Investigation Service arrests manager of unregistered virtual asset service provider

Officers of the Investigation Service of the Ministry of Finance of Georgia have arrested the manager of an unregistered Virtual Asset Service Provider (VASP) following operational-search activities and investigative measures.

“The investigation established that the accused, operating without mandatory registration with the National Bank of Georgia, executed virtual asset transactions worth tens of millions of US dollars, including the conversion of virtual assets into cash. Through this activity, the defendant facilitated uncontrolled international transactions within the country.

As a result of the investigative actions, officers seized computer hardware, dozens of bank cards, various documentation, cash funds amounting to 83,903 USD and 300 EUR, alongside cryptocurrency valued at 79,600 USD,” stated the Investigative Service.

The offence falls under Article 192, Part 2, Subparagraph ‘a’ of the Criminal Code of Georgia, which carries a penalty of imprisonment for a term of three to five years.

“Furthermore, appropriate measures are currently underway to identify and expose other individuals involved in this criminal enterprise, as well as to uncover potential instances of tax evasion and money laundering,” the Investigation Service added.