The U.S. Department of Justice said its Fraud Section’s anti-fraud task force and the Treasury Department carried out a coordinated enforcement action against Xinbi Guarantee, seizing and restricting more than $52 million in crypto assets in a single day. The move brought the task force’s total amount of restrained assets to about $938 million. Tether provided proactive assistance in the investigation, according to the DOJ.
The DOJ alleged that Xinbi operated mainly through Telegram as an illicit scam-services marketplace. Authorities said it supplied customized investment scam websites and money laundering services to fraud rings, and recruited trafficking victims to work in scam compounds in Southeast Asia. Law enforcement seized Xinbi’s Telegram channel, along with two crypto wallets holding about $12 million combined, and also restricted another 47 related wallets.
At the same time, the Treasury Department’s Office of Foreign Assets Control designated Xinbi as a major transnational criminal organization and sanctioned two additional entities that allegedly supported it. The task force also assisted Madagascar in shutting down 13 scam compounds run by Chinese criminal groups, processing more than 3,200 electronic devices and leading to nearly 400 arrests locally.
The U.S. Department of Justice said its Fraud Section’s anti-fraud task force and the Treasury Department carried out a coordinated enforcement action against Xinbi Guarantee, seizing and restricting more than $52 million in crypto assets in a single day. That pushed the task force’s cumulative restrained asset total to about $938 million. Tether provided proactive assistance in the investigation, according to the DOJ.
The DOJ alleged that Xinbi was an illicit scam-services marketplace that operated mainly through Telegram. It said the platform provided customized investment scam websites and money laundering services to fraud groups, while also recruiting trafficking victims to work in scam compounds in Southeast Asia. Authorities seized its Telegram channel and two crypto wallets holding about $12 million in total, and restricted another 47 related wallets.
The Treasury Department’s Office of Foreign Assets Control also designated Xinbi as a major transnational criminal organization and sanctioned two additional entities that allegedly supported it. The task force also assisted Madagascar in shutting down 13 scam compounds run by Chinese criminal groups, processing more than 3,200 electronic devices and leading to nearly 400 arrests there.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
