Over UAH 4 million stolen in crypto 'scheme' - group of fraudsters detained in Ukraine

Ukrainian law enforcement agencies have exposed an organized group of fraudsters who seized cryptocurrency from Ukrainian and foreign citizens through malicious web resources, causing millions of hryvnias in damages. This was reported by UNN with reference to the Office of the Prosecutor General, the National Police, and the Security Service of Ukraine.

Details

Law enforcement officers established that the perpetrators sought out people in Telegram communities and offered "earnings" on cryptocurrencies. They then sent potential victims links to specially created web resources that mimicked legitimate trading platforms but contained malicious software – so-called "crypto-drainers."

The SBU reported that the attackers "promoted" posts in popular Telegram channel groups about allegedly profitable crypto projects, thereby luring users.

To be convincing, the fraudsters showed clients examples of successful transactions and profitability, using data from legitimate cryptocurrency exchanges with real growth indicators. After "warming up" a potential victim, the perpetrators sent them a link to a fake website, designed to look like a well-known crypto service for investments. At this stage, the user connected their cryptocurrency wallet and confirmed the proposed operation, without realizing its real content. In fact, the website had malicious code integrated that allowed the attackers to automatically withdraw funds from the victim's wallet to controlled addresses. Such a tool is called a "drainer" and is designed for unauthorized debiting and actual emptying of all assets from crypto wallets

The National Police added that a total of 20 simultaneous searches were conducted at the residences of the group members and in their office premises. In particular, mobile phones and computer equipment with evidence of the "scheme" were found and seized. Money, presumably obtained through criminal means, was also found.

As noted by the Office of the Prosecutor General, the amount of damages is approximately 4 million hryvnias.

Four members of the criminal group, including its co-organizer, have been notified of suspicion in accordance with the crimes committed under the following articles of the Criminal Code of Ukraine:

• Part 3, 5 of Art. 27, Part 5 of Art. 190 (organization and complicity in fraud committed on an especially large scale through illegal operations using electronic computing equipment);
• Part 3 of Art. 209 (legalization (laundering) of property obtained by criminal means, committed on an especially large scale).

The detainees face a penalty of 12 years of imprisonment with confiscation of property. The issue of choosing a preventive measure – detention with bail of over 4 million hryvnias – is currently being decided.

Recall

In Dnipro, the court chose preventive measures for participants of a fraudulent call center network that defrauded citizens of Ukraine, Kazakhstan, and the EU.