Crypto CEO accused of laundering $500 million related to sanctioned Russian banks

Federal prosecutors in Brooklyn have charged the founding father of a U.S.-based cryptocurrency bills company with running what they allege used to be a complicated world cash laundering scheme that moved over part one thousand million greenbacks on behalf of sanctioned Russian banks and different entities.

Iurii Gugnin, a 38-year-old Russian nationwide dwelling in Manhattan, used to be arrested and arraigned Monday and ordered held with out bail pending trial.

Gugnin faces a 22-count indictment accusing him of twine and financial institution fraud, violating U.S. sanctions and export controls, cash laundering, and failing to put into effect legally required anti-money laundering protocols.

“The defendant is charged with turning a cryptocurrency company into a covert pipeline for dirty money, moving over half a billion dollars through the U.S. financial system to aid sanctioned Russian banks and help Russian end-users acquire sensitive U.S. technology,” Assistant Attorney General Eisenberg stated in a observation.

Prosecutors stated Gugnin used his corporations — Evita Investments and Evita Pay — to procedure about $530 million in bills whilst concealing the origins and functions of the finances. Between June 2023 and January 2025, he allegedly funneled the cash thru U.S. banks and cryptocurrency exchanges, basically the use of tether, a broadly used, dollar-pegged stablecoin.

Clients incorporated people and companies related to sanctioned Russian establishments equivalent to Sberbank, VTB Bank, Sovcombank, Tinkoff, and the state-owned nuclear power company Rosatom.

To perform the scheme, Gugnin allegedly misrepresented the scope of his trade, falsified compliance documentation, and lied to banks and virtual asset platforms about his ties to Russia. Prosecutors say he masked the supply of finances thru shell accounts and doctored greater than 80 invoices, digitally erasing the identities of Russian counterparties.

Investigators additionally cite web searches indicating he knew he used to be beneath scrutiny, together with queries like “how to know if there is an investigation against you” and “money laundering penalties US.”

The Justice Department stated Gugnin maintained direct ties to individuals of Russia’s intelligence provider and officers in Iran — international locations that don’t extradite to the U.S.

He could also be accused of serving to the export of delicate U.S. generation to Russian shoppers, together with an anti-terrorism-controlled server.

Gugnin used to be profiled final fall in a Wall Street Journal article about high-net-worth renters in Manhattan, the place he reportedly paid $19,000 monthly for an rental.

If convicted on financial institution fraud fees, he faces a statutory most sentence of 30 years in jail, but when convicted on all counts, Gugnin might be given a consecutive most sentence considerably longer than his lifetime.