Rossen Iossifov, the convicted proprietor of the crypto change platform RG Cash, has been sentenced to 10 years in jail for cash laundering.
As beforehand reported by CoinTelegraph, a federal jury in Frankfort Kentucky discovered the Bulgarian citizen guilty of conspiring to extortion and cash laundering in September 2020. The responsible verdict got here after only a two-week trial.
Based on the US Division of Justice on Tuesday, Iossifov and different RG Cash key actors participated in an elaborate cash laundering conspiracy that defrauded no less than 900 People to the tune of greater than $ 7 million.
As a part of the rip-off, Iossifov and different co-conspirators would promote nonexistent luxurious objects on main public sale channels reminiscent of Craigslist and eBay. The cash from this operation was routinely channeled to legal organizations through crypto funds.
The Justice Division communiqué additionally revealed that Iossifov was laundering cash for the AOAF, a widely known cybercrime syndicate based mostly in Japanese Europe. In whole, Iossifov reportedly let practically $ 5 million in soiled cash cross by means of the RG Cash platform in change for cryptocurrencies.
Regardless of allegations on the contrary, Iossifov's RG Cash platform in Bulgaria didn’t impose Know Your Buyer compliance. The convicted Bulgarian additionally reportedly made $ 184,000 from the proceeds from these cash laundering transactions.
Of the 20 foremost actors of RG Cash' cash laundering program, 17 have been convicted to this point. Iossifov's imprisonment is the longest of the seven convicts to this point. The authorities are nonetheless on the hunt for the three refugees who’re nonetheless at giant.
As a federal prisoner within the US, Iossifov should serve no less than 85% of his 121-month jail time period.
Iossifov is the newest crypto change operator convicted of cash laundering. A French courtroom was established in December 2020 condemned Alexander Vinnik as much as 5 years in jail for his position within the BTC-e money laundering case.