Espionage and Wider Criminal Networks
The Smart network, led by Ekaterina Zhdanova (currently detained in France), allegedly financed a spy ring headed by Bulgarian Orlin Roussev, which tracked Russian adversaries across Europe. Zhdanova awaits trial for her role in the operation.
Melki emphasized the scale of the threat: "Laundering street cash is critical to sustaining serious crime in the UK. This isn't just about drugs-it's about funding global instability."
Support for Addiction
Those affected by addiction can seek help via BBC Action Line.
