A Man Behind $96B Crypto Laundering Scheme Arrested in India

A Lithuanian man, Aleksej Besciokov, was arrested by Indian authorities following a report alleging he was the mastermind behind a $96 billion cryptocurrency exchange suspected of funneling money to terrorists, drug lords, and cybercriminals.

The arrest, carried out in Kerala by the Indian Central Bureau of Investigation (CBI), followed a four-month-long manhunt initiated by the United States. This operation was coordinated with last week's seizure of the exchange, a $26 million asset freeze, and the leak of indictments targeting Besciokov and an alleged co-conspirator (see: invoice-the-charge).

According to an official statement from the CBI, Besciokov was apprehended after years on the run. U.S. authorities, who had closely monitored the investigation, are now preparing to extradite Besciokov to the Eastern District of Virginia. This arrest could be a significant blow to one of the darkest corners of money laundering that sustains global crime and terrorism. The Justice Department has maintained its campaign against Russian-connected criminals, which continued under the Trump administration, particularly in areas like offensive cyber operations, despite reluctant cooperation from Moscow. Besciokov left Russia and mysteriously resurfaced in India, with the reasons for his travel known only to him.

This was not a small-time operation; in fact, Besciokov allegedly ran it through a company called Garantex. The indictment claims the company processed $96 billion in transactions between 2015 and 2019. Aleksandr Mira Serda, Besciokov's alleged partner and the exchange's “chief commercial officer,” is said to have been a Russian co-founder who managed the platforms business and infrastructure, ensuring its operations ran smoothly. The U.S. Justice Department unsealed the complaints against them just days before their arrest, highlighting the urgency of the situation. In an email to CNN, U.S. Justice Department spokesperson Nicole Navas Oxman confirmed the details but chose to withhold certain specifics.

This arrest is a victory for law enforcement and underscores the ongoing cat-and-mouse battle between regulators and crypto-criminals. However, this is more than just an arrest. In 2022, the U.S. Treasury Department sanctioned Garantex, but Besciokov and his associates managed to evade immediate consequences. As Jones noted, “Garantex was able to redesign their operations and trick U.S. businesses into complying with their scheme.” The case with Besciokov behind bars serves as proof that handcuffs are one of the most effective tools for dismantling these dark money pipelines. This arrest marks another step forward for the U.S. in eliminating an expansive network that has been a thorn in the side of global security for far too long.