TBILISI, September 24 – Georgia’s State Security Service (SSS) says it has busted a multimillion-lari fraud scheme tied to a major infrastructure project, arresting five people and charging another who remains on the run.
According to the agency, the case involves fraudulent appropriation of 4,184,249 lari (around USD 1.5 million) belonging to the Ministry of Regional Development and Infrastructure. Investigators allege that between June 2021 and September 2022, company executives and supervisory officials siphoned off state funds during construction work on sections of the Kutaisi–Alpana–Mamisoni Pass highway and flood-damaged areas in Oni municipality.
Those detained include the director of B.P. Trans, an employee of the same company, and three employees of a supervisory firm. The company’s former director and 100% shareholder has been charged in absentia and declared wanted.
The SSS said the suspects, acting together, defrauded the ministry by falsifying work related to embankment and riverbank protection projects, causing significant financial damage to the state.
Charges have been filed under Articles 180 and 25 of Georgia’s Criminal Code, which cover large-scale fraud and aiding fraud. If convicted, the accused face six to nine years in prison.
