By Tirana Times Staff
TIRANA, Albania,October 16,2025. Behind brightly lit kiosks advertising euros, dollars and pounds, prosecutors say a hidden financial system is moving millions in illicit cash for some of Albania’s most powerful drug-trafficking groups.
Recent investigations by the Special Anti-Corruption Structure, or SPAK, reveal that certain licensed currency exchange offices in the heart of Tirana have served as informal banks for organized crime disguising the transfer of drug proceeds through the ancient hawala system and cryptocurrencies.
One such business, “B. Lika, Cimi & Keni,” is accused of funneling millions on behalf of the Çopja brothers, a group charged with cocaine trafficking and contract killings between 2018 and 2022. According to prosecutors, stacks of cash were deposited in the small exchange office and later distributed in smaller sums or wired across borders, including to the United Arab Emirates, Central America and South America, to finance shipments of cocaine.
“This system allows fast transfers while avoiding formal oversight,” said prosecutor Klodian Braho, who led the two-year probe. “Funds moved through hawala agents and cryptocurrency transactions, often with commissions ranging from 6% to 15%.”
Weak Oversight, Global Reach
The findings underscore how Albanian criminal enterprises long accused of dominating Europe’s cocaine supply chain are embedding themselves deeper into the legal economy. Investigators say the expansion of currency exchange outlets, from 356 in 2014 to 640 a decade later, has provided new cover for laundering operations.
While exchanges are legally obliged to identify clients and report transactions above certain thresholds, enforcement has been patchy. From 2021 to 2024, the Bank of Albania revoked 132 licenses and sanctioned dozens of operators, citing failure to report suspicious activity and poor record-keeping.
“The inspections are often superficial, not going into the origins of funds or transaction patterns,” said Eduart Gjokutaj, head of the Albanian think tank Altax. “Criminal networks exploit these gaps, registering businesses in relatives’ names and splitting accounts to avoid scrutiny.”
From Hawala to Crypto
Prosecutors say hawala a centuries-old trust-based system common in South Asia and the Middle East has become a preferred tool for Albanian traffickers. Money deposited in London can be withdrawn in Tirana within hours with a simple code, leaving little trace.
In parallel, groups have embraced digital currencies. During the Çopja case, SPAK seized more than $11 million in crypto assets, allegedly used to settle drug debts across Europe. Another probe linked to suspect Ervis Ferizaj uncovered two exchange shops in Tirana that authorities say masked transfers between Switzerland and Albania, again using hawala and crypto.
High-Risk Businesses
Experts warn the blending of traditional cash markets, crypto networks and weak regulation poses a systemic risk. The Financial Intelligence Agency has flagged exchange businesses as high-risk but referred just one case to prosecutors in 2024.
“Post-pandemic, much of the economy shifted into informality,” Gjokutaj said. “With rising demand for cash and digital assets, these illegal channels have thrived.”
The Bank of Albania says it is drafting new rules that would require stricter checks on shareholder integrity and the source of start-up capital, as well as limits on the volume of cash handled by exchange outlets.
But with organized crime syndicates leveraging global reach and local gaps, analysts fear reforms may come too late. “The exchanges have become arteries of the underworld economy,” one investigator said. “Shutting them down won’t be easy when they’ve already merged with legitimate financial flows.”
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