U.S. authorities are moving to seize $7.1 million in cryptocurrency that was initially confiscated by Homeland Security back in December of 2024.
A public statement released on July 22nd by the U.S. Attorney’s Office in Seattle indicates that a legal action has begun aimed at recovering a portion of $97 million connected to an elaborate scheme. This scheme is alleged to have occurred between August 2022 and August 2024.
According to Acting U.S. Attorney Teal Luthy Miller, “The individuals involved in this fraudulent operation attempted to conceal the illegally obtained funds by transferring them through various cryptocurrency accounts, effectively laundering the money stolen from unsuspecting victims.”
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The accounts in question, which are the subject of the forfeiture efforts, are reportedly held by individuals residing in Russia and Nigeria.
A key figure in this case, Geoffrey Auyeung, received an indictment in August of 2024. The indictment alleges Auyeung’s involvement in managing a significant portion of the funds acquired through the fraudulent investment scheme.
According to prosecutors, Auyeung utilized the misappropriated funds to acquire a variety of cryptocurrencies, including Bitcoin
$12.26B
. Authorities have also seized $2.3 million directly from his various bank accounts.
The Justice Department states that investors were allegedly told their contributions would be invested in oil storage facilities, generating revenue through rentals. However, after receiving the investments, the operators of the scheme reportedly ceased communication with the investors.
To date, officials have verified losses totaling $17.9 million. It is anticipated that additional victims will come forward, and they will be given the opportunity to file claims for potential reimbursement once their claims have been substantiated.
In a related development, the Financial Conduct Authority (FCA) and the Metropolitan Police recently confiscated seven cryptocurrency vending machines and apprehended two individuals in southwest London. Want to know more? Get the complete story here.
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