British authorities say a billion-pound money-moving operation has been uncovered across 28 towns and cities in the country, with cash from UK drug and crime groups funneled into cryptocurrency used to support Russia’s military and evade sanctions.
Russia is under sweeping Western sanctions because of its invasion of Ukraine in 2022. These sanctions restrict its access to global finance, pushing Moscow to look for alternative channels to move money and secure resources. The UK case sheds light on one of those routes, showing how criminal cash flows can be repurposed to help a sanctioned state work around financial barriers.
Operation Destabilise nets 128 arrests, seizes £25 million
The National Crime Agency (NCA) said the network converted “dirty” money from drugs, firearms and immigration gangs into digital assets. Officers said the operation exposes how local criminal profits tie into wider geopolitical crises, including Russia’s war in Ukraine.
The scheme was uncovered through Operation Destabilise, which has now led to 128 arrests and the seizure of more than £25m in cash and digital holdings.
The NCA said the group was so extensive it bought a 75% stake in a bank in Kyrgyzstan, which was later found to be handling payments for Promsvyazbank, a Russian state-owned institution serving the military sector.
Using intelligence from the investigation, UK officers and international partners have also frozen millions of dollars linked to the network worldwide.
How couriers kept the system running despite high risks
Couriers move large sums between criminal groups before the money is shifted online. The NCA warned that these runners play a central role in keeping the system alive, even though they are paid little and face long prison terms if caught.
Officials have launched a public campaign to target couriers, placing warnings in motorway service stations that arrests are only a matter of time.
The agency says its crackdown is already disrupting the network, with operators avoiding London and raising fees as the risks grow.
Blockchain analysis exposes crypto's transparency problem for criminals
Despite assumptions that cryptocurrencies conceal activity, the NCA says blockchain tracing has helped map the network’s movements. Chainalysis, a firm tracking crypto flows, said public blockchains make it possible to follow funds tied to sanctions evasion, cybercrime and drug trafficking.
Last year, a separate global operation disrupted two international laundering groups moving funds for Russian elites, cybercriminals and British drug networks. One alleged ringleader, Russian national Ekaterina Zhdanova, remains in custody in France.
Britain vows to pursue anyone helping hostile states
UK security minister Dan Jarvis said the case exposes methods Russia uses to sidestep sanctions and move money to support its war in Ukraine. He said authorities “will not tolerate” anyone aiding a hostile state and pledged to continue seizing assets and arresting those involved.
Police forces across the UK and Ireland continue to support the operation, which investigators say remains active as further suspects and financial channels are identified.
