Since annexation, Crimea has become a center for money laundering and illicit finance, as Russian banks with a reputation for such activities have established operations there to replace the nearly 1,000 banks that were hastily closed. The Russian Central Bank removed the licenses from multiple banks in Crimea due to money laundering concerns, including Adelantbank and MAST-Bank.
The licensing removal remains a major concern, however, due to Genbank, the second largest banking operation in Crimea with 90 franchises across the peninsula. Genbank had only two branches operating in Russia before the annexation.
Investigative reporters revealed that Evgenii Dvoskin, who controls Genbank via his wife, who is chairwoman of the board of directors, faced charges of money laundering in both Russia and the United States in 2006. Dvoskin faced similar charges in 2012, but was protected by Russia’s state security services. Crimean banks are also suspected to have been involved in the suspicious transfers of $20 billion out of Russia and into Moldova earlier in 2015.