TechFlow news — On December 4, according to the Financial Times, the UK's National Crime Agency (NCA) announced the successful dismantling of a large-scale cryptocurrency money laundering network spanning London, Moscow, and Dubai. The case primarily involves two companies, Smart and TGR, which acted as financial intermediaries, using cryptocurrencies to provide cross-border fund transfer services for wealthy criminals and sanctioned individuals worldwide.
Investigations revealed that from late 2022 to summer 2023, the network provided services to criminal organizations including the Kinahan drug cartel, ransomware groups, and Russian espionage activities. Its operation involved couriers collecting cash in the UK and other locations, exchanging it primarily for USDT cryptocurrency, then laundering the funds through corporate networks and disbursing equivalent amounts in other countries.
Ekaterina Zhdanova, a 38-year-old Moscow resident and owner of Smart, is accused of transferring over $100 million to the UAE on behalf of an unnamed sanctioned oligarch. She has been sanctioned by the United States and is currently detained in France. Within just four months, this money laundering network conducted cash collections at 55 different locations across England, Scotland, Wales, and the Channel Islands, serving at least 22 criminal organizations.
Rob Jones, NCA Operations Director, described this as the agency’s most significant anti-money laundering operation to date. So far, law enforcement has arrested 84 people and seized £20 million in cash and cryptocurrency. The U.S. Department of the Treasury has imposed economic sanctions on five individuals and several companies. The operation received support from the U.S. FBI and DEA, as well as French and Irish police forces.
