Europol takes down money mule operations involved in laundering $10M for cryptocurrency scammers
In a joint operation between Italian and Portuguese authorities, Europol has successfully dismantled two money mule recruitment networks that were allegedly aiding crypto scammers in laundering over €10 million ($10.8 million). Raids were conducted across France, Italy, and Romania between May 21 and 27, resulting in the apprehension of 11 suspects, including the alleged mastermind behind the money laundering scheme. The authorities also seized cryptocurrency, jewelry, and electronic devices during the operation.
The money mule networks were working for an organized crime group that profited from “rip-deal” scams. These scams targeted wealthy individuals interested in property investments by masquerading as a part of an international investment fund. The criminals would arrange meetings at upscale restaurants or hotels with the victims and instruct them to download cryptocurrency management applications. Once the victims installed the apps, the scammers would use advanced technical tools to gain control over their crypto wallets.
The investigation into the money mule networks began when the police tracked the scammers’ cryptocurrency activities. Money mules were paid commissions to receive funds from the scammers and transfer them to accounts controlled by a third party. Europol stated that the main perpetrators of the rip-deal crypto scams lacked the technical expertise to launder their profits and sought the assistance of the money mule networks.
Money mule operations have become a growing concern, prompting Europol to launch its own #DontBeaMule campaign to raise awareness about their utilization in criminal activities.