In Russia, another side effect of the war is becoming increasingly evident – a wave of frauds targeting the payments the state provides to participants of the “special military operation.” These payments have become prey for scammers – ranging from petty swindlers to fully systematic schemes involving officials and real estate developers.
One of the most striking examples is the situation in Dagestan. A scandal erupted around a developer who was selling apartments in residential complexes that, in reality, did not exist. According to local sources, more than two thousand people fell victim. Among those who decided to invest in “square meters” were a significant number of participants in the aggression against Ukraine. Plans for quick housing or a profitable investment turned into a typical story on the Russian real estate market – paperwork without actual construction.
The authorities’ reaction was also predictable. The head of Dagestan, Sergey Melikov, stated that buyers displayed “insufficient legal literacy” by purchasing property without properly checking the documents. Officials also claimed that the construction had supposedly been banned back in 2023, although court documents show that work and apartment sales continued long afterward.
Such schemes are not new for Dagestan. The illegal construction market there has long operated at the intersection of the interests of developers, officials, and security forces. Often, illegal projects are later “legalized” through the courts, after which decisions issued in the name of the Russian Federation effectively legitimize the violations.
However, frauds involving military payments are not limited to real estate. In Volgograd Oblast, law enforcement detained a pair of scammers who defrauded a “service member” of 1.5 million rubles. They intimidated a resident of the village of Zaplavnoye with fabricated alimony debts and convinced him to sign a contract with the Russian Ministry of Defense, allegedly to avoid criminal liability. Afterwards, the man was forced into a fake marriage with the mother of one of the scammers and had to hand over his bank cards – along with access to his payments.
These stories illustrate a simple reality of Russia’s wartime economy: everyone tries to profit from the money of war – from officials to random con artists. Scammers regularly extort money even from the relatives of military personnel, posing as commanders, lawyers, or intermediaries who supposedly can help secure payments or bring soldiers home. While small-time scammers are sometimes caught, systemic problems – corruption, lack of oversight, and the authorities’ willingness to blame the victims – remain unchanged.
