India Detains Cryptocurrency Administrator Linked to US Sanctions Violation

In a significant operation, Indian investigative agencies have detained Aleksej Besciokov, a notable cryptocurrency exchange administrator linked to allegations of financial crimes and sanctions violations by the United States.

India’s investigative agency, the Central Bureau of Investigation (CBI), reported the capture of Aleksej Besciokov, a resident of Russia and a Lithuanian national, in Kerala on Tuesday. His arrest comes at the request of US authorities, who accuse him of facilitating money laundering and other cybercrimes.

The US Justice Department (DOJ) describes Besciokov as a former administrator of Garantex, a Russian cryptocurrency exchange noted for its high volume of transactions—including over $96 billion since 2019. His responsibilities included scrutinizing and approving transactions on the platform, which reportedly has ties to several criminal enterprises, including hacking, ransomware, and drug trafficking.

Besciokov remains in custody as he awaits a court appearance in Delhi. The timeline for his potential extradition to the US is currently unclear. Garantex, which was previously sanctioned by the US Treasury Department in 2022, allegedly restructured its operations to circumvent these sanctions and facilitate connections with American businesses.

This arrest follows a coordinated effort by US law enforcement, resulting in the dismantling of Garantex’s online operations in collaboration with Germany and Finland. Concurrently, Besciokov faces charges of operating an unlicensed money transmitting business and was charged alongside Garantex co-founder Aleksandr Mira Serda for laundering activities.

As the situation develops, the implications of this case could extend beyond borders, highlighting escalating international efforts to combat crypto-related crime and enforce regulatory measures on digital currency exchanges.