Russian businessman held over $46bn money laundering scheme

By bne IntelliNews November 3, 2015

bne IntelliNews -

Russian law enforcement agencies have detained the alleged mastermind of a money laundering syndicate of 60 banks and 500 people said to be responsible for channelling some $46bn out of the country, Kommersant daily reported on November 3, citing unnamed sources.

Businessman Alexander Grigoryev, the former vice president of the Moscow Boxing Federation, is a co-owner of several bankrupt banks, including Zapadny, Transportny Doinvest, and Russian Land Bank, which together owe clients a total of more than RUB75bn ($1.19bn).

Currently Grigoryev is accused of two counts of large scale fraud amounting to RUB105bn ($1.67bn) and has demanded to be released on bail.

The newspaper claims that Grigoryev is accused of channelling prime assets out of banks about to be declared insolvent, as well as closing real estate deals on behalf of bankrupt credit institutions.

However, the biggest scheme he is accused of running includes over 60 small banks and about 500 individuals, constituting a money laundering and outflow operation with a record turnover of over RUB 1 trillion a year.

For comparison, Kommersant notes that to date, the largest busted laundering scheme in Russia, run by Sergey Magin, had a turnover of RUB169bn.

The scheme could involve Moldovan, Lithuanian, and Estonian banks servicing Russian and offshore shell firms that channelled money out of Russia under the pretence of issuing compensation for fake trade deals with local nationals.

According to the anti-money-laundering services of Moldova, in 2010-2013 alone Moldovan courts withdrew $18.5bn worth of compensation from Russian resident firms, which in reality was a cover-up for illegal capital flight.

The businessman allegedly paid a RUB300mn bribe to an unnamed high-level official to avoid detention but to no avail.

Related Articles

Drum rolls in the great disappearing act of Russia's banks

Jason Corcoran in Moscow - Russian banks are disappearing at the fastest rate ever as the country's deepening recession makes it easier for the central bank to expose money laundering, dodgy lending ... more

Kremlin: No evidence in Olympic doping allegations against Russia

bne IntelliNews - The Kremlin supported by national sports authorities has brushed aside "groundless" allegations of a mass doping scam involving Russian athletes after the World Anti-Doping Agency ... more

PROFILE: Day of reckoning comes for eccentric owner of Russian bank Uralsib

Jason Corcoran in Moscow - Revelations and mysticism may have been the stock-in-trade of Nikolai Tsvetkov’s management style, but ultimately they didn’t help him to hold on to his ... more

Register here to continue reading this article and 2 more for free or purchase 12 months full website access including the bne Magazine for just $119/year.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

Thank you. Please complete your registration by confirming your email address.
A confirmation email has been sent to the email address you provided.

To continue viewing our content you need to complete the registration process.

Please look for an email that was sent to with the subject line "Confirmation bne IntelliNews access". This email will have instructions on how to complete registration process. Please check in your "Junk" folder in case this communication was misdirected in your email system.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

If you have any questions please contact us at

Subscribe to bne IntelliNews website and magazine

Subscribe to bne IntelliNews website and monthly magazine, the leading source of business, economic and financial news and commentary in emerging markets.

Your subscription includes:

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

bne IntelliNews
$119 per year

All prices are in US dollars net of applicable taxes.

If you have any questions please contact us at

Notice: Undefined index: subject_id in /var/www/html/application/controllers/IndexController.php on line 296