Feds Bust Worldwide Money-Laundering Operation
Courtesy Cyrus Farivar, ArsTechnica
On Tuesday, federal prosecutors unsealed the indictment of seven men alleged to be involved with Liberty Reserve, one of the world’s most notorious digital currencies. (Liberty Reserve was thepreferred payment choice of a booter site used to attack Ars in March of 2013.)
Federal authorities seized LibertyReserve.com and four other related domain names, effectivelyshutting down the site. The site’s founder, Arthur Budovsky Belanchuk (who apparently renounced his US citizenship in 2011 to become a Costa Rican citizen), was arrested last Friday.
In a 27-page indictment (PDF), the defendants are charged with money laundering and conspiracy to operate unlicensed money transmitting business. They are ordered to surrender "all property, real and personal” including: “at least $6 billion” and tens of millions of dollars more allegedly contained within bank accounts across Costa Rica, Cyprus, Russia, Hong Kong, Morocco, China, Spain, Latvia, and Australia.