Disclaimer: Information found on CryptoreNews is those of writers quoted. It does not represent the opinions of CryptoreNews on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoreNews covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.
Iris Ramaya Au, the former partner of convicted cryptocurrency fraudster Adam Iza, commonly referred to as “The Godfather,” has consented to plead guilty to a federal tax charge for neglecting to report over $2.6 million in illegal income, as announced by the U.S. Department of Justice on March 5.
According to prosecutors, Au filed a fraudulent tax return after profiting from Iza’s illegal activities.
Iza, who entered a guilty plea in January, operated multiple fraudulent schemes from 2020 to 2024, including the sale of access to fraudulently acquired Meta and Facebook advertising accounts.
The Justice Department noted that these operations resulted in millions of dollars in unreported income.
Authorities: Iza’s Ex-Girlfriend Assisted in Laundering Money Through Shell Companies
Officials claim that, under Iza’s direction, Au facilitated the laundering of illicit funds by establishing shell companies and opening bank accounts in their names.
She subsequently utilized the proceeds to cover extravagant expenses, including luxury real estate, vehicles, jewelry, and designer apparel.
Prosecutors also disclosed that approximately $1 million of these funds was allocated to bribe deputies in Los Angeles.
In addition to personal expenditures, the couple reportedly spent nearly $10 million on entertainment and acquired around $16 million in cryptocurrency.
Iza, who also founded the Zort cryptocurrency trading platform, acknowledged charges including conspiracy, wire fraud, and tax evasion.
Crypto Founder Bribed LA Cops for Extortion Scheme
Adam Iza, the founder of the Zort crypto trading platform, has been accused of compensating Los Angeles deputies for sensitive information. He allegedly leveraged this information to extort a victim into surrendering a laptop containing cryptocurrency.… pic.twitter.com/IoZKDXIiny
— Ricards (@Ricardswo) September 27, 2024
Related Posts
He also admitted to bribing deputies from the Los Angeles County Sheriff’s Department for protective services and to secure search warrants targeting his financial and personal adversaries.
As part of her plea agreement, Au acknowledged transferring over $2.6 million into her personal bank accounts between 2020 and 2023.
She faces a potential sentence of up to three years in prison, while Iza, scheduled for sentencing on June 16, could face a maximum of 35 years.
Iza Accused of Exploiting Stolen Information to Coerce Victim Into Surrendering Crypto-Loaded Laptop
Iza is accused of using the illegally obtained information to threaten and coerce an individual identified only as E.Z. into relinquishing a laptop containing valuable cryptocurrency assets.
The allegations against Iza trace back to November 2021, when a report from the Riverside County Sheriff’s Department detailed a troubling encounter between Iza and E.Z.
The two had known each other for two years and had previously collaborated on a cryptocurrency venture.
According to the report, while driving together, Iza requested a stop for food. Afterward, as they stood by the car, an SUV approached, and two men exited.
One of the men, armed with a handgun, instructed E.Z. to “get in the car.”
E.Z. managed to escape and contacted the police, fearing that Iza was attempting to abduct him to gain access to his cryptocurrency assets.
When questioned by a responding officer, Iza asserted that E.Z. had agreed to pay him $300,000 for some cryptocurrency.
The post Former Girlfriend of Crypto Fraudster ‘The Godfather’ to Plead Guilty to $2.6M Tax Charge appeared first on Cryptonews.
