NEW YORK, June 1 (Audio) A US district court has ordered the detention of an Indian-Canadian entrepreneur charged with laundering 450 Bitcoins (BTC) worth $24,020,699.83 at the time of the transaction.
The order against Firoz Patel, 48, was issued on Wednesday, just before he was sent to prison for another case in 2021.
Two indictments, which were opened on May 17, charged Philos with money laundering and engaging in financial transactions of property derived from certain illegal activities.
Judge Dabney L. Friedrich of the Federal District Court of Columbia has ordered Mr. Philos to be held in custody pending trial, according to a Justice Department statement.
Previously, Mr. Filoz, his brother Ferhan, and their company MH Pillars, which did business as Payza, were charged with operating an unlicensed internet-based money services business that processed more than $250 million in transactions. prosecuted in court.
Defendants operated a money transfer business through Payza.com, an internet-based payment service, which operated without the required state license and intentionally transferred funds derived from illegal activities.
The brothers each pleaded guilty to conspiracy to commit crimes against the United States by operating an unauthorized money transfer business and laundering financial products.
As part of the plea bargain, Fellows was required to disclose all known assets to the U.S. government.
On November 10, 2020, he was sentenced to 36 months in prison and given a reporting date.
The court also ordered the confiscation of “real property or any personal property” involved in the crimes that Philos Patel pleaded guilty to.
According to court documents, Firoze transferred 450 BTC, traceable to Payza.com, to a U.S. cryptocurrency exchange account between the judgment and the date of the report.
450 bitcoins would have been subject to forfeiture in Mr. Firoze’s previous criminal proceedings.
The cryptocurrency exchange account was opened using Firoz’s father’s name and date of birth, but Firoz controlled the email address and phone number.
When the cryptocurrency exchange asked for additional information about accounts and large deposits, it responded by name of an employee of an Indian company affiliated with Payza.
The account containing 450 bitcoins was eventually frozen.
Philos started his career working at his father’s Indian grocery store in Canada.
After completing his studies and graduating with a degree in Business Administration from the University of Champlain in Montreal, he started AlertPay, an online payment solution. AlertPay was later renamed Payza.
https://weeklyvoice.com/indo-canadian-charged-with-laundering-bitcoin-worth-over-24-mn-in-us/ Indian-Canadian charged with laundering $24 million worth of Bitcoin in US