Key facts
- The U.S. Federal Trade Commission (FTC) filed a lawsuit on June 17 against Ukrainian IT firm Genesis Tech.
- The FTC alleges Genesis Tech defrauded consumers through deceptive subscription schemes, hidden costs, and recurring charges.
- A federal court has temporarily halted the operations of 15 corporations and eight individuals associated with Genesis Tech.
- Genesis Tech allegedly uses shell companies in Cyprus and Delaware to evade fraud detection.
- Deceptive products from Genesis Tech generated approximately $250 million in revenue between early 2023 and mid-2025.
The U.S. Federal Trade Commission (FTC) has filed a lawsuit against Genesis Tech, one of Ukraine's largest IT firms, accusing it of defrauding consumers through deceptive subscription schemes. A federal court has issued a temporary restraining order, halting the operations of 15 corporations and eight individuals associated with the Kyiv-based company.
The FTC alleges that Genesis Tech and its affiliates employed convoluted mechanisms to hide costs, implement recurring charges, and make it difficult for consumers to cancel subscriptions. The firm is accused of continually registering new companies and opening new bank accounts across Cyprus and Delaware to evade fraud monitoring programs and channel illicit gains overseas.
According to the FTC complaint, Genesis Tech and its co-founders, Volodymyr Mnoholetniy and Vasily Ulyanov, created numerous deceptive products. These include fitness and nutrition apps like MadMuscles, Harna, and Unimeal; productivity app Wisey; PDF editors PDF Guru and PDF Master; fashion app Lumi; and horoscope platform Nebula. These products reportedly generated approximately $250 million in revenue between early 2023 and mid-2025.
Founded in 2008, Genesis Tech had been recognized as a significant player in Ukraine's IT sector, securing partnerships with tech giants like Google and Facebook. The company attracted investment from major backers such as Horizon Capital and achieved a valuation exceeding $1 billion. The Genesis Tech ecosystem encompasses over 25 companies, with more than a billion product downloads and tens of millions of monthly users. The firm also played a role in founding other notable Ukrainian startups like BetterMe and Headway.
Genesis Tech has not yet issued a public statement regarding the accusations. The Kyiv Independent reported that the company did not respond to requests for comment by the time of publication.