European investigators have uncovered a wine counterfeiting operation reportedly led by a well-known figure.
Nov 12, 2024
European authorities have dismantled a multimillion-dollar wine counterfeiting ring allegedly led by a familiar figure, Aleksandr Lugov, a 40-year-old Russian national with a history of involvement in fraudulent wine operations. On September 26, investigators swooped in as Lugov was completing a transaction with a shady printer at Milan’s Malpensa airport. At the same time, law enforcement across France and Italy launched coordinated raids, arresting five of his associates. The operation culminated in the dismantling of a network that prosecutors claim was responsible for selling over €2 million (about $2.12 million) worth of counterfeit wine.
A Familiar Face in Burgundy
Lugov’s involvement in the wine counterfeiting scene is hardly new. He was first linked to the illicit wine trade in 2013 when staff at the prestigious Domaine de la Romanée-Conti (DRC) began noticing suspicious bottles on the market. A subsequent international investigation led to several arrests in France and Italy, ultimately pointing to Lugov as the mastermind. By 2017, he had been convicted by the Dijon tribunal for money laundering and organized fraud, having sold approximately 400 bottles of fake Burgundy, valued at €2.5 million, between 2012 and 2014. He was sentenced to four years in prison, with two years suspended, fined €150,000, and ordered to pay €550,000 in damages, including €300,000 to DRC.
He was also banned from any commercial activity for five years—a punishment that, according to his defense lawyer, he feared most. Yet, despite his sentence, it seems Lugov quickly resumed his illicit activities.
Back in the Game
Just two years after his conviction, counterfeit wines began circulating again in 2019, particularly in Switzerland and Italy. Europol investigators discovered that not only were old counterfeit bottles still being sold, but new ones had emerged, featuring updated security features mimicking those of legitimate wines. It became clear that Lugov had resumed operations, establishing a new international network that bottled low-cost Italian wine as high-end French wines, complete with fake labels and corks produced by Italian printers. Some of these counterfeit bottles were sold for as much as €15,000 each.
According to Europol, law enforcement uncovered connections between this new network and Lugov’s previous operation, particularly through the manufacturers of caps, capsules, and labels.
Following the Trail
In a joint operation, French and Italian authorities, alongside Europol, tracked the movement of these counterfeit wines, ultimately leading to a series of raids. During these operations, police seized thousands of counterfeit labels, bottle components, and the computers and phones of the suspects. They also discovered a stash of luxury watches and €117,000 in cash. In total, assets estimated at nearly €2 million were seized, potentially linked to money laundering from the counterfeiting ring.
The operation involved multiple law enforcement agencies, including the Italian carabinieri, French gendarmes, Swiss federal and state police, as well as Europol. Investigations are ongoing, and authorities continue to follow the trail of this sophisticated international crime ring.
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Russian trials and Italian wine in Burgundy bottles? Sounds like a Netflix series!
Wait, so Italian wine in Burgundy bottles? Isnt that wine identity theft?
Russian counterfeiter, Italian wine in Burgundy bottles? Whats next, French vodka?
Russian trial or Burgundy scandal, whos the real wine villain here?
Counterfeiter got caught, but whos checking these Burgundy bottles arent actually full of vodka?
Following the Trail, huh? Maybe were all just sipping on Italian Burgundy!
Russian counterfeiter probably wouldnt mess up if he stuck to vodka, eh?
Could the Italian wine in Burgundy bottles affect the Russian counterfeiters trial?