Financial Crime World

Title: “International Collaboration Nets Criminals Behind Multi-million Euro Trading Scam in Israel and Europe”

Overview

In a major law enforcement operation, authorities in Germany, Georgia, and Israel dismantled an international criminal network responsible for defrauding victims of tens of millions of euros through various online trading platforms.

Arrests and Seizures

  • 11 suspects were arrested
  • Assets worth an undisclosed amount were seized, including real estate, luxury vehicles, communication equipment, and cash

Investigations Begin

  • Investigations began in 2015 following multiple complaints from German citizens who lost their investments
  • Fraudsters of Georgian and Israeli origin ran multiple limited companies operating 18 different online trading platforms
  • False identities and hidden phone numbers were used to build trust with potential investors

Fraudulent Activities

  • Criminals posed as legitimate financial institutions, promising high returns on investments
  • Investor funds were laundered via foreign bank accounts and funneled back to the perpetrators

International Collaboration

  • Operation led by the Bavarian Central Office for the Prosecution of Cybercrime in Germany
  • Over 100 law enforcement officers working together in Georgia, with 20 German officers and a German prosecutor present
  • Eurojust facilitated cross-border judicial assistance and cooperated with Georgian and Israeli authorities

Georgian Authorities’ Role

  • Georgian authorities led the operation in their country
  • Liaison prosecutor at Eurojust played a crucial role

Israeli Authorities’ Role

  • Various departments collaborated in Israel, including the Department of International Affairs, Head of Fraud Unit – Central District, Office of the State Attorney of the Ministry of Justice, and the International Legal Assistance Unit of the Israel Police

Timeline

2015 – Complaints from German citizens prompt investigations 202x – Raids take place, suspects arrested, and assets seized

Sources: Bavarian Central Office for the Prosecution of Cybercrime, Eurojust, Israel Police