Israeli Police Uncover Cryptocurrency Laundering Scheme Involving French Government

Israeli law enforcement officers have uncovered a cryptocurrency laundering network. The scam was built around funds allocated by the French government to fight COVID-19. Thus, fraudsters in France took advantage of the financial assistance offered by the government to businesses affected by the coronavirus pandemic. The criminals set up fictitious businesses and were able to apply for COVID-19 compensation. Interestingly, the French government supported the fake company and provided it with financial assistance.

Subsequently, the French criminals transferred the money to Israel, where they converted it into crypto assets. After a long ordeal, the cryptocurrency was converted into fiat cash and sent back to the fraudsters in France, according to the classic detective genre.

In addition to the millions of euros lost from the French treasury, there are suspicions that the fraudsters also managed to deceive the Israeli Tax Authority through financial fraud. The agency claims to have lost funds totaling tens of millions of shekels.

The police refused to explain in more detail the exact mechanism of cryptocurrency money laundering, but said that additional details would be provided in the near future.