An underground cigarette factory in Chernivtsi generating billions in illicit revenue. The Security Service of Ukraine has released details
23 March 15:35
In Chernivtsi, the Economic Security Bureau (ESB) uncovered the largest underground cigarette factory in the ESB’s history, with a production capacity of up to 720,000 packs per day and monthly revenue exceeding 1 billion hryvnias. This was reported by the ESB’s press service, according to "Komersant Ukrainian".
“The investigation established that production capacity was provided by two lines, each of which produced about 5,000 cigarettes per minute,” the statement said.
The BEB found that the group responsible for setting up this large-scale underground operation consisted of about 40 people. They manufactured filter cigarettes under the guise of well-known international brands.
“The illegal factory was set up in a warehouse in Chernivtsi, where industrial equipment was installed and a full production cycle was established. To ensure continuous operation, the perpetrators equipped the facility with everything necessary, including industrial generators. They also arranged living quarters for the workers, which allowed the factory to operate around the clock,” the Economic Security Bureau reported.
According to the Bureau of Economic Security, during the searches, detectives seized two full-cycle production lines for the manufacture and packaging of filtered cigarettes, 750,000 packs of cigarettes of various international brands, 149 boxes of fermented tobacco, packaging materials, rolls of cigarette paper, filter tips, as well as printed materials from well-known international tobacco brands.
The estimated value of the seized equipment, products, and property exceeds 200 million UAH. The criminal case is being investigated under Article 204 of the Criminal Code of Ukraine—the illegal manufacture, storage, sale, or transportation for the purpose of selling excise goods.
