In April, South Korean police arrested four Uzbek nationals under the Anti-Terrorism Financing Act. The accusation: they funneled cryptocurrency to a Syrian militant group, then used the money to buy vehicles and equipment.
The main suspect has already been indicted and is still in custody. The other three are being investigated without detention. And Interpol has issued a Red Notice for one individual.
Gwangju Metropolitan Police said the lead suspect sent 4,267 USDT to Katibat Tawhid wal Jihad (KTJ) in seven transactions between August 2024 and April 2025. KTJ was formed in 2014 and is made up mainly of Central Asian fighters. The United Nations and the United States both classify KTJ as a terrorist organization.
Investigators said they also found the suspect received cryptocurrency from KTJ, then used it to buy 11 used cars and two excavators worth 170 million won, or about $121,000. Those vehicles were shipped to Syria. The three other suspects allegedly helped with the purchasing and export. Small but serious detail.
Police said this is the first case in South Korea involving cryptocurrency received from a terrorist organization and then used to buy and supply vehicles. Investigators found the main suspect used three personal crypto wallets and paid for the vehicles by depositing funds into his spouse's bank account. The case is still under investigation. (Source: Decrypt)