Police have busted the “Khimprom” gang, which made money through U420, fraud, and intimidation of businesses
22 April 14:20
Law enforcement officials announced that they had uncovered the activities of the “Khimprom” group, which was involved in drug trafficking, fraudulent call centers, and violent crimes. This was reported by the National Police and the Office of the Prosecutor General, according to "Komersant Ukrainian"
What is U420 and why has a scandal erupted around the network?
U420 is a chain of stores that positioned itself as “cafeshops” and souvenir shops selling CBD products.
In the spring of 2026, it found itself at the center of a public outcry following journalistic investigations and complaints on social media regarding the sale of products with questionable ingredients and advertising that reached minors.
In particular, on March 23, Bihus.Info published an investigation revealing that dangerous psychotropic substances might have been sold in U420 stores under the guise of souvenirs.
How the police link U420 to the “Khimprom” group
According to the National Police, the “Khimprom” criminal group was involved in several activities: the illegal trafficking of narcotics, fraudulent call centers, violent crimes, and the U420 project.
National Police Chief Ivan Vyhovskyi stated that through U420, dangerous substances were sold under the guise of souvenir products, and the project itself was one of the key distribution channels.
Law enforcement officials claim that the group exploited loopholes in the regulation of certain substances, established the import of synthetic cannabinoids into Ukraine, and subsequently engaged in the production, packaging, and distribution of the products through a network of stores.
According to the investigation, Kyiv and Dnipro were the main production hubs, and the U420 network expanded to over 100 stores within a few months.
What is known about “Khimprom”
According to investigators, the “Khimprom” group was established by a 36-year-old Russian citizen nicknamed “The Mexican,” who has been on the international wanted list since 2019.
Police say that while abroad, he continued to remotely coordinate the network’s activities in Ukraine, assigning roles and controlling financial flows.
In addition to drug trafficking, law enforcement links “Khimprom” to fraudulent call centers that defrauded EU citizens, as well as to violent crimes, extortion, threats, and pressure on businesses.
According to police, the group exerted influence across various sectors. Within the group, roles were divided: some members were responsible for drug production, while others handled information operations, smear campaigns, and media pressure against those who obstructed their activities.
Law enforcement officials reported more than 30 violent crimes committed by members of “Khimprom” or at their behest.
At the same time, “Khimprom” defrauded Europe. Last December, law enforcement dismantled a network of call centers organized across several regions. Through this scheme, the group defrauded citizens of European Union countries out of nearly 50 million hryvnias.
What are the results of the searches in the U420 case?
As part of the special operation, law enforcement officials conducted over 280 searches in Kyiv and 10 other regions.
As a result, sites for the illegal production, packaging, and distribution of products were shut down, and the following items were seized: over 54,000 liters of finished products containing CBD, more than 12,000 joints, 20,000 blister packs of “Son-Relax” pills, more than 4,000 jars of candy, gummy bears, and hashish, over 3,000 kilograms of joint rolling mix, equipment, packaging materials, over 300 mobile phones, over 1,000 bank cards, 145 seals, documents, and cash in national and foreign currency totaling 7 million hryvnias.
The estimated value of the seized items exceeds 75 million hryvnias. A total of 416 bank accounts belonging to business entities involved in the scheme have been frozen, and cryptocurrencies worth nearly 1 million USDT have been blocked.
The estimated value of the seized assets exceeds 75 million hryvnias.
Additionally, according to the investigation, 416 accounts have been frozen and crypto assets that could have been used for money laundering have been blocked. According to law enforcement, part of the financial scheme was facilitated by 145 sole proprietorships registered under front men and managed centrally.
What is known about the allegations and the arrests
Following the results of the special operation, law enforcement officials, pursuant to Article 615 of the Criminal Procedure Code of Ukraine, detained two senior members of the criminal infrastructure who were directing illegal activities within Ukraine.
Depending on their involvement in criminal activities, members of the criminal group have been notified of charges under several articles of the Criminal Code of Ukraine, including its leader—in absentia: Part 4 of Article 189 (Extortion), Part 2 of Article 194 (Intentional destruction or damage to property). For suspects currently in the country, the court has ordered preventive measures in the form of detention.
In total, during the period of documenting “Khimprom’s” activities, 23 operatives whom the group used to carry out violent operations were notified of the charges. Three of them have already been convicted: one to four years, and two others to six years of imprisonment.
Separately, on April 17, 2026, the police conducted another special operation specifically to document “Khimprom’s” violent crimes. During that operation, over 70 searches were carried out in Kyiv and four other regions, resulting in the seizure of 15 vehicles, nearly 7 million hryvnias, as well as weapons and ammunition.
Why the U420 case became so high-profile
The U420 story gained widespread attention not only because of the scale of the network but also because of its public presence: stores were opening en masse in various cities, were actively promoted on social media, and their products were marketed as legal.
Vygivsky confirmed this information at a briefing. During the press conference, phone conversations between the group’s leader and other members were made public. In particular, they mention call centers and “orders” against opponents.
They also mention plans to spread the “U420 issue” to other countries around the world, following Ukraine’s example. And if civil society organizations raise a fuss about the network, we’ll “try to shut them down,” the leader stated.
What You Need to Know About the Legal CBD Market in Ukraine
Against the backdrop of this case, it is important to distinguish between the legal market for CBD products and products that investigators believe contained synthetic cannabinoids or other dangerous substances. In Ukraine, CBD is not included in the list of narcotic and psychotropic substances provided that certain criteria established by law are met, and the law on medical cannabis, which came into effect in 2024, applies exclusively to prescription medical use and does not legalize the free circulation of psychoactive substances.
