Epoch Times CFO Faces $67 Million Money Laundering Charges

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Epoch Times Chief Financial Officer (CFO), Bill Guan, is facing serious charges of conspiring to commit money laundering. According to a press release from the U.S. Attorney’s Office in the Southern District of New York, the allegations against Bill involve participating in a transactional scheme to launder $67 million of illegally obtained funds. 

Epoch Times CFO Utilized MMO to Launder Funds

Also, the reports indicate that Bill utilized the Make Money Online team of the news outlet to aid in the conversion of fraudulent proceeds into cryptocurrency. The MMO team brought these illicit funds at a reduced price on an undisclosed cryptocurrency exchange and then transferred the funds to bank accounts connected to Enoch Times.

The authority asserted that this money was subsequently cleaned through Guan’s individual bank and cryptocurrency accounts, including Epoch Times accounts. This resulted in the media company reporting a 410% year-on-year rise in annual revenue in its internal accounting records. The funds were allegedly transferred to accounts on different unnamed cryptocurrency platforms.

Meanwhile, several cryptocurrency companies became suspicious of these actions and eventually raised an alarm. As the legal proceedings unfold, it will be essential for the authorities to conduct a thorough investigation to determine the extent of Guan’s involvement in the alleged criminal activities. In the meantime, Bill faces charges that could put him in jail for a maximum of 80 years.

Tough Blow for Crypto Enthusiasts

The crypto world has been grappling with this issue for years. Forbes reported that in the initial three months of 2022, approximately $1.91 billion was lost to crypto hacks. In 2023, crypto investors suffered a massive loss of $2 billion due to hacks, scams, and exploits in the Decentralized Finance (DeFi) sector. 

As if it was not enough, an additional $333 million was stolen in just the first quarter of this year. Prisma Finance, a non-custodial and decentralized finance platform, got hit by a major crypto hack earlier this year and suffered a mind-blowing loss of $9 million as reported by TheCoinRise.

Different Methods of Crypto Scam Exploitation

It is heartbreaking to see how many crypto networks, investors, and users have been hit hard by massive losses due to crypto scams, hacks, attacks, and other illegal activities.

According to a report from PeckShield, a blockchain security and analytics firm, the attackers took advantage of a vulnerability in Prisma Finance’s smart contracts, which allowed the scammer to drain funds from the protocol. The attack on the firm is the latest in a string of crypto hacks.

In the recent North Korea crypto scandal, researchers have confirmed that hackers frequently compromise customers’ private keys or seed phrases. They then transfer money to wallets controlled by the Democratic People’s Republic of Korea and exchange it for Tron (TRX) or Tether (USDT).

In the Nirvana hacked funds case, the culprit used seriously complicated tactics like token-swap transactions, moving the fraudulent money across various blockchain networks. He converted funds into privacy-focused cryptocurrencies like Monero, using overseas cry[to exchanges, and even employing cryptocurrency mixers like Samourai Whirlpool.

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