The Bureau of Economic Security continues to "shake down" one of the largest e-cigarette networks, Uvape, but it magically rises from the ashes again and again. So, e-cigarettes
People's Deputy and head of the Tax Committee, Daniil Getmantsev, confirmed the dire diagnosis: the entire e-cigarette market is still in the shadows // collage: glavcom.ua
For 2025, the state budget not received 34 billion hryvnias from the illegal trade in tobacco products and e-liquids. This terrifying figure includes 7,5 billion hryvnias in losses from the "gray" trade in e-liquids alone. According to forecasts, experts, in 2026, the vape market risks not paying 10 billion hryvnias in taxes to the budget, writes Vitaliy Taranenko, “Glavcom».
The head of the Verkhovna Rada Committee on Finance, Tax and Customs Policy, Danylo Hetmantsev, and in past, and today he repeats: the entire e-cigarette market is in the shadows. "Nothing has changed. Everything is bad there."“— the influential deputy noted laconically for the “Glavkom”.
Let us recall that last year the International Chamber of Commerce (ICC Ukraine) requested with an open statement to the IMF, the US Embassy, and the EU Delegation to Ukraine regarding the illegal cigarette market. The organization called for encouraging Ukrainian authorities to focus on combating illicit trade rather than increasing pressure on legitimate businesses. The European Business Association also requested to the G7 countries with a request to strengthen support for Ukrainian law enforcement agencies in the fight against illegal trade in excisable goods.
Last December, the International Monetary Fund announced a new homework assignment for Ukraine to receive a loan of over $8 billion: implementing measures to expand the tax base and eliminate customs loopholes.
While the IMF inclines While the Ukrainian authorities, for example, are considering introducing a draconian value-added tax for individual entrepreneurs, there are other unused ways to fill the state treasury. Among them is bringing the vape market into the shadows.
According to the law, wholesale and retail trade in tobacco products and liquids used in electronic cigarettes on the territory of Ukraine is carried out if the enterprise has the appropriate licenses.
In addition, from October 1, 2025, both the retail sale and free distribution of tobacco raw materials, raw materials for liquids used in electronic cigarettes, and/or nicotine (a toxic alkaloid extracted from tobacco or obtained through chemical synthesis) will be prohibited.
For violation of the said prohibition, the State Tax Service is authorized to impose financial sanctions in the form of a fine in the amount of 200 percent of the cost of the sold or donated goods (products), but not less than 3 times the minimum wage established by law on January 1 of the reporting (tax) year (i.e. not less than 25 UAH).
E-cigarettes. What's going on with Uvape?
The big picture of what's happening in the market for alternative products to traditional cigarettes can be seen in the high-profile story unfolding around the Uvape network. In the fall of 2025, Glavkom сообщил Reports of massive raids by law enforcement agencies on this chain's e-cigarette retail locations across Ukraine. According to publicly available information, Uvape is one of the largest chains in the Ukrainian e-cigarette market, with over 150 retail outlets, primarily in Kyiv.
The Bureau of Economic Security suspected the network of receiving income from the illegal sale of excisable goods, in particular nicotine-containing mixtures and liquids used in electronic cigarettes.
"Retail outlets, as well as online stores, sell liquids used in e-cigarettes and components for self-mixing liquids for POD systems, which contain glycerin, and propylene glycol flavorings—all sold separately. However, sellers offer nicotine-containing mixtures as gifts, thereby selling illegally manufactured excisable goods. The fact that excisable goods are sold as gifts is not reflected in tax returns.", — law enforcement officers described the “scheme.”
photo from open sources
Reaction to the Uvape network revelation posted on social media renowned economist Alexey Kushch. In his opinion, an interesting pattern is emerging: on the one hand, there is registered brand, which can be officially franchised. On the other hand, behind the flashy sign lies a powerful "shadow" business.
"And then, no matter how many illegal operations you discover, the dealer network will flourish like chestnuts on Khreshchatyk. Because the sign is official, the sales are overt, and the location is within walking distance of City Hall." (one of the Uvape points operated near the building of the Kyiv City Council, Khreshchatyk Street, 21 — "Commander-in-Chief"). That is, the investigation must prove a connection between the illegal production and the dealer network. And this is no longer a crisis of control. It's a loss of control as a political position.", the expert stated.
As of late 2025, the "babovtsy" continued to analyze reams of documentation related to Uvape's activities. Law enforcement officials filed lawsuits received temporary access to things and documents containing banking secrets.
Despite the massive searches and product seizures, Uvape continues to operate. The chain has announced a hiring process. Positions include a regional store manager with a salary of up to 50 UAH, sales consultants in Kyiv, Irpen, Dymer, and Rzhyshchevye (salary up to 30 UAH), and an SMM specialist for brand promotion on TikTok/Instagram (salary up to 30 UAH).
Despite mass searches and product seizures, Uvape announced a recruitment drive for several positions // screenshot: robota.ua
Separately, "Glavkom" drew attention to license expiration For the right to retail tobacco products to Freitis LLC (using the Uvape brand). The expiration date is December 29, 2025.
As evidenced by the analytical system data YouControlIn July 2024, the company "Freitis" was registered by Moscow resident Daniil Popkov. The same Popkov created "Zentos" LLC in the fall of 2023. And the following year, the company lit up in the court registry. Specifically, detectives from the Bureau of Economic Security suspected her of involvement in the sale of e-cigarettes and liquids without a license or excise stamps. The products were sold through the same Uvape network.
After a series of losses for Zentos in the Court of Appeal (failed to return Kyiv resident Daniil Popkov sold the seized e-cigarette additives to Uzbek resident Umidzhon Teshaboev. The company is now called Sot Networking.
Furthermore, the investigation revealed that several other companies, including Rixated, Liftend, Trintals, and Countryx, are operating without licenses at the addresses of Freitis LLC's separate retail locations. Three of these companies are registered at the same address in Kyiv, and two of them were registered on the same day. This may indicate a connection between them.
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In August, journalist Evgeny Plinsky сообщилthat Uvape's connections may be traced back to a member of parliament from Servant of the People. Anatoly Kostyukh and his former volunteer assistant Ivan Cheipesh.
"Glavkom" asked MP Anatoliy Kostyukh to confirm or deny his connection to Uvape. "Thank you for asking me a question before publishing this article, rather than blindly slinging mud and spreading nonsense. I have nothing to do with this (the e-cigarette market and the Uvape network – Glavkom)," the politician assured. The MP insists that Mr. Plinsky is "spreading fabrications."
However, according to Plinsky, it is Kostyukh's former assistant, Cheipesh, who, through his company, Tisa Energy Group LLC, is the main supplier to the Uvape network. The YouControl analytics system does indeed contain a link to decision of the Lychakiv District Court of LvivThat Cheipesh's company "burned out" smuggling e-cigarettes. According to Plinsky, Tisa Energy Group LLC was allegedly transporting goods for the Uvape network. The outcome of this story is still unknown. Furthermore, in 2023, Anatoly Kostyukh used a Mercedes-Benz GLE 250 for Tisa Energy Group LLC, as evidenced by his data. declarations for 2023.
Glavkom also contacted the Bureau of Economic Security and the National Anti-Corruption Bureau, requesting updated information on the investigation into the Uvape network. At the time of publication, law enforcement had not responded.
"Shukher" in the Khmelnytsky region
However, Uvape isn't the only thing that powers this multi-billion dollar market. For example, in the Khmelnytskyi region, police and prosecutors are investigating a number of criminal cases involving the illegal sale of excisable goods and the laundering of proceeds from counterfeit products.
As Glavkom learned from the court registry, a series of searches of retail outlets specializing in the sale of e-cigarettes and refills was conducted as early as early 2026. Specifically, according to investigators, e-cigarette liquids lack proper labeling, certification, and accounting, and are supplied to retail outlets bypassing official supply chains. These products are sold in gross violation of the law, partially without fiscal registration or using counterfeit or altered receipts, indicating systemic illicit activity.
In addition, to make the business appear legitimate, the retail outlets sell flavoring and glycerin for electronic cigarettes, and nicotine is given as a so-called gift, as instructed by the organizers.
At the beginning of 2026, a series of searches took place in the Khmelnytskyi region of retail outlets specializing in the sale of electronic cigarettes and various refills for them // photo: glavcom.ua
Searches were conducted at the following stores: Soska Ваг, AlmazSho, Tabakerka, Tepok, SmokeHab, Vape Shop Tipok, and Vape Shop 18+ Cloud Castle, located in the regional capital and other towns in the Khmelnytskyi region. A number of vape refills (flavorings, glycerin, nicotine, and strength enhancers) were also seized.
Important clarification: glycerin and flavoring are not excisable goods; they can be freely sold.
The Tax Code of Ukraine clearly defines the following concepts:
- E-cigarette liquids - liquid mixtures of chemicals, with or without nicotine, used to create vapor in e-cigarettes and found in, among other things, cartridges, refill containers, and other containers;
- An electronic cigarette is a device that can be used to consume (inhale) vapors generated by heating nicotine-containing or non-nicotine-containing liquids. Electronic cigarettes can be disposable or reusable.
In response to a Glavkom inquiry, Olha Vysochina, Head of the Main Directorate of the State Tax Service in Khmelnytskyi Oblast, reported that over seven thousand inspections involving excisable goods were conducted between 2022 and October 2025. Fines imposed totaled over UAH 66 million, including UAH 2,3 million imposed on businesses selling tobacco products and e-liquids.
In the Khmelnytskyi region, more than seven thousand inspections of excisable goods were conducted between 2022 and October 2025. Fines imposed amounted to over UAH 66 million.
Economic expert Alexey Kushch concludes: the situation surrounding the vape market is more than just a problem for individual retailers. It's a litmus test for law enforcement: how should they respond to the "shadow trade" of goods that would normally be subject to excise tax and compliance with all regulations, including age restrictions.
"Businesses are being 'reformatted,' but the money continues to flow, just through a different channel, past the legal sector and taxation. We're witnessing a clear example of a neo-feudal economic model, where only fools pay taxes, while others 'solve the problems.'", the expert emphasized.
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