It means 'Death to the Spies' in Russian. OT: the abbreviation SMERSH really existed during the WWII.
I think that 'Casino Royale' (the way it was made) illustrates the fact that bigger is not always better - overlong and overblown, written and directed by five or more writers and directors, it brings to mind an old saying, 'Too many cooks spoil the broth'. Le Chiffre, a banker to the world’s terrorists, is scheduled to participate in a high-stakes poker game in Montenegro, where he intends to use his winnings to establish his financial grip on the terrorist market. Only Woody Allen, (as Bond's incompetent nephew, Jimmy Bond) brilliant as usual has appeared in two scenes and made them silly and hilarious. Then, the movie becomes silly, stupid, pointless, and (what is the worst) not funny. His mission is to destroy Topple LeChiffre (Orson Welles} at the baccarat tables where he never loses and wins a lot of money to supply SMERSH. It started funny enough - at Sir James Bond's (David Niven) home where he was approached by four international agents that forced him to come out of retirement and head up the operation against the evil organization SMERSH. What a mess of the royal proportions - such a great cast (Peter Sellers, David Niven, Orson Welles, Woody Allen, Ursula Andress, Deborah Kerr, and Jean-Paul Belmondo), the James Bond's story, plenty of beautiful (and I mean it) girls, the music by Burt Bacharach, most famous sets - but the movie is almost totally unwatchable.