Major Crypto Exchange Crackdown Intensifies
In a significant development for crypto regulation enforcement, Indian authorities have apprehended Aleksej Besciokov, co-founder of cryptocurrency exchange Garantex, amid allegations of extensive money laundering operations totaling over $60 billion. The arrest marks another milestone in India’s increasingly active role in global crypto oversight.
The Arrest and Allegations
Besciokov, 46, was arrested in Varkala, Kerala, following an unsealed US Department of Justice indictment. The charges paint a disturbing picture of Garantex’s operations since its 2019 launch:
- Over $60 billion in suspicious transactions processed since 2022 sanctions
- Facilitation of ransomware attacks and drug trafficking
- Enabling Russian oligarchs to evade international sanctions
- Operating an unlicensed money transmitting business
Technical Infrastructure and Criminal Enterprise
As Garantex’s primary technical administrator, Besciokov allegedly operated under the alias “proforg,” maintaining critical infrastructure and approving transactions. German and Finnish authorities have seized the exchange’s servers, while US officials have frozen $26 million in related assets.
Legal Implications and Market Impact
The charges carry severe penalties:
- Up to 20 years for violating International Economic Emergency Powers Act
- Additional 5 years for unlicensed money transmission
- Asset forfeiture of all property linked to criminal activities
This case highlights the increasing scrutiny of crypto exchanges and the growing cooperation between international law enforcement agencies in combating crypto-related financial crimes.
Source: Newsbtc