South Cyprus banks part of world’s biggest money laundering scam - report

A new report by the Organised Crime and Corruption Reporting Project (OCCRP) has named Greek Cypriot banks and companies registered in South Cyprus in one of the world’s biggest financial fraud schemes, haven received $871.3 million of Russian laundered money.

According to the report, the money transfers took place mainly in the first three months of 2013 which was followed by a brief break, most likely as a result of the banking crisis in the south that same year, with activities resuming in the summer of 2013 and then continued until February 2014.

The report revealed that between 2011-2014, a scheme called the “Russian Laundromat” involved numerous fake loan arrangements being set up outside Russia. 

The loans were guaranteed by Russian companies and an individual from Moldova, following which, criminals were able to siphoned large sums of money out of Russia via banks mostly located in Europe and Asia to accounts set up in shell and offshore companies, the OCCRP said on its website.

The joint investigative project revealed that over $20.8bn (€19.2bn) from Russia has been laundered.

Cyprus Mail