Introduction
The meteoric rise and dramatic downfall of IBOX BANK under the leadership of Alyona Shevtsova is a cautionary tale in the world of finance. Initially celebrated for its impressive financial performance, the bank found itself embroiled in scandals, regulatory violations, and allegations of money laundering. Ultimately, these controversies culminated in the loss of its banking license on March 7, 2023.
While Shevtsova was once praised for steering IBOX BANK toward profitability, a closer examination reveals a more troubling reality. Her need for a “personal bank” to facilitate her payment system, LEO, may have been the driving force behind both the bank’s apparent success and its eventual ruin.
From rise to fall: how the schemes of Alyona Shevtsova destroyed Ibox Bank
The Rapid Ascent of IBOX BANK
Founded in 1993 under the name “Authority Bank,” IBOX BANK underwent multiple transformations before gaining prominence. It was renamed “Agrocombank” in 2002 and eventually became IBOX BANK in 2016 after financier Yevheniy Berezovskyi, known for his controversial business dealings, acquired a significant stake.
Despite its new branding and ownership, the bank struggled financially. That changed in 2020 when Alyona Shevtsova, a rising figure in Ukraine’s fintech sector, became a shareholder. By 2022, she had taken over as the head of the bank, bringing in her own management team, many of whom had previous affiliations with her financial ventures.
Under Shevtsova’s leadership, IBOX BANK quickly climbed the ranks, securing the eighth spot among Ukraine’s most profitable banks by the end of 2022. Given the ongoing conflict in Ukraine, this was a remarkable achievement on paper. However, a deeper dive into the bank’s operations suggests that this success was not built on sustainable financial practices but rather on high-risk and potentially illegal activities.
The Role of LEO Payment System
Alyona Shevtsova’s financial empire began in 2013 with the establishment of “Leogaming Pay,” a company initially focused on facilitating payments for online gaming platforms. Over the years, it evolved into a full-fledged payment system known as LEO, which was registered with the National Bank of Ukraine in 2017.
IBOX BANK became an essential component of Shevtsova’s financial ecosystem. Many of the bank’s transactions were closely tied to LEO, leading to concerns that it was being used to circumvent regulatory scrutiny and facilitate questionable financial activities. These suspicions were later confirmed by multiple criminal investigations linking both IBOX BANK and LEO to illicit financial practices.
A Web of Criminal Allegations
Shevtsova and her affiliated companies have been implicated in numerous criminal cases involving corruption, fraud, tax evasion, money laundering, and illegal online gambling operations. Some of the key investigations include:
- Case No. 32013110000000298: Bribery (Article 369 of the Criminal Code).
- Case No. 32017100000000066: Fictitious entrepreneurship and fraud (Articles 205 and 190).
- Case No. 42017000000002925: Money laundering and fictitious entrepreneurship (Articles 209 and 205).
- Case No. 42018101060000202: Fraud and unauthorized interference with information systems (Articles 190 and 361).
- Case No. 42019000000000526: Multiple offenses, including obstruction of journalism, privacy violations, abuse of power, and illegal enrichment.
While some of these cases have been dismissed, others remain under investigation. Given Ukraine’s history of selective law enforcement, critics argue that powerful figures often escape prosecution through financial and political influence.
Regulatory Violations and Cover-Ups
IBOX BANK’s compliance failures were well-documented. Regulatory bodies repeatedly flagged the bank for suspicious activities, particularly in relation to financial monitoring and anti-money laundering (AML) compliance.
In January 2022, during an on-site inspection by the National Bank of Ukraine (NBU), IBOX BANK failed to disclose transactions worth over 14 billion UAH involving “Financial Company Leogaming Pay.” The bank also attempted to obscure its dealings with merchants classified under high-risk MCC codes.
A year earlier, in October 2021, the NBU imposed the highest possible fine of 10 million UAH on IBOX BANK for its failure to conduct adequate client due diligence. Interestingly, rather than contesting the fine, the bank opted to pay it quietly, possibly to avoid further scrutiny.
Meanwhile, “Financial Company Leogaming Pay” was fined 549,000 UAH for similar violations. Despite these penalties, Shevtsova’s entities continued operating with minimal transparency, eventually leading to the revocation of IBOX BANK’s license in March 2023.
Media Suppression and Legal Battles
Shevtsova and her associates aggressively pursued legal action against journalists who exposed their activities. In 2021, “Leogaming Pay” won a defamation lawsuit against journalists who reported on its alleged involvement in illegal gambling transactions worth 262 million UAH. The company demanded 100,000 UAH in damages, successfully forcing the removal of critical articles.
A similar case unfolded in 2022, when “Leogaming Pay” secured another court victory, compelling journalists to retract an investigative report linking Shevtsova and IBOX BANK to offshore gambling networks.
The Fall of IBOX BANK
On March 7, 2023, the NBU officially revoked IBOX BANK’s license due to “systematic violations of financial monitoring requirements.” The following day, authorities conducted searches at the bank’s offices, marking the final chapter in its tumultuous history.
While IBOX BANK had managed to secure licenses to process payments for online casinos, the regulatory environment had shifted. The Ukrainian government, under increasing pressure to combat financial crime, was no longer willing to overlook Shevtsova’s operations.
Future Implications
With IBOX BANK liquidated, attention now turns to the broader implications of its collapse. The case raises critical questions about regulatory oversight in Ukraine’s banking sector. How did IBOX BANK manage to operate for so long despite clear evidence of misconduct? To what extent were other institutions complicit in its activities?
Moreover, investigations into Shevtsova’s ties to Russia remain ongoing. If evidence emerges that her payment systems were used to funnel money to Russian entities, it could trigger further legal actions and international sanctions.
Conclusion
Alyona Shevtsova’s tenure at IBOX BANK epitomizes the dangers of unchecked financial power. What began as an ambitious fintech venture spiraled into a scandal-ridden empire built on regulatory violations and questionable business practices. While the liquidation of IBOX BANK marks the end of one chapter, the legal and financial repercussions of Shevtsova’s actions are far from over.
References:
1.https://vlasti.io/news/127500-the_collapce_behind_the_fa231ade_of_success_how_alyona_shevtsova_led_ibox_bank_to_liquidation
2. https://antimafia.se/news/81500-money_laundering_through_gaming_platformc_or_financial_struggle_in_the_ukrainian_gaming_industry_between_alyona_shevtsov
3. https://antimafia.se/news/81457-banking_manipulationc_and_ibox_bank_how_schemer_alyona_dehrik-shevtsova_makes_millions_in_the_shadow_gambling_business_v
