Georgian Prosecutor’s Office takes legal action against foreign citizens, entities for alleged cyber fraud, money laundering involving $150,000

The Georgian Prosecutor’s Office on Tuesday announced legal action against two foreign citizens and two legal entities for alleged transnational cyber fraud and money laundering totalling $150,000.

The body said its investigators had revealed the individuals and entities “orchestrated a scheme” aimed at “unlawfully obtaining a substantial sum” of money from individuals residing abroad.

They used false identities to represent a non-existent international investment company before convinced their targets to transfer funds for purchase of stocks of a company listed on one of the stock exchanges of the United States.

The money was then funnelled into bank accounts held by fictitious companies in Georgia, it added.

The Office said the alleged offenders also facilitated transfer of the fraudulently obtained funds abroad through fictitious invoices to “establish a lawful appearance” for their illegally acquired income.

The Office said the individuals - placed in pretrial detention - faced criminal charges that may result in prison sentences ranging from nine to 12 years, while the legal entities could face revocation of their operating rights and fines.