U.S. and U.K. uncover ‘international network’ of companies helping Russia’s elite evade sanctions

The U.S. Treasury Department has announced sanctions against five individuals and four entities linked to the TGR Group, which it described as a “sprawling international network” that has helped members of Russia’s elite evade sanctions.

According to the Treasury, TGR Group, a Russian company controlled by Ukrainian citizen George Rossi, operates in the U.K., Europe, and Asia. The department alleged that the company’s services include laundering funds tied to sanctioned organizations, conducting illegal cash and cryptocurrency exchanges, and concealing the origins of funds to enable wealthy Russians to purchase real estate in Britain.

TGR Group reportedly worked with other companies to facilitate its operations, including the Smart Group, led by Russian citizen Ekaterina Zhdanova. Zhdanova, who was sanctioned by the U.S. last year, is accused of helping sanctioned members of Russia’s elite launder money and move it abroad.

Separately, Britain’s National Crime Agency (NCA) announced it had uncovered a Russian money-laundering network as part of an international investigation. The operation, which identified the network’s alleged leaders, led to the arrest of 84 people and the seizure of more than 20 million pounds ($25.4 million) in cash and cryptocurrency, according to The Guardian.

The NCA’s statement implicated the TGR Group and the Smart Group, which the agency said laundered cash for transnational criminal organizations. Investigators also claimed the network had funded “Russian espionage operations” from late 2022 to mid-2023 and helped Russian clients evade U.K. sanctions. Additionally, the companies reportedly facilitated cash transfers to the U.K. for Russia’s state-controlled propaganda outlet, Russia Today.