3 people, 12 companies charged in major Estonian money laundering case
Estonian prosecutors have charged three people and 12 companies in an international money laundering case tied to a global investment scam worth hundreds of millions of euros.
The District Prosecutor's Office for Economic Crime and Corruption said the funds originated from a worldwide investment fraud that victimized people across multiple countries.
According to the indictment, a 60-year-old Estonian citizen built a network of 12 companies to move nearly €10 million in criminal proceeds in a way that appeared legitimate. He allegedly involved his spouse and a Norwegian citizen in the scheme.
Prosecutors say the underlying fraud centered on a Hong Kong-registered company that raised money through online platforms, promising high returns from currency trading. Instead, people linked to the company used investor funds in part for personal expenses.
In total, €11 million was transferred to Estonia, prosecutors said.
Money moved across Europe
Investigators allege the suspect routed the money through the accounts of companies under his control, shuffling it among related businesses and private individuals. The accounts were spread across Estonia, Lithuania, Finland, Norway and Germany.
Some of the money was transferred to Spain to accounts linked to individuals connected to the broader investment scam. The rest was withdrawn in cash or used for personal purposes, including the purchase of a luxury car.
The case began when Estonia's Financial Intelligence Unit (FIU) analyzed a report from a bank. Information sharing with other banks helped authorities identify and freeze assets suspected of being tied to fraud, preventing further transfers.
The findings were then passed on to the police, who launched a criminal investigation.
Estonia seizes €4.5 million in assets
Mariana London, the district prosecutor who led the pretrial investigation, said international cooperation has become increasingly effective in fighting financial crime.
"In this case, it was EU judicial cooperation and legal assistance from foreign states that made it possible to gather evidence of a potentially large-scale money laundering scheme," London said.
She added that, with help from the FIU, authorities in Estonia seized assets worth about €4.5 million that may be of criminal origin.
The investigation was led by the District Prosecutor's Office for Economic Crime and Corruption and conducted by the Northern Prefecture of the Police and Border Guard Board (PPA).
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Editor: Mirjam Mäekivi, Aili Vahtla
