Brazilian authorities arrest $ 33m as part of money laundering probe involving cryptocurrency exchanges

Brazilian authorities have seized $ 33 million in connection with a money laundering investigation involving cryptocurrency exchanges. The operation, dubbed the Brazilian police “exchange agreement,” involved six decommissioned warrants in different parts of the country. The searches were aimed at finding fake companies using cryptocurrency exchanges for alleged money laundering purposes.

Brazilian police arrest $ 33m as part of money laundering probe
Brazilian authorities have confiscated $ 33 million belonging to fake companies that use cryptocurrency exchanges for money laundering purposes, according to reports by Brazilian police. Brazilian courts have issued six orders to search the crown and the capital for properties associated with these fake companies. As a result of these orders, various accounts of two individuals and 17 legal entities were blocked.

The study revealed that several companies exchanged large sums of money among themselves to deceptive officials, and then used a crypto brokerage to convert those funds into cryptocurrency assets that could not be associated with their original sources. According to the Brazilian police report, some of these exchanges operate only with the support of these fake companies.

The official report also says that this broker traded large amounts of money with at least 14 companies classified as fake or counterfeit companies. But authorities do not have the names of exchanges or fake companies involved in the investigation.

Questionable Exchanges
Police believe verified brokerage firms, whose clients do not require minimum KYC checks and have no questions about the origin of the fund transaction, are working with these bogus companies to force them to redirect black market funds to cryptocurrencies for profit. Brazilian police say these operations are:

designed to send money to companies abroad and then make refunds

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