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Tsekhovik

In the second economy of the Soviet Union a tsekhovik (, plural: цеховики, thekhoviki) was an owner and operator of a illegal, underground factory. The manufactured goods were distributed via black market. The term derives from the word "tsekh" , a factory shop.

With the exception of petty handicraftsmanship, any larger scale manufacturing was illegal in late Soviet Union.

The operation of tsekhoviks was based on the widespread consumer goods in the Soviet Union produced by legal planned economy of the country. Tsekhoviks had well-established connections both with corrupted officials and with criminal world, both for the safety and efficiency of the operation.

A notable criminal case resulted from "Operation 'Cartel'" carried out by KGB, which uncovered a major Soviet fur mafia operating several illegal furrier factories in Kazakh SSR. It ended in prosecution of some 500 people, with 3 bosses receiving death sentence.

Withe the beginning of perestroika, which, among other things, allowed private enterprise, many former tsekhoviks suddenly became wealthy, respectable entrepreneurs, known as " new Russians". At the same time the growth of criminal enterprise continued well into the history of modern Russia, the driving force being increased profit via tax evasion and violation of various health, safety, etc., codes.