A crypto founder has been arrested in New York for allegedly using his crypto firm, Evita Pay, to funnel around $530 million into the US from sanctioned Russian banks to help Russians access highly sensitive American technology.
Iurii Gugnin was hit with a 22-count indictment and will face charges related to wire and bank fraud, money laundering and operating an unlicensed money transmitting business, among others, the US Department of Justice said on Monday.
If convicted, Gugnin could spend life behind bars. It’s the latest case involving the use of crypto to attempt to bypass sanctions and launder funds.
Source: Inner City Press
The DOJ alleges that Gugnin operated a sprawling money laundering scheme from June 2023 to January 2025, processing stablecoin Tether (USDT) transactions on behalf of Russian clients tied to blacklisted banks like Sberbank, VTB, Sovcombank and Tinkoff.
According to John A. Eisenberg, assistant attorney general for national security, Gugnin turned his crypto company into a “covert pipeline for dirty money,” moving around $530 million through the US financial system to aid sanctioned Russian banks and help Russian end-users acquire sensitive American technologies:
“The Department of Justice will not hesitate to bring to justice those who imperil our national security by enabling our foreign adversaries to sidestep sanctions and export controls.”
Gugnin allegedly lied to US banks about Evita’s Russian ties, manipulated invoices to hide client identities and ignored Anti-Money Laundering rules despite registering Evita Pay as a money transmitting business in Florida using false statements, the DOJ said.
Iurii Gugnin’s LinkedIn profile. Source: LinkedIn
Cointelegraph reached out to Evita Pay for comment but didn’t receive an immediate response.
Crypto founder suspected he was under investigation
Gugnin also allegedly conducted web searches like: “Am I being investigated” and “signs you may be under criminal investigation,” according to the DOJ, which claims those searches signaled an awareness that he was breaking the law.
Related: Tether USDT stablecoin seen on Bolivian store price tags
“What are the best ways to find out if you’re being investigated and what can someone do when they think they might be under investigation,” Gugnin also allegedly searched on the web.
Gugnin faces life in prison
Gugnin faces up to 30 years in prison for each count of bank fraud, a maximum of 20 years for each wire fraud count, and up to 10 years for failing to implement an effective Anti-Money Laundering program and failure to file suspicious activity reports.
The crypto founder could receive up to five years in prison for conspiracy to defraud the US.
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