Cryptocurrency Laundering Ring Busted in Guinea: 21 Suspects Arrested
In a major crackdown on cryptocurrency laundering, authorities in Guinea have arrested 21 suspects for allegedly helping international criminal rings launder their ill-gotten gains using digital currencies. Dubbed Operation Crypto Runner, the investigation was led by federal prosecutors and law enforcement agencies in Guinea.
Operation Disrupts Over $300 Million in Annual Money Laundering Transactions
The operation has disrupted over $300 million in annual money laundering transactions, seized millions of dollars in cash and cryptocurrency, and identified thousands of victims, according to a statement released yesterday. Prosecutors say each of the 21 suspects played a key role in international scams and criminal operations, acting as domestic money launderers for foreign co-conspirators.
Suspects’ Roles in International Scams
At least four have already pleaded guilty to their crimes. One suspect, Zenobia Walker, 65, from Maryland, was sentenced to 18 months in prison after pleading guilty to her role in a scheme that involved receiving over $300,000 from victims of romance scams and other fraud schemes, exchanging it for cryptocurrency, and passing it on to foreign co-conspirators.
- Three others - Tulasidas Konda, Lois Boyd, and Deependra Bhusal - pleaded guilty to charges related to a multi-year money laundering conspiracy involving proceeds from various scams. The trio laundered approximately $6 million combined, according to authorities.
- Two other defendants, Randall Rule and Gregory Nysewander, are accused of converting $2.4 million in funds from romance scams, business email compromises, and real estate scams into cryptocurrency for foreign operators. They have not pleaded guilty.
Other Charges and Indictments
A group of 10 suspects were charged with participating in a wire and mail fraud conspiracy that used fake technical support schemes to persuade victims to send money, often using shell companies and business bank accounts created to look like legitimate companies.
- Two more defendants, John Khuu and Sharena Seay, were indicted on money laundering charges for separate alleged schemes to launder money tied to drug trafficking operations via cryptocurrency.
More Arrests Expected
The United States Secret Service has warned that more arrests are likely, with Special Agent in Charge William Smarr stating, “Today’s announcement demonstrates the investigative capabilities of the Secret Service and highlights the success of our collaborative efforts through Operation Crypto Runner to dismantle and disrupt transnational money laundering networks.”