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The fallout from the Israeli exchange Coin.mx’s shut down two years ago continues with three more people due to be sentenced in court next month.
Among them is the United States resident Ricardo Hill, accused of engaging in fraudulent activities while working for the exchange which orchestrated cyber attacks against companies such as JPMorgan Chase while it was operating.
In July 2015, Cointelegraph reported on the initial indictment of Coin.mx, which prosecutors believe is partly responsible for a cyber attack compromising the details of around 80 mln customers at the global accounting firm.
Now, Hill and former operator Anthony Murgio will face charges “that included conspiracy to operate an unlicensed money transmitting business and conspiracy to commit bank fraud,” Finance Magnates reported Wednesday.
Neither is accused of hacking JPMorgan Chase and other companies directly, however, there are charges placed on seven other conspirators, including the exchange’s alleged owners Gery Shalon and Joshua Aaron.
Hill had previously been released on a $75,000 bond in November 2016.
Murgio, his accomplice Yuri Lebedev and others were suspected of selling Bitcoins to victims of ransomware attacks, helping fund criminal activity, the FBI stated when the case first came to light:
“Murgio and his co-conspirators have also knowingly exchanged cash for Bitcoins for victims of “ransomware” attacks. In doing so, Murgio, and his co-conspirators knowingly enabled the criminals responsible for those attacks to receive the proceeds of their crimes, yet, in violation of federal anti-money laundering laws, Murgio never filed any suspicious activity reports regarding any of the transactions.”
Coin.mx was in fact shielded during its operations by several front businesses, including one in the United States called Collectibles Club.
“Murgio, Lebedev and their co-conspirators engaged in substantial efforts to evade detection of their scheme by operating through a phony front company, “Collectables Club,” and maintaining a corresponding phony “Collectables Club” website,” the FBI report continued,“In doing so, they sought to trick the major financial institutions through which they operated into believing that their unlawful Bitcoin exchange business was simply a members-only association of individuals who discussed, bought, and sold collectable items, such as sports memorabilia.”
It is understood that Hill and Murgio have pleaded guilty to all charges along with two other men due to face trial in February.
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