Russian charged in over $500 million crypto money laundering scheme in US

A Russian national based in New York has been indicted for allegedly orchestrating a vast cryptocurrency-based money laundering operation that channelled over $500 million through the U.S. financial system on behalf of sanctioned Russian banks and entities.

Iurii Gugnin, 38 — who also went by the names Iurii Mashukov and George Goognin — faces a 22-count indictment accusing him of wire and bank fraud, conspiracy to defraud the United States, and money laundering, Caliber.Az reports, citing the U.S. Department of Justice.

He is also charged with violating the International Emergency Economic Powers Act (IEEPA) and the Bank Secrecy Act. He was arrested and arraigned on Monday in Brooklyn.

Gugnin is alleged to have used his U.S.-based cryptocurrency firms, Evita Investments Inc. and Evita Pay Inc., to move approximately $530 million on behalf of foreign clients, many of whom held funds in sanctioned Russian banks.

The scheme involved receiving cryptocurrency, primarily the stablecoin Tether (USDT), converting it into U.S. dollars or other fiat currencies, and transferring funds through U.S. bank accounts while concealing the true origin and purpose of the payments.

Federal authorities said the network enabled sensitive U.S. technology to reach Russian end-users and served as a financial conduit for Russia’s state-owned nuclear agency, Rosatom, among others.

“The defendant is charged with turning a cryptocurrency company into a covert pipeline for dirty money,” said John A. Eisenberg, Assistant Attorney General for National Security. “He helped sanctioned Russian banks gain access to the U.S. financial system and assisted in acquiring restricted U.S. technology — conduct that endangers national security.”

U.S. Attorney Joseph Nocella Jr. for the Eastern District of New York said Gugnin presented Evita as a legitimate crypto start-up, while in reality it was “a money laundering operation” used to evade sanctions, deceive financial institutions, and obscure the origins of transactions.

Gugnin reportedly lied to banks and exchanges by claiming Evita had no dealings with Russia or sanctioned parties, even as he processed payments tied to PJSC Sberbank, VTB Bank, Sovcombank, Tinkoff Bank, and others. He also maintained personal accounts with Alfa-Bank and Sberbank while residing in the United States.

Court filings show that Gugnin manipulated invoices by digitally removing identifying details of Russian clients and ignored federal anti-money laundering (AML) requirements, including the obligation to file suspicious activity reports.

Though he registered Evita Pay as a money transmitter in Florida, the registration was allegedly secured using false statements.

Digital searches performed by Gugnin — including queries such as “money laundering penalties US” and “am I being investigated?” — were cited as evidence of his awareness of criminal exposure.

If convicted, Gugnin faces a potential maximum sentence of 30 years per count of bank fraud, 20 years for each wire fraud and money laundering charge, and lesser penalties for other counts.

The case is being prosecuted by Assistant U.S. Attorney Matthew Skurnik and Trial Attorney Dallas Kaplan of the Justice Department’s Counterintelligence and Export Control Section.

Forfeiture proceedings are led by Assistant U.S. Attorney Laura Mantell.

The investigation forms part of the Disruptive Technology Strike Force, an initiative jointly led by the Departments of Justice and Commerce to prevent authoritarian regimes from acquiring sensitive U.S. technologies and circumventing export controls.

Gugnin has not entered a plea. An indictment is a formal accusation; all defendants are presumed innocent unless and until proven guilty in a court of law.

By Aghakazim Guliyev