Australian Authorities Halt Two Crypto Exchanges; Arrests Drug Trafficker

Wilfred Michael 

Wilfred Michael

News reporter

08 March 2019,
Australian Authorities Halt Two Crypto Exchanges; Arrests Drug Trafficker

The Australian Federal Police (AFP) in collaboration with the Australian Transaction Reports and Analytics Center (AUSTRAC) said in a joint press release that they have arrested an unnamed 27-year old man with a record of drug trafficking and also halted registration on two crypto exchanges he allegedly associates with.

As per the release, the case involving 27-year old man had been under police investigation since 2017 until a search warrant executed on March 7 led to his arrest and recovery of steroids, Australian currency, and cryptocurrency-related items.

Additionally, the Police moved to collect a restraint of assets order from a local court and subsequently seized properties up to the sum of $2 million including real estate properties, cash, and cryptocurrency.  

The alleged drug trafficker was charged for “importing, trafficking and possessing a total of approximately 30 kilograms of drugs, such as MDMA, cocaine, methamphetamine, and ketamine.”

Also, authorities claimed he played “a key role” in directing the activity of drug syndicates by using darknet sites, bitcoin accounts, and some legitimate businesses to conceal the trafficking offense.

On the part of the two halted cryptocurrency exchanges, the release claimed that the arrested suspect was a key member. That statement could mean either that he holds a large amount of cryptocurrency on their platform or he transacts on the platform without completing KYC requirements.

Meanwhile, the several charges laid on the unnamed 27-year old man could see him face life imprisonment or at least a 25-year jail term for his drug-related offenses. The report did not state any charges or penalties for the crypto exchanges with investigations likely still ongoing.

In a similar development last month, reported that Police Authorities in Hong Kong arrested Wong Chin Kit, a Hong Kong-based crypto entrepreneur for duping investors through a fake cryptocurrency.


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