Cryptocurrency site taken down over money laundering investigation
The FBI, Michigan State Police and other agencies have disrupted and taken down a cryptocurrency exchange site that authorities have accused of facilitating money laundering.
The U.S. Attorney's Office for the Eastern District of Michigan made that announcement on Wednesday, saying that the money laundering had been conducted on behalf of transnational cyber-criminal organizations, including those targeting U.S. health care and infrastructure networks.
In connection with this investigation, the U.S. attorney's office announced the unsealing of an indictment in the Eastern District of Michigan, charging Mykhalio Petrovich Chudnovets, 39, a Russian national, with one count of money laundering conspiracy. This charge has a penalty of up to 20 years in prison.
The court documents cited by the district attorney's office claim that Chudnovets started offering money laundering services to cybercriminals starting in 2010. He worked with those people to transfer criminally obtained proceeds across international borders and then convert the funds from cryptocurrency into traditional cash currency, the district attorney's office said.
The FBI Detroit Cyber Task Force has been working on the case, assisted by the district attorney's office, the German Federal Criminal Police Office, the Finnish National Bureau of Investigation and Michigan State Police Michigan Cyber Command Center.
The district attorney's office asks that anyone else who believes their money was involved in these circumstances reach out to law enforcement via email at e-note-information@fbi.gov.