A recent operation resulted in agents executing simultaneous raids across 14 locations, leading to the arrest of six individuals, including one significant “high-value target.”
Coordinated by investigators from France, Italy, and Switzerland, the raids targeted an alleged gang involved in counterfeiting cheap red wine, which was marketed under fake labels and sold for an astonishing €15,000 per bottle.
This crackdown was part of a Europol-supported investigation that originally launched in 2021, and it encompassed major urban centers like Milan and Turin.
According to investigators, the criminal ring forged wines in Italy, reportedly selling around €2 million worth of counterfeit bottles. These illicit products were then dispatched to an Italian airport, where they were exported worldwide under the guise of being legitimate, high-market value wine.
The group’s scheme relied heavily on counterfeiting wines classified under the French Protected Designation of Origin (Appellation d’Origine Protégée, or AOP), which is the strictest classification in the EU’s wine hierarchy. This prestigious designation requires that wine is produced from grapes grown in specific geographical areas, adhering to rigorous production standards and regulations.
Among the items seized during the operation were counterfeit labels, wax products, sophisticated technical machines for resealing wine bottles, electronic equipment valued at around €1.4 million, and over €100,000 in cash.
Caught Red-Handed
At the center of this international case is a 40-year-old Russian national with a criminal history, suspected of orchestrating a transnational counterfeiting organization. Dijon public prosecutor Olivier Caracotch noted, “His actions facilitated the operation of this extensive counterfeiting network.”
The suspect was apprehended in an incriminating situation: he was seen engaging in a transaction with a printer at Milan Malpensa Airport. Reports indicate that he collaborated with printers to produce the fraudulent labels, underscoring the organized nature of the operation.
This individual, previously known as Aleksandr Iugov, has a decade-long criminal history. The prosecutor mentioned that he “should be presented quickly to establish his potential indictment.” Additionally, another French citizen has been indicted in Dijon for charges related to “money laundering and organized fraud.”
Dijon, located in Burgundy, France , is famous for its production of Bourgogne wine. It is alleged that the gang exploited wines from the prestigious Romanée-Conti domain, where bottles often fetch prices in the thousands, or even hundreds of thousands of euros.
However, in 2024, unfavorable weather conditions affected many wine-growing regions across France , causing significant declines in production for several vineyards.
Wine fraud and mislabeling have long posed challenges in the industry, prompting the EU to implement a new regulatory framework that will take effect for products from the 2024 harvest. Under this legislation, all wine sold within the EU, regardless of origin, will now require nutritional information and a comprehensive list of ingredients.
Photo credit & article inspired by: Euronews
