Wellington-based Man Arrested In International Cryptocurrency Scam Investigation
Press Release – New Zealand Police
He is due to reappear in the Auckland District Court on 3 July 2025. We have worked closely with our law enforcement colleagues in the United States in support of their investigation.
Detective Inspector Christiaan Barnard:
A Wellington-based man was arrested by the Financial Crime Group in Auckland this morning as part of an FBI investigation into an organised criminal group who stole cryptocurrency from seven victims valued at US$265M (NZD$450M).
Between March and August 2024, the cryptocurrency is alleged to have been fraudulently obtained by manipulating the victims and subsequently laundered through multiple cryptocurrency platforms.
Over the past three days, search warrants have been executed in Auckland, Wellington, and California with several people arrested, including one in New Zealand. A total of 13 people are facing charges.
The Wellington man has been indicted by the US Department of Justice under US Federal law with charges of racketeering (RICO), conspiracy to commit wire fraud, and conspiracy to commit money laundering.
It is alleged the defendants scammed seven victims, spending the stolen virtual currency to purchase, among other things, $9 million of exotic cars, hundreds of thousands of dollars on luxury handbags, watches and clothing, nightclub services and private security guards and rental homes in Los Angeles, the Hamptons and Miami.
The man was bailed after appearing in the Auckland District Court today where he received interim name suppression.
He is due to reappear in the Auckland District Court on 3 July 2025. We have worked closely with our law enforcement colleagues in the United States in support of their investigation.
Today's search warrant and arrest reflects the importance of international partnerships where criminals are operating across borders. There is an ongoing investigation, and no further comment will be made by Police.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
1News
2 hours ago
- 1News
What to know as jury begins deliberations in Diddy sex trafficking trial
For seven weeks, a jury in Manhattan has listened as prosecutors laid out a criminal sex trafficking and racketeering case against rapper Sean 'Diddy' Combs. They heard his ex-girlfriends and other witnesses deliver shocking accounts of violence and drug-fueled sexual marathons. Next week, jurors are set to begin deliberating, ultimately deciding whether Combs was running a criminal enterprise, as the government says, or — as his lawyer insists — merely living a swinger lifestyle that included recreational drug use and, regrettably, domestic violence. The answer will determine the future of one of the biggest music moguls and cultural figures of the past four decades. If convicted, Combs, 55, would face 15 years to life in prison. Here's what to know about the case: ADVERTISEMENT What are the charges? The three-time Grammy Award winner has pleaded not guilty to five felony charges: one count of racketeering conspiracy; two counts of sex trafficking by force, fraud or coercion; and two counts of transportation to engage in prostitution. Prosecutors say Combs coerced women into abusive sex parties involving hired male sex workers, ensured their compliance with drugs like cocaine and threats to their careers, and silenced victims through blackmail and violence that included kidnapping, arson and beatings. Sean "Diddy" Combs in court. (Source: Associated Press) 'He's the leader of a criminal enterprise. He doesn't take no for an answer," Assistant US Attorney Christy Slavik said in her closing arguments on Thursday (local time). Combs' lawyer, Marc Agnifilo, portrayed the Bad Boys Records founder as the victim of overzealous prosecutors who exaggerated elements of his lifestyle and recreational drug use to bring charges that resulted in what he called a 'fake trial'. What is racketeering? ADVERTISEMENT The most serious charge, racketeering conspiracy, alleges that Combs ran a criminal enterprise for two decades that relied on bodyguards, household staff, personal assistants and others in his orbit to facilitate and cover up crimes. Federal prosecutors brought the charge under the Racketeer Influenced and Corrupt Organisations Act, or RICO. Congress passed the federal law in 1970 with the declared purpose of targeting organised crime, but its use has been more widespread. To prove the charge, prosecutors must show that an enterprise existed and was involved in a pattern of racketeering activity. In this case, that alleged activity includes kidnapping, arson, bribery and sex trafficking. Key pieces of evidence Early in the trial, prosecutors showed jurors 2016 security video of Combs beating and kicking his former longtime girlfriend Cassie at a Los Angeles hotel. Cassie, an R&B singer whose legal name is Casandra Ventura, testified the assault took place as she was trying to leave one of the sexual encounters, which witnesses say he referred to as 'freak-offs" or 'hotel nights'. Jurors saw numerous explicit clips of such encounters, some involving Cassie and others involving a later girlfriend who was identified only by the pseudonym 'Jane'. Both women took the stand. ADVERTISEMENT Cassie testified over four days that she participated in hundreds of the events with paid sex workers while she and Combs were in a relationship from 2007 until 2018, often feeling like she didn't have a choice. She sued Combs in 2023, alleging years of abuse. He settled within hours, and dozens of similar lawsuits followed. Cassie Ventura, left, and Sean "Diddy" Combs appear at The Metropolitan Museum of Art's Costume Institute benefit gala celebrating "China: Through the Looking Glass" in New York on May 4, 2015. (Source: Associated Press) Jane testified over six days that she was romantically involved with Combs from 2021 until his September arrest at a New York hotel, and that she, too, felt forced to have sex with the hired strangers in multiday sex marathons while Combs watched. The Associated Press doesn't generally identify people who say they are victims of sexual abuse unless they come forward publicly, as Cassie has done. Testimony also included hours of text message exchanges, some of which involved Combs or other people in his orbit, that were read aloud by a Homeland Security Investigations agent. In all, 34 people took the stand, all of them called by the prosecution. Combs did not testify. ADVERTISEMENT How will jury deliberations work? Judge Arun Subramanian will give instructions to the jurors before sending them off to deliberate inside the Manhattan federal courthouse. The jury of eight men and four women must unanimously decide guilty or not guilty on each count. That means all 12 jurors must agree. If jurors don't reach an agreement, they could come back and say they are deadlocked. Traditionally, the judge would then encourage them to continue deliberating, but if they can't reach a consensus, it would be up to the judge to decide whether to declare a mistrial.
RNZ News
4 hours ago
- RNZ News
Two people in critical condition after central Auckland crash
Enquiries into the cause of the crash were ongoing. Photo: RNZ / REECE BAKER Three people have been injured in a serious car crash in central Auckland. Police were called to the intersection of Anzac Avenue and Parliament Street at 1:55am on Sunday where a Mazda had crashed into a light pole. "The occupants were taken to hospital, two in a critical condition and a third in a moderate condition," a police spokesperson said. Police had examined the scene and reopened the road. Enquiries into the cause of the crash were ongoing.
RNZ News
6 hours ago
- RNZ News
Waikato police officer makes 1700 off-duty database queries
By Al Williams, Open Justice reporter of Photo: 123RF A police officer made around 1700 checks of a person on the police database while off-duty for non-work-related reasons, claiming they believed doing so would make them a "good cop". The Waikato officer's actions led to an investigation that involved an audit of their use of the database. It identified around 1700 queries conducted by the officer between March 2023 to October 2024 while off-duty, according to a report by the Independent Police Conduct Authority (IPCA). The investigation found that, except for "a check that was probably work-related", the officer did not have a work-related reason for any of the queries. As a result, it was found their actions breached police policy and the code of conduct. The officer acknowledged that their use of the database was wrong. They said the checks were for their own information, as they mistakenly believed it would make them a "good cop". An employment process was undertaken to address the breaches. The IPCA's investigation report said the authority oversaw the police investigation and agreed with the outcome, which was not mentioned in the report. But the authority considered there was sufficient information available to suspect the officer had committed an offence under the Crimes Act by accessing the database for non-work-related reasons. "Accordingly, the Authority recommended that Police conduct a criminal investigation as well as an employment investigation at the start of their process," the report said. Relieving Waikato District Commander Superintendent Scott Gemmell said police considered the case did not meet the threshold for prosecution and the officer was subject to an employment process. "NZ police rightly hold all staff to high standards. The misuse of the National Intelligence Application [NIA] is not tolerated and if an employee is found to have inappropriately accessed or misused information, a disciplinary process with appropriate sanctions will be applied." However, Gemmell did not provide the outcome of the process. "Police have the same privacy obligations as any employer, and as such, does not comment on individual employment matters." He said police were focused on performance improvement and expectation setting and this year all staff had been "firmly" reminded that NIA searches must be conducted for legitimate work-related purposes only. The IPCA's report came within days of it being revealed that 50 police employees snooped into the file relating to the death of Senior Sergeant Lyn Fleming without good reason. An Official Information Act request released to NZME confirmed there have been 76 instances of misuse of the database this year. - This story originally appeared in the New Zealand Herald .
