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Crypto Money Laundering Scandal: Epoch Times CFO Bill Guan Indicted by US DOJ
In a significant development, the US Department of Justice (DOJ) has indicted Bill Guan, chief financial officer of Epoch Times, a global newspaper and media company, for allegations of participating in a scheme to launder approximately 67 million dollars using crypto.
THE charge accuses Guan of being involved in a “transnational money laundering conspiracy” to benefit himself, the media company and its subsidiaries.
Multi-million crypto money laundering scheme
According to U.S. Attorney Damian Williams, Guan allegedly conspired with others to launder “tens of millions of dollars” obtained through “fraudulent unemployment insurance benefits” and other illicit activities.
The indictment further alleges that Guan, as chief financial officer of Epoch Times, played a central role in money laundering scheme from 2020 to May 2024.
Under his leadership, the company’s “Make Money Online” team (MMO team) used crypto to purchase tens of millions of dollars in proceeds of crime, including fraudulently obtained and loaded unemployment insurance benefits. on prepaid debit cards.
Participants in the scheme, including Team MMO and others, purchased the proceeds of crime at discounted rates using a specific but undisclosed name. digital asset platform.
The stolen personally identifiable information was then used to open accounts, including prepaid debit card accounts, cryptocurrency accounts, and bank accounts, to transfer the illicit funds to media entities associated with The Epoch Times.
The proceeds of crime were then laundered by various Bank accounts held by the media entities, Guan’s personal bank accounts and his cryptocurrency accounts.
Decades in prison?
During the period coinciding with the money laundering activities, the DOJ says the Epoch Times’ internal financial accounting showed a staggering 410% increase. annual revenue compared to the previous year, reaching approximately $62 million.
When asked by banks about the sudden increase in transactions, Guan allegedly lied, saying the funds came from donations. However, in 2022, Guan wrote a letter falsely stating that donations made up an insignificant portion of the company’s overall revenue.
Guan, a resident of Secaucus, New Jersey, faces charges of conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison, and two counts of bank fraud, each punishable by a maximum prison sentence of 20 years. maximum sentence 30 years in prison.
The investigation involved collaboration between multiple law enforcement agencies. Jonathan Mellone, Special Agent for the Department of Labor’s Office of Inspector General (DOL-OIG), outlined his mission to investigate allegations of fraud related to the U.S. Department of Labor’s unemployment insurance program.
The charges against the defendant are allegations and the judge will determine the sentence after the trial.
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