International media at heart of $67m crypto laundering scandal

The CFO of international media outlet, Epoch Times has been indicted by the US justice system for his alleged involvement in a massive money laundering operation that funneled $67 million through bank and cryptocurrency accounts.

The financial director of the Epoch Times media company in the sights of the American justice system

Weidong Guan, Financial Director of Epoch Times, an international media company, has been charged by the U.S. Department of Justice for his alleged role in a vast money-laundering scheme involving cryptos. According to authorities, he was involved in a scheme to launder $67 million in illegal funds.

Guan and his accomplices knowingly purchased “products of crime” at rock-bottom prices, discounted by 70-80% of their real value. They then opened multiple bank and cryptocurrency accounts under false identities to transfer these illicitly sourced funds.

A substantial portion of these sums was allegedly channeled to bank accounts held by Epoch Times and its subsidiaries. The Public Prosecutor’s Office claims that the media group’s accounts showed a spectacular and suspicious 410% increase in annual revenues, from approximately $15 million to $62 million.

Heavy penalties for CFO

Faced with the scale of the scheme, Weidong Guan is charged with money laundering and bank fraud. He faces up to 20 years in prison for the money-laundering charge and a further 30 years for the two counts of bank fraud.

The U.S. Attorney’s Office denounced these actions as aimed at laundering “tens of millions of dollars in criminal proceeds” for the benefit of the media company and its subsidiaries.

This case highlights the persistent challenges in the fight against money laundering, including within the traditional financial system, as well as the risks posed by the malicious use of cryptocurrencies for illicit purposes.