The PiterGSM electronics store in St. Petersburg has been shut down following a visit from customs officials who discovered a large quantity of undocumented goods. The raid, which took place at the store located on 2nd Sovetskaya Street, revealed suspiciously low prices and a lack of necessary documentation for the merchandise.

As a result of the inspection, authorities are in the process of confiscating equipment estimated to be worth at least 100 million rubles. The full extent of the potential fines and the implications for what authorities suspect to be a long-running scheme remain unclear.

The investigation was prompted by discrepancies between PiterGSM’s prices and those of other electronics retailers in the city. Customs officials requested documentation, declarations, and certificates of conformity for the products but received neither the documents nor any valid explanations.

During the initial inspection, officials cataloged approximately 3,000 units of expensive goods from the store and a matching amount from the warehouse, with the total value exceeding 100 million rubles. A complete inventory of the remaining goods is currently underway.

Following the inventory, the store faces potential confiscation of goods, fines, further examination, and additional customs duties. While the term “smuggling” has not been officially declared, the investigation could lead to criminal charges related to evasion of customs payments.

The store’s website now displays a red banner stating, “Due to technical reasons, the store is temporarily closed,” with apologies to customers. This is not the first time PiterGSM has faced scrutiny from customs officials, with a similar visit occurring in 2022.

PiterGSM has been operating in St. Petersburg since the 2000s, and over the years, the store has gained a reputation for offering electronics and household appliances at notably lower prices. Customers have frequently cited the store’s prices as being “cheaper than anywhere else,” and while many have had positive experiences, others have expressed concerns about the sales process and service.

The store’s business model differed from conventional retailers, with customers required to place orders online, check availability by phone, and then wait in line to make purchases with cash. The store’s registered owner is listed as individual entrepreneur Mikhail Malygaev.