A former employee of an unlawful bitcoin exchange web site and a pastor who ran a New Jersey-based credit union have been found guilty in connection with a bribery scheme to allow the exchange to take control of the credit union in furtherance of its fraud scheme.
Yuri Lebedev helped operate the bitcoin exchange, Coin.mx. Coin.mx has been linked to an investigation of a breach of data at JPMorgan Chase that allegedly exposed more than 83 million accounts. According to the Justice Department, Lebedev and others engaged in “substantial” efforts to evade detection of Coin.mx, including operating a front company called “Collectibles Club” to trick financial institutions into processing their illegal transactions.
Eventually, the Coin.mx conspirators paid Pastor Trevon Gross $150,000 in bribes to take over the credit union Gross ran from his church. Coin.mx used the credit union to process millions of dollars of ACH (Automated Clearing House) transactions without adequate controls.
Read more here: fortune.com
Get headlines, breaking news, and jobs announcements delivered to your inbox. Sign up for our daily newsletter.