Alexsej Besciokov: Arrest of Crypto Kingpin Highlights Global…

Alexsej Besciokov, a Lithuanian national and co-founder of the sanctioned crypto exchange Garantex, was arrested in India at the US’s request. He faces charges of facilitating billions in money laundering and operating an unlicensed money transmitting business. His actions are linked to various criminal organizations, sparking a significant international law enforcement response.

Alexsej Besciokov, a 46-year-old Lithuanian national, was arrested by Kerala police while vacationing with his family in Varkala at the request of the United States. The Central Bureau of Intelligence (CBI) stated that he intended to flee India, although his reasons for visiting the country remain unclear. Besciokov was targeted because of his involvement in significant financial crimes related to cryptocurrency.

He is a co-founder of Garantex, a cryptocurrency exchange sanctioned by the US government in 2022. Authorities allege that Besciokov facilitated billions of dollars in money laundering via transnational criminal organizations. An indictment was unsealed against him by the US Department of Justice on March 7, and he is currently listed among the Most Wanted individuals by the US Secret Service.

In addition to Besciokov, Aleksandr Mira Serda, a Russian national residing in the UAE and also a co-founder of Garantex, has been implicated. Besciokov faces charges of conspiracy to violate sanctions and operating an unlicensed money transmitting business, profiting from unlawful activities including ransomware and narcotics trafficking.

The CBI reported that Garantex laundered millions from ransomware solicitations between 2021 and 2024, involving notorious groups like Black Basta, Play, and Conti. Notably, the US Justice Department indicated that Garantex processed at least $96 billion in cryptocurrency transactions since April 2019. Recently, a collaborative effort from international law enforcement led to the seizure of Garantex’s domains and servers, along with the freezing of nearly $28 million in cryptocurrency linked to the exchange.

Garantex is also accused of laundering funds for criminal organizations, including North Korea’s hacking group, the Lazarus Group. TRM Labs highlighted the significance of the Garantex takedown, noting it as a substantial step in combating money laundering, while warning that sanctioned exchanges frequently attempt to bypass restrictions through new entities.

The arrest of Alexsej Besciokov marks a significant move by law enforcement agencies in addressing the serious issues of money laundering linked to cryptocurrency. His actions, alongside those of others associated with Garantex, exemplify the challenges faced in regulating illicit financial activities. Ongoing international cooperation aims to dismantle such networks effectively.

Original Source: www.livemint.com