A Father-Son Duo Sentenced for Dark Web Drug Trafficking and Bitcoin Money Laundering
In a recent case in Maryland, a father-son duo has been sentenced for their involvement in a dark web drug trafficking and Bitcoin money laundering scheme. Joseph Farace, aged 72, was sentenced to 19 months in federal prison for aiding his son, Ryan Farace, aged 38, in the laundering of Bitcoin proceeds from illicit drug sales. Ryan Farace, a previously convicted felon, received a sentence of 54 months in federal prison. The charges against him stemmed from his prior conviction for manufacturing and distributing drugs through darknet marketplaces in exchange for Bitcoin.
Investigation by Law Enforcement Agencies
The case was investigated by multiple law enforcement agencies, including the Drug Enforcement Administration, Internal Revenue Service – Criminal Investigation, and local police departments. Court documents revealed that Ryan Farace had received over 9,138 Bitcoin from darknet marketplaces associated with his previous conviction. Despite claiming the inability to access any undisclosed Bitcoin related to his 2018 conviction, Ryan Farace conspired with his father and others to launder additional proceeds through various financial transactions.
Seizure of Bitcoin Proceeds
In August 2020, Ryan Farace instructed his father to transfer over 2,874 Bitcoin to a third party for international banking purposes. The entire amount was seized by federal agents on February 10, 2021, with a market value ranging from $65 million to $150 million at the time of seizure. An additional 58.7 Bitcoin linked to Ryan Farace’s drug trafficking was seized on May 11, 2021. Both Ryan and Joseph Farace are required to forfeit all the seized Bitcoin.
Hot Take: Father and Son Receive Prison Sentences for Dark Web Drug Trafficking and Bitcoin Laundering
In a significant case involving dark web drug trafficking and Bitcoin money laundering, a father-son duo from Maryland has been sentenced to federal prison. Joseph Farace, aged 72, received a sentence of 19 months for aiding his son, Ryan Farace, aged 38, in laundering Bitcoin proceeds from illicit drug sales. Ryan Farace, a previously convicted felon, was sentenced to 54 months in prison. The investigation by various law enforcement agencies led to the seizure of over 2,874 Bitcoin and additional proceeds linked to Ryan Farace’s drug crimes. This case highlights the ongoing efforts of authorities to combat illegal activities involving cryptocurrencies.
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