Georgia’s State Security Service detains five in large-scale fraud case involving ₾4.18 million

The Anti-Corruption Agency of Georgia's State Security Service, in cooperation with the Prosecutor's Office of Georgia, on Wednesday detained five individuals on charges of large-scale fraud involving over ₾4,184,249 million ($1,548,148) in state funds.

The investigation revealed that between June 2021 and September 2022, fraudulent schemes were carried out during state-funded roadworks procured through an electronic tender. The projects included works on the Kutaisi-Alpana-Mamisoni Pass highway section and the construction of protective embankments in Oni Municipality, damaged by natural disasters.

The scheme involved the current director of LLC B.P. TRANS, a company employee, and three supervisors from a monitoring company. Together, with the help of the company’s former director and 100% shareholder, currently evading authorities, they are accused of fraudulently misappropriating ₾4,184,249 (approx. $1.5 million) belonging to the Ministry of Regional Development and Infrastructure of Georgia.

The State Security Service emphasised that ongoing investigative and operational measures aim to identify and prosecute additional accomplices. The agency also urged individuals involved in corrupt schemes to cooperate with authorities, noting that such cooperation may be considered a mitigating factor under the law.

“The goal of our work is not merely arrests”, the statement said. “Our primary objective is to ensure the guaranteed prevention of corruption. The State Security Service will continue its uncompromising fight against corruption and keep the public informed about its progress”.