Report: Woman Sentenced to Approximately Seven Years in Prison for Money Laundering Bitcoin Proceeds from $6.4 Billion Fraud
A Chinese woman has been imprisoned after being charged for her involvement in a massive money laundering operation connected to a fraud scheme worth billions of dollars. Wen Jian, as reported by Reuters, received a sentence of six years and eight months after being found guilty of one count of money laundering. Prosecutors claim that Wen converted Bitcoin into cash and assets in order to conceal the origin of funds that were allegedly stolen from nearly 130,000 investors in a $6.4 billion scheme that occurred in China between 2014 and 2017. The mastermind behind the scheme is believed to be another woman who fled to Britain in 2017 when Chinese authorities initiated their investigation. Wen allegedly acted as the front person responsible for converting the stolen funds into Bitcoin to move them out of China. Wen has denied the accusations of money laundering, asserting that she had no knowledge of any criminal activity associated with Bitcoin. She maintains that her intention was only to provide a better life for her son. However, prosecutors argue that she should have been aware that the money was obtained illegally. Judge Sally-Ann Hales stated that there is no evidence indicating Wen’s involvement in the underlying fraud but reportedly informed the 42-year-old that she undoubtedly knew she was dealing with proceeds of criminal activity. This case involves one of the largest cryptocurrency seizures conducted by law enforcement worldwide. In 2021, British police officers seized wallets containing over 61,000 Bitcoin during their investigations, which were valued at approximately $1.8 billion at the time. The confiscated Bitcoin is now worth around $4.2 billion at the current price of $69,227.61 per Bitcoin.