The U.S. Attorney's Office in Seattle has announced the forfeiture of cryptocurrency assets to aid victims of a business email compromise fraud scheme. The swift actions by the U.S. Secret Service and the Asset Forfeiture Unit are expected to help victims recover their losses after fraudsters exploited real estate transactions, according to U.S. Attorney Tessa M. Gorman.
In December 2023, a company involved in real estate reported that their system had been compromised, resulting in over $1 million being stolen through false wire transfer instructions. Further investigation revealed that at least ten other businesses or individuals were affected, with losses ranging from $75,000 to $425,000. The proceeds from these fraudulent activities were laundered through various bank accounts and ultimately consolidated into a single cryptocurrency wallet managed by criminals in Nigeria.
Authorities seized approximately 32.68 Bitcoin from this wallet, valued at around $900,000 at the time of seizure. A civil forfeiture case was subsequently filed against the seized Bitcoin by the U.S. Attorney’s Office. Since then, the value of Bitcoin has more than tripled, increasing the likelihood that each of the ten victims who have submitted claims will be fully compensated.
"I commend the quick work by law enforcement and the Asset Forfeiture Unit who moved to seize this Bitcoin and are working diligently to make these victims whole," said U.S. Attorney Gorman. "Civil forfeiture is an important tool that we can use to help victims, even before the bad actors themselves have been arrested."