Australian Police Seize $6.4m from Alleged owner of Encrypted Platform

News

The Australian Federal Police (AFP) announced they had seized AUD 9.3 million (US$6.36 million) in cryptocurrency as part of an operation targeting the assets of the alleged mastermind behind Ghost, an encrypted communication platform used by organized crime groups around the world to coordinate their illegal activities.

Banner: Screenshot of video by Australian Federal Police (AFP)

October 3rd, 2024
Organized Crime
Australia

The 32-year-old suspect was detained in mid-September for supporting a criminal organization and other offenses. At his home, officers found hardware wallet devices, and now analytics specialists from the AFP-led Criminal Assets Confiscation Taskforce have deciphered the suspect’s seed phrases, allowing the funds to be confiscated.

The actions were part of a broader operation called “Kraken,” which targets the multinational network that used Ghost.

Messages about drug trafficking, money laundering, and other crimes could be securely sent and received via Ghost, which also allowed users to type in a code that would make all messages sent to a certain phone self-destruct.

After a two-year investigation involving various police forces around the globe, Ghost was dismantled after its servers were found in France and Iceland.

This is the second crypto-related asset freeze under Operation Kraken, following the seizure of assets linked to a syndicate in Western Australia earlier this year.

AFP Acting Commander Scott Raven said they were staying one step ahead of organized crime groups that try to hide the profits of illicit activities.

The operation has so far resulted in 46 arrests, 93 searches, intervention in 50 threats to life or harm, the prevention of 200 kilograms of drugs from hitting Australian streets, and the seizure of money and weapons.