Highlights:
- U.S. authorities charged two Russian nationals for laundering money and evading sanctions through crypto.
- They also seized websites linked to three illegal cryptocurrency exchanges.
- The Justice Department’s actions signal a strong push against cyber-enabled financial crimes.
On September 26, the US Department of Justice (DOJ) announced a crackdown on two Russian nationals and three cryptocurrency exchanges accused of facilitating illicit transactions exceeding $800 million linked to Russian money laundering operations. US authorities secured court approval to seize the domains of UAPS, PM2BTC, and Cryptex. Visitors to these domains will encounter a government notice stating that the sites have been seized due to illegal activity.
Advertisement
Allegations Against Crypto Exchanges
PM2BTC is accused of handling proceeds from ransomware attacks and other illegal activities. Chainalysis states that PM2BTC shares wallet infrastructure with UAPS (Universal Anonymous Payment System), an underground payment processing network.
Cryptex allegedly facilitated transactions totaling $1.4 billion, with 31% linked to criminal activities. US authorities seized the domains “Cryptex.net” and “Cryptex.one,” which reportedly offered anonymity to users by allowing account registration without meeting know-your-customer compliance requirements. Like UAPS and PM2BTC, Cryptex targeted cybercriminals in its advertising.
The Treasury Department recognized the US Secret Service Cyber Investigative Section, the Dutch Fiscal Intelligence and Investigation Service, and the Netherlands Police for seizing web domains and infrastructure linked to PM2BTC, Cryptex, and Ivanov. Chainalysis and Tether also contributed to this collaborative effort.
Two Russian Nationals Charged in Connection with Operating Billion Dollar Money Laundering Services
Justice Department Seizes Web Domains for Multiple Illicit Crypto Exchanges
🔗: https://t.co/GgBIR6Jeo1 pic.twitter.com/SRqOlejCs4
— Criminal Division (@DOJCrimDiv) September 26, 2024
DOJ Charges Russian Cybercriminals ‘Taleon’ and ‘JokerStash’ in Laundering Scheme
According to court documents, the DOJ accused Sergey Ivanov, known as “Taleon,” of running multiple money laundering services for cybercriminals, including ransomware gangs and darknet drug traffickers.
Ivanov allegedly established and managed Russian payment and exchange services, including UAPS, PinPays, and PM2BTC. Between July 2013 and August 2024, these services processed approximately $1.15 billion in digital asset transactions for money laundering.
Authorities indicted Russian national Timur Shakhmametov for running Joker’s Stash, one of the largest carding websites ever, which sold stolen credit and debit card information. Similar to Ivanov, Shakhmametov allegedly advertised the Joker’s Stash website and its stolen payment card details across multiple cybercrime forums.
Documents unsealed in the District Court of Eastern Virginia reveal that Ivanov faces one count of conspiracy to commit and aid in bank fraud related to websites involved in “carding,” which is the trading of stolen credit card information.
Timur Shakhmametov has been charged with one count of conspiracy to commit access device fraud, one count of conspiracy to commit and aid in bank fraud, and one count of conspiracy to commit money laundering. The Govt. is offering a reward of up to $10M for information leading to the arrest of Ivanov or Shakhmametov.
DOJ’s Coordinated Effort Against Cyber Financial Crimes
The DOJ’s actions mark a strong push against cyber-enabled financial crimes, sending a clear message to combat illicit flows. This approach, which involves various government agencies and international partners, seeks to dismantle criminal networks and protect global financial integrity.
Earlier this year, the US Treasury’s Office of Foreign Assets Control sanctioned 13 entities and two individuals. They allegedly established crypto services to help Russian nationals evade international sanctions. The OFAC aimed to limit Russia’s capacity to use the international financial system amid its ongoing hostilities with Ukraine.
Advertisement
