In part I of our “Follow The Money Report” regarding the illegal broker schemes of Gal Barak, Marina Andreeva, Itzik Gellet and their E&G Bulgaria we presented some examples of the money flow to the perpetrators’ private accounts. Through the Bulgarian Investbank, dozens of millions of the stolen money flowed into their offshore companies.
Gal Barak claims to the authorities and the court that he has nothing to do with these offshore companies let alone the illegal broker schemes. How could he? He purports that he is only acting in an advisory capacity. He claims to be a legitimate businessman. Well, the many thousands of victims in Europe will certainly disagree. Many of his business partners will also disagree. FinTelegram received statements from employees of Payment Services Providers (PSP) who refer to Gal Barak as a fraudster.
As a matter of fact, we can prove the ultimate beneficial ownership of Gal Barak and his fiancé with some of the offshore entities they used to launder the money and finance their expensive life. And it’s easy to prove that he was in control of E&G Bulgaria.
Manager of E&G Bulgaria
In E&G Bulgaria, based in Sofia, Bulgaria, Gal Barak has been officially registered as a manager since May 2018. He founded the company together with his long-term companion Itzik Gellet. This company owns and controls numerous boiler rooms in the Balkans and Georgia.
We got in contact with some businessmen and their lawyer in Serbia and Montenegro and they provided affidavits that Gal Barak was their partner for the establishment of boiler rooms in Sarajevo and Belgrad, for example. He was the one in charge of the business, they said. We have been handed over email communication with Gal Barak which clearly shows that he was in charge of the business and not just a consultant.
Ultimate Beneficial Owner Of Offshore Entities
As stated in our first report, many millions of stolen client funds from illegal broker platforms such as SafeMarkets, XTraderFX, Golden Markets, OptionStarsGlobal, or CryptoPoint flow into offshore companies owned and controlled by Gal Barak and Marina Andreeva. Below are some documents that support this assertion:
|GM Globe Limited (Hong Kong)||Download document|
|New Markets S.A.(Samoa)||Download document|
|Wave Market Limited (Hong Kong)||Download document|
The offshore entity New Markets S.A. with Marina Andreeva being its ultimate beneficial owner and holding a power of attorney received more than EUR 17.4 Million in 2017 alone. And that’s just one of their offshore entities. Early 2017, the Bank of New York terminated the relationship with New Markets S.A. because of suspicious transactions. Hence, Marina Andreeva opened a bank account with the Bulgarian Investbank which doesn’t care about money laundering too much. For her services, Marina Andreeva received more than EUR 680,000 from New Markets S.A. in 2017. Barak’s partner Itzik Gellet was paid more than EUR 1,2 Million for his services in 2017. And New Markets was just one company that paid them. Those guys know how to make a living at the expense of dozens of thousands of defrauded retail investors.
Via his offshore
Selected Bank Transactions
The Bulgarian investment bank is the perpetrators’ of this money laundering. The funds of the fraudulent customers initially flowed into the accounts of the various operators of the illegal broker sites at the Investbank via participating payment services providers. From there, the funds were then transferred to the offshore companies. Most of these offshore companies also had their accounts with the Bulgarian investment bank. Below are a few bank transactions presented as evidence.