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Indictment of Australian Police Officer for Alleged Theft of 81 Bitcoin from Drug Proceeds

Indictment of Australian Police Officer for Alleged Theft of 81 Bitcoin from Drug Proceeds

Australian Police Officer on Trial for Allegedly Stealing Seized Crypto Assets

An Australian police officer named William Wheatley is currently facing court proceedings after being accused of stealing cryptocurrency assets that were seized during the dismantling of an online drug-trafficking operation. Wheatley is being charged with theft, managing proceeds from suspected criminal activities, and using confidential information for personal gain. The ongoing committal hearing at the Melbourne Magistrates’ Court has seen Wheatley’s defense challenging the allegations, claiming that they rely on circumstantial evidence.

In 2019, while investigating the drug trafficking ring under Operation Viridian, law enforcement allegedly discovered that Wheatley misappropriated 81.616 Bitcoin (BTC) from a crypto wallet. This amount was part of the funds obtained from the drug trafficking operation.

Background of the Case

The Icarus Taskforce, a collaboration between the Australian Federal Police and the Victoria Police, conducted an operation to dismantle the drug trafficking business. During a raid in January 2019, they found a computer and sought assistance from Sergeant Deon Achtypis, a detective specializing in cybercrime.

Sergeant Achtypis and his team uncovered drug orders and Bitcoin transactions on an encrypted email service. They also discovered a Trezor wallet, which was handed over to the Icarus Taskforce. However, when access to the wallet was restored, it was found that 81.616 BTC had been transferred.

In 2021, investigators revisited the case after tracing one of the IP addresses involved to the headquarters of the Australian Federal Police in Melbourne. Crypto investigator Craig Gillespie tracked transactions connected to withdrawals that were later found in Wheatley’s bank account.

During the raid, AFP officer Jesse Wyatt contacted Wheatley for assistance with identifying a cryptocurrency device. This text message was presented as evidence during the hearing.

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Indictment of Australian Police Officer for Alleged Theft of 81 Bitcoin from Drug Proceeds