Rossen Iossifov, the convicted proprietor of the RG Cash crypto change platform has been sentenced to 10 years imprisonment for cash laundering.
As beforehand reported by Cointelegraph, a federal jury in Frankfort Kentucky discovered the Bulgarian nationwide responsible of conspiracy to commit racketeering and cash laundering again in Sep. 2020. The responsible verdict got here after solely a two-week trial interval.
In line with the USA Justice Division on Tuesday, Iossifov and different RG Cash principal actors participated in an elaborate cash laundering conspiracy that defrauded at the least 900 Individuals to the tune of over $7 million.
As a part of the rip-off, Iossifov and different co-conspirators would promote on main public sale channels like Craigslist and eBay for non-existent luxurious gadgets. The funds from this operation had been routinely routed by way of crypto funds to legal organizations.
The Justice Division communique additionally revealed that Iossifov laundered cash for the AOAF, a identified cybercrime syndicate based mostly in Jap Europe. In whole, Iossifov reportedly allowed nearly $5 million in soiled cash to cross by the RG Cash platform in change for cryptocurrencies.
Regardless of assertions on the contrary, Iossifov’s RG Cash platform based mostly in Bulgaria didn’t mandate any Know Your Buyer compliance. The convicted Bulgarian additionally reportedly earned $184,000 from the proceeds of those cash laundering transactions.
Of the 20 principal actors of the RG Cash cash laundering scheme, 17 have to date been convicted. Iossifov’s jail time period is the longest of the seven individuals sentenced so far. Authorities are nonetheless on the hunt for the three fugitives nonetheless at giant.
As a federal prisoner within the U.S., Iossifov should serve at the least 85% of his 121-month jail sentence.
Iossifov is the most recent crypto change operator to be jailed for cash laundering. Again in December 2020, a French court docket sentenced Alexander Vinnik to 5 years imprisonment for his function within the BTC-e cash laundering case.
