Venture capitalist and Mission Gate founder George Bachiashvili is currently facing the possibility of imprisonment in Georgia after a court cancelled his bail.
The legal dispute revolves around allegations that Bachiashvili misappropriated investment funds connected to former Georgian Prime Minister Bidzina Ivanishvili.
Initially, the authorities granted Bachiashvili bail in the amount of 2.5 million GEL ($900,000). However, reports from the Ministry of Internal Affairs indicate that he violated the conditions of his bail by traveling to Armenia on March 2. In response, Judge Giorgi Gelashvili ruled in favor of the prosecution’s request for stricter detention, deeming Bachiashvili’s actions sufficient grounds for incarceration.
The situation has become more complicated, with Georgian media suggesting that Bachiashvili has since relocated to another country. When approached by Reuters, he refused to disclose his whereabouts.
At the core of the allegations lies an investment in Bitcoin mining between 2015 and 2017. Bachiashvili had obtained a $5 million loan backed by Ivanishvili’s assets and used the funds for mining operations through Bitfury. While the loan was repaid in 2016, Ivanishvili argues that Bachiashvili concealed the full extent of the profits, which reportedly included 8,253.13 BTC. Additionally, a transfer of $536,900 in proceeds to a bank director has raised suspicions.
Bachiashvili is being charged with embezzlement and money laundering under Georgian law. He maintains that the accusations lack merit. Transparency International has also expressed concerns about the case, suggesting that it serves private financial interests rather than justice. The evidence primarily consists of financial records and a recorded phone conversation in which Ivanishvili is heard advising Bachiashvili on securing the loan.
Bachiashvili’s legal defense, led by Amsterdam & Partners, argues that the case is politically motivated. Bachiashvili himself claims that his vocal support for Ukraine in its conflict with Russia has put him at odds with Ivanishvili, who is known for his pro-Russian stance. If convicted, he could potentially face a 12-year prison sentence.