A California man admitted to running an unauthorized virtual currency and laundering Bitcoin and millions of dollars in cash. Sentenced to two years in federal prison, according to reports.
Kais Mohammad, 37, of Yorba Linda, pleaded guilty to conducting unauthorized remittances, money laundering and failure to maintain an effective anti-money laundering program in September 2020, according to the Orange County Register̵7;s U.S. Attorney’s Office. report
Get your FOX business anywhere by clicking here.
Mohammad owns and operates an illegal virtual money service called Herocoin. He was in business from December 2014 to November 2019 and offers a Bitcoin-cash exchange, according to a spokesman for the US Attorney’s Office.
He charges up to 25% commission which is higher than the market rate.
Mohammed kiosk operates by department stores. gas station and convenience stores throughout Southern California.
BITCOIN WILL NOT REPLACE STOCKS Trading: NYSE CHAIR CUNNINGHAM
Customers can buy Bitcoin with cash or sell Bitcoin in exchange for cash to be paid through a machine.
The US Attorney’s Office said Mohammad knew some of his client funds came from illegal activities.
The company trades between $15 million and $25 million both in person and at the point of sale.
TOM BRADY TOUTS INVESTING CRYPTOCURRENCY said he was ‘The Great Believer’
Mohammad, former bank employee Know the rules about having to register his company with the US Treasury Department’s Financial Crimes Enforcement Network.
Click here to read more about FOX Business.
After choosing not to do so He finally registered. but unable to perform due diligence and suspicious customer reports
As part of the plea deal, Mohammad confiscated 17 kiosks and unspecified amounts of cash and cryptocurrencies. Officials said last year