In Australia, law enforcement has uncovered a large criminal organization that is estimated to have laundered around $190 million by converting cash into cryptocurrencies and using a network of fake businesses. The operation was revealed in Queensland after an 18-month investigation and a series of searches in Brisbane and the Gold Coast.
This is reported by Finway
How the Money Laundering Scheme Operated
The investigation found that the group used a security and cash transport company with legitimate contracts to cover up illegal activities. Cash obtained from organized crime was converted into cryptocurrencies, after which the money passed through a network of shell companies. Among them were a classic car sales firm and a company providing advertising services. This was how the criminals attempted to conceal the true origin of the funds.
“We assert that this organization deliberately concealed and disguised the source, volume, and nature of the illegal funds, distancing itself from them to avoid detection by law enforcement,” said AFP Detective Superintendent Adrian Telfer.
Individuals Involved and the Scale of Seizures
As part of the investigation, police conducted 14 searches and charged four individuals:
- A 32-year-old Brisbane resident who laundered $9.5 million through a company registered in his wife’s name; he has been taken into custody, charged with money laundering and refusing to provide a phone password.
- A 48-year-old director and a 35-year-old manager of the security company, suspected of legitimizing over $10 million in criminal proceeds; they are currently on bail.
- A 58-year-old man associated with a car dealership, who, according to the investigation, funneled over $6.4 million through business accounts; he is suspected of using fake documents and money laundering.
Seized were $170,000 in cryptocurrencies, $30,000 in cash, encrypted devices, and business documents. Among the confiscated assets are 17 properties, bank accounts, and vehicles worth approximately $21 million, which the investigation claims are proceeds from criminal activities.
In particular, a scheme for moving cash between states was established through so-called “dead points” — locations where large sums were left, which were then transported by air couriers to Queensland, where they were picked up by employees of the security firm.
“This was a complex and calculated scheme that shows how far criminals are willing to go for profit,” added Detective Telfer.
More than 70 specialists from various government agencies, including the Australian Federal Police, the Tax Office, the Border Force, the Australian Transaction Reports and Analysis Centre (AUSTRAC), and the Criminal Intelligence Agency, were involved in the investigation. The investigation is ongoing, and further arrests are not ruled out.
It is worth noting that recently AUSTRAC introduced a limit on transactions with cryptocurrency ATMs to 5,000 Australian dollars (approximately $3,229).