Alexsej Besciokov, a Lithuanian national and co-founder of the cryptocurrency exchange Garantex, was arrested in India following a US request due to charges of significant money laundering and cybercrime facilitation. His exchange has processed billions in illicit cryptocurrency transactions, leading to international law enforcement action. Authorities remain vigilant regarding attempts by sanctioned exchanges to evade restrictions.
Alexsej Besciokov, a 46-year-old Lithuanian national, was apprehended by Kerala police in India at the request of the United States. Reports indicate he was vacationing with his family in Varkala when law enforcement took him into custody under a provisional arrest warrant. Details surrounding his presence in India remain unclear, though it is known he intended to leave the country soon after his arrest.
The Central Bureau of Investigation (CBI) disclosed that this action stemmed from a request by Washington, which had previously sanctioned Besciokov’s cryptocurrency exchange, Garantex, in 2022. Besciokov is accused of being instrumental in facilitating substantial money laundering operations conducted by transnational criminal and cybercriminal entities, accumulating trillions of dollars.
In a sealed indictment released by the US Department of Justice, Besciokov was charged with various offenses, including conspiracy to violate sanctions and participation in an unlicensed money transmitting operation. He is also facing accusations of profiting from the laundering activities associated with ransomware attacks and drug trafficking, particularly from notorious ransomware syndicates such as Black Basta, Play, and Conti.
Garantex reportedly processed approximately $96 billion in cryptocurrency transactions since April 2019. Authorities from a coalition of international law enforcement agencies recently acted against Garantex, seizing their domains and servers while freezing nearly $28 million in cryptocurrency linked to the exchange. The organization has been identified as laundering funds for criminal activities, including those associated with North Korea’s Lazarus Group.
The implications of Garantex’s downfall are significant, as emphasized by blockchain research firm TRM Labs, which noted this operation as a crucial step in combating illicit finance. Nevertheless, there lies a risk that such sanctioned exchanges may attempt to circumvent restrictions by establishing new entities.
The arrest of Alexsej Besciokov highlights significant international cooperation in combating cryptocurrency-related crimes. As co-founder of a major exchange accused of facilitating vast money laundering and cybercrime, his apprehension reflects ongoing efforts by law enforcement agencies to address illicit finance. Concerns remain regarding potential evasion tactics by such exchanges, underscoring the challenge involved in regulating this rapidly evolving sector.
Original Source: www.livemint.com
