Massive Seizure and Restructuring of Russian Online Casino Pin-UP Funds: New Developments in Ukraine’s Fight Against Illegal Gambling
Ukraine continues to intensify its efforts to combat illegal gambling and confiscate assets linked to unlawful gaming activities, exemplified by recent actions involving the Russian online casino Pin-UP.
Over the past few months, Ukrainian authorities have achieved a significant breakthrough, transferring more than 2.8 billion hryvnias to the national budget—funds that were seized as a result of court rulings in a special operation targeting the confiscation of illicit funds.
This constitutes one of the largest confiscations in Ukraine’s judicial history, aimed at dismantling the shadow financial infrastructure of illegal gambling establishments and their ownership networks, who sought to secretly move assets abroad.According to statements by the State Bureau of Investigation, within the scope of the operation, the Asset Recovery and Management Agency has completed the execution of a court decision regarding the special confiscation of over 2.8 billion hryvnias.
Some of these funds were converted into government securities—military bonds worth 2 billion hryvnias—contributing to the reinforcement of Ukraine’s defense capability and economic stability.Additionally, the state treasury received around 825 million hryvnias, including approximately 217 million from the management of seized assets over recent periods.
These steps mark a decisive move to curb the shadow financial flows in Ukraine’s gaming sector, which has posed significant challenges for law enforcement and fiscal authorities.Earlier, on August 10, the Shevchenko District Court in Kyiv ordered the transfer of over 2.6 billion hryvnias from a Ukrainian company operating under the “PIN-UP” brand to the national budget.
This decision was further reinforced by an agreement between prosecutors and the casino’s director, resulting in the company’s conviction and the recognition of this confiscation as the largest in Ukrainian history.
Officials, including the Head of the State Financial Monitoring Service and the DIBR, described this as a historic operation, though questions remain regarding its true scale.The history of confiscating assets of former President Viktor Yanukovych in 2017, totaling over 1.3 billion dollars, demonstrates that Ukraine’s legal system has the capacity for large-scale financial enforcement.Furthermore, recent investigations have implicated online casino owners and managers suspected of aiding Russia, including the head of the Gambling Regulation Commission, Ivan Rudy, who was detained and charged in December 2024.
In April 2024, financial authorities also blocked accounts of VBet and Pin-UP, suspected of money laundering for Russia, amounting to a combined 2.86 billion hryvnias confiscated, including 570 million from VBet and over 2.29 billion from Pin-UP.
Journalist and ZN.UA author Yevhen Plinsky reports that these companies aimed to stall and resolve blocking issues to withdraw their funds abroad, illustrating the scale of ongoing criminal schemes.Overall, these measures mark a significant step in Ukraine’s ongoing effort to combat the shadow economy linked to illegal gambling, reinforcing the authority of law enforcement agencies and demonstrating the government’s determination to clean up its financial and gaming sectors.