site.btaMoney Counterfeiting Operation Busted in Shumen

Law-enforcers have broken up a laboratory for production of counterfeit Bulgarian lev, US dollar and euro banknotes in Shumen, Northeast Bulgaria, said Shumen District Prosecutor Orlin Kuzdov at a press conference here on Monday. Two men have been detained and charged.

The investigation lasted a year. On October 17, locations in Shumen were searched, and counterfeit banknotes and equipment were found and confiscated. "We managed to break up a hub for the production of fake Bulgarian and foreign currency. The operation was carried out together with the General Directorate Combating Organized Crime, and has not been made public until now," said Kuzdov.

Shumen Deputy District Prosecutor Delyan Dimitrov added that the ongoing criminal proceedings are for crimes against the monetary and credit system in the country.

The two men arrested face between five and 15 years of imprisonment. One of them has confessed to the wrongdoing and the other shows signs that he may be willing to cooperate, Dimitrov said. Investigators found in the home of one of the individuals a large number of BGN 50, EUR 500 and USD banknotes, as well as equipment for making counterfeit currency notes. "The BGN 50 banknotes have passed through ATMs, which shows that they are of very high quality, very well made," Dimitrov said.

The Deputy District Prosecutor said that, according to one detainee who gave a statement before a judge, at least BGN 100,000 have been produced of the 50 BGN banknotes. They have been in circulation since 2022 in Bulgaria. According to central bank data, about 750 fake banknotes have been seized, Dimitrov said.

About 1,000 of the euro banknotes in circulation have been detected in Bulgaria and other countries of the EU. More may be in circulation. There is evidence that they have been around since 2020, Dimitrov added.

"This is a very serious attack against the entire financial system of Bulgaria and the European Union, and it is good that this operation has been stopped. There is more work to be done on the case, together with the partner services," Kuzdov pointed out.

He added that one of the detainees has remained in custody, while the other is under house arrest. "These measures fully satisfy the investigation at this stage. In addition, they have been banned from leaving the country. Many expert examinations will still be appointed and prepared. Money signs, equipment related to the production of banknotes, including counters, have been confiscated," added Dimitrov.

Later in the day, the Interior Ministry's press centre said that three individuals were detained for up to 24 hours during the operation, adding that two of them were later charged with producing and distributing counterfeit currency.

According to the gathered data, the group had successfully circulated some BGN 37,500 in counterfeit 50 BGN banknotes and had produced around half a million euros in fake 500 EUR banknotes. They were also preparing to produce and distribute high-quality 50 USD bills.

According to an assessment by the European Central Bank, the counterfeit 500 EUR banknotes are considered one of the best of their kind and have already been detected in several EU member states.

In efforts to combat the circulation of counterfeit currency, Europol, as the EU's central office for combating euro counterfeiting, provided valuable intelligence support, while the US Secret Service contributed technical assistance, the Ministry said.