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Russian teenagers arrested for ‘crypto money laundering’
Last updated: May 15, 2024, 7:30 p.m. EDT | 1 minute reading
Two Russian teenagers have been arrested as part of a crackdown on a suspect of using cryptography.money laundering» sounds, said a police source on May 14.
According to the press agency URAan anonymous member of the Khanty-Mansi Autonomous Okrug’s “law enforcement agencies” said the teenage brothers “attracted other teenagers” from the region to their project.
Russian teenagers organized a ‘cryptocurrency exchange’ with an ‘organized crime gang’
The source said some of the teens’ parents sent a “statement” to area law enforcement in April.
The parents reportedly told police that “an organized crime group” had “involved their children” in what appears to be an illegal cryptocurrency trading operation.
Police appeared to be unaware of the plan prior to the information, but launched an investigation shortly afterward.
The source claimed that the two brothers offered their fellow teenagers “small financial benefits” for processing crypto-related transactions through their bank accounts.
One of the teens made transactions worth nearly $22,000 in funds linked to crypto exchanges through his bank account in a span of two months, the source added.
This resulted in the teen earning approximately $4,400 in cash, which he “hid under his pillow at home,” the source concluded.
The federal agency “involved in the matter”
The case reportedly attracted the attention of the federal investigative agency, the Investigative Committee of the Russian Federation.
The head of the committee, Alexander Bastrykin, also “intervened” personally, the media outlet reported. He added that the regional branch of the committee is also “monitoring” the case.
The media outlet concluded that it had contacted the committee branch of the Khanty-Mansi Autonomous Okrug, which has not yet commented on the issue.
Crypto exchanges currently have no legal status in Russia. But the national anti-money laundering agency Rosfin monitoring called on Moscow to accelerate the deployment of regulatory laws.
The agency and police say crypto has become the favored choice of money launderers and criminals in Russia.
Russian exports of crude and oil products in April hit their lowest level in five months due to Ukrainian drone attacks, according to the International Energy Agency https://t.co/k9t0yYeFF1
– Bloomberg (@business) May 15, 2024
Lawmakers are ready to to debate a key piece of crypto legislation in the coming weeks.
The bill would propose banning all domestic crypto exchanges except official sandbox operators.
The bill proposes to allow energy suppliers to “hunt” crypto miners from home. He also proposes to legalize the industrial sector of cryptocurrency mining.