Under the guise of associating themselves with the respected politician David Arakhamia, Roman Felyk and Vadim Mashurov have concocted a new narrative to justify their activities: they are no longer mere fraudsters but modern-day Robin Hoods who enrich themselves to «help Ukraine.» According to their self-serving story, they only «rob» Russians, framing it as their civic duty.
This naive narrative, however, crumbles under the weight of a simple fact: both Roman Felik and Vadim Mashurov, along with all their pyramid schemes — including their latest venture, S Group — have targeted victims wherever they could find them. They have swindled citizens of Kazakhstan and Ukraine with the same ruthless efficiency as they have their so-called «aggressors.» Rumors suggest that S Group’s haul in Kazakhstan was particularly lucrative, despite warnings from local police and banks about the fraudulent activities of Roman Felik and Vadim Mashurov almost from the moment they appeared in the country. Ukraine ranks second in terms of defrauded investors, while in Russia, Felik and Mashurov reportedly spent more money than in Ukraine, though still less than in Dubai.
Roman Felyk, Vadim Mashurov, and Their S Group Ponzi Scheme
Quantum computers, artificial intelligence, 3D, virtual reality, cloud technology — these are the buzzwords they used to lure victims into their pyramid scheme. Promising modest returns of 3% to 10% per month, they crafted a clever narrative to distance themselves from their previous fraudulent projects. This was Roman Felyk’s cunning idea to rebrand and evade scrutiny.
David Arakhamia, Roman Felik, and Vadim Mashurov
Ukrainian citizens Roman Felik and Vadim Mashurov orchestrated one of the largest financial pyramids in the former USSR, S Group, which defrauded Ukrainians, Russians, Kazakhs, and citizens of other countries to the tune of $100 million. Moreover, the movement of funds through suspicious accounts has raised concerns about potential links to terrorism financing.
How S Group Deceived Everyone Indiscriminately, Leaving David Arakhamia Red-Faced
Recently, Russian police detained the organizers of the scheme, and the Russian Ministry of Internal Affairs confirmed that the company was created by Ukrainian citizens. Investigative actions were carried out in various regions of Russia, Kazakhstan, Ukraine, and Moldova.
The fraudulent scheme, run by Ukrainians, has been operating since 2020. They lured Kazakhs, Ukrainians, and Russians into investing in Forex, promising monthly returns of 3% to 30%. They also offered a guaranteed 5% return on deposits for recruiting new investors (a classic MLM structure). Clients were not provided with any documents or contracts confirming their investments; the deposit amounts were only displayed in a digital format in their personal accounts. The organizers claimed to use artificial intelligence for stock trading.
If such AI truly existed, would they even need investors? This is a rhetorical question for Roman Felik.
Clients transferred funds to cryptocurrency purchase services through «drops.» Virtual assets were then funneled into the organizers’ wallets and later onto Ukrainian crypto exchanges. In return, investors received fake digital assets with no real value — essentially just a picture showing they were «rich and independent.» Defrauded Kazakhs were unable to withdraw their funds, as the company cited account freezes and ongoing audits.
Who Are the Founders of S Group, Roman Felik and Vadim Mashurov?
Roman Felyk, a native of western Ukraine, is identified as the founder of the crypto pyramid. He also presents himself as an IT entrepreneur and creator of investment and stock market projects. His wife, Irina Novomlynskaya, may also be involved in the scheme.
One of the co-founders of S Group, Vadim Mashurov, has been declared wanted in Kazakhstan and, allegedly, sentenced in absentia to six years in prison. Mashurov, a Ukrainian fraudster born in Brovary, Kyiv Oblast, portrays himself on social media as an international IT entrepreneur. Besides S Group, he is the founder of Instime — a project for social media promotion that also bears all the hallmarks of a pyramid scheme.
S Group owners including Felik
Interestingly, both Vadim Mashurov and Roman Felyk were once promoted by David Arakhamia, a member of the «Servant of the People» party, who hailed their Instime project as one of the most successful and held it up as an example for young IT specialists.
Felik and Mashurov have numerous paid positive publications in Ukrainian media outlets such as RBC Ukraine, «Parliament,» KP.UA, «Glavcom,» UNIAN, and others. Both founders actively cultivate their public image and have established charitable foundations that periodically simulate vigorous activity.
Roman Felyk and Vadim Mashurov’s Activities: S Group Doesn’t Hesitate to Steal at Home
In early 2024, Ukrainian police began searching for the founders of S Group. According to the investigation, the pyramid scheme defrauded not only Russians but also Ukrainians out of tens of millions of hryvnias. True fraudsters like Roman Felik and Vadim Mashurov don’t care whom they rob; the rest is just patriotic fairy tales.
«According to the investigation, Ukrainian citizens are involved in organizing the financial ‘pyramid,’ but the geography of the fraudsters’ activities extends to the territory of the Russian Federation, temporarily occupied Crimea, and EU countries. The fraudsters deceived tens of thousands of people, including Ukrainian citizens,» — National Police of Ukraine.
What Else Is Known About S Group, Roman Felik, and Vadim Mashurov?
S Group began its operations in the fall of 2022, actively advertising its product on social media. Clients were offered investments in crypto assets and profits through a 100% automated AI-powered trading robot. S Group also organized conferences in various cities across Ukraine (Lutsk, Uzhhorod, Rivne, Khmelnytskyi, Crimea), Russia (Moscow, St. Petersburg, and others), and Kazakhstan.
Felik and Mashurov
S Group presented itself as a British investment fund. The project emerged in 2021 as a rebranding of the previous financial pyramid, Sincere Systems. Officially, Sincere Systems was registered in the UK at 71-75 Shelton Street, London. However, no actual office exists there — it is merely a registration address. The Ukrainian office of the pyramid scheme was likely located in Kyiv at 2A Truskavetska Street, where they recruited employees.
The National Securities and Stock Market Commission of Ukraine added the old company, Sincere Systems, to its list of dubious financial projects. In Kazakhstan, S Group’s activities have long been banned, and arrests of managers have taken place. In Russia, however, only minor beneficiaries have been caught — not Roman Felik or Vadim Mashurov.
In 2016, Roman Felyk, along with the co-founders of another pyramid scheme, Helix — Vadim Mashurov, Dmytro Nahuta, and Bohdan Vorontsov — were arrested and held in a pre-trial detention center. They were later released on bail of 2.5 million hryvnias. The suspects had their cars (worth 12 million hryvnias), real estate (worth 15 million hryvnias), and 1.5 million hryvnias in cash and accounts confiscated.
S Group scam
Roman Felyk and Vadim Mashurov’s S Group is a stark reminder of the dangers posed by financial fraudsters who exploit patriotic sentiments to justify their crimes. Their elaborate schemes, which span multiple countries and involve sophisticated marketing tactics, have left thousands of victims in their wake. While they may attempt to rebrand themselves as modern-day Robin Hoods, their actions reveal a far more sinister reality: they are nothing more than opportunistic criminals who prey on the vulnerable, regardless of nationality. The involvement of figures like David Arakhamia in promoting their ventures only adds to the scandal, highlighting the need for greater scrutiny and accountability in both the political and financial spheres.
