Crypto CEO accused of laundering $500 million linked to sanctioned Russian banks

U.S. federal prosecutors in Brooklyn have filed charges against Iurii Gugnin, the founder of a cryptocurrency payments company, accusing him of orchestrating a complex international money laundering operation. This scheme allegedly facilitated the movement of over $500 million on behalf of banks and other entities that are currently under U.S. sanctions. Gugnin, a 38-year-old Russian national residing in Manhattan, was arrested and appeared in court on Monday, where he was ordered to be held without bail while awaiting trial. He faces a daunting 22-count indictment that includes charges of wire and bank fraud, violations of U.S. sanctions and export controls, money laundering, and neglecting to implement necessary anti-money laundering measures. Assistant Attorney General Eisenberg stated, "The defendant is charged with turning a cryptocurrency company into a covert pipeline for dirty money, moving over half a billion dollars through the U.S. financial system to aid sanctioned Russian banks and help Russian end-users acquire sensitive U.S. technology." According to prosecutors, Gugnin utilized his companies, Evita Investments and Evita Pay, to process approximately $530 million in transactions while deliberately hiding the origins and intentions of the funds. From June 2023 to January 2025, he allegedly funneled these transactions through U.S. banks and cryptocurrency exchanges, primarily using Tether, a stablecoin pegged to the U.S. dollar. His clients reportedly included individuals and businesses connected to several sanctioned Russian entities, including Sberbank, VTB Bank, Sovcombank, Tinkoff, and the state-owned nuclear energy firm Rosatom. To execute this elaborate scheme, Gugnin allegedly misrepresented the nature of his business, forged compliance documents, and deceived banks and digital asset platforms regarding his connections to Russia. Investigators have pointed out that he obscured the source of the funds using shell accounts and altered over 80 invoices, effectively erasing the identities of Russian counterparties. Internet searches conducted by Gugnin indicated awareness of potential scrutiny, with queries such as "how to know if there is an investigation against you" and "money laundering penalties US." The Justice Department has noted that Gugnin maintained direct links to members of Russia's intelligence services and officials in Iran—countries that do not extradite to the U.S. He is also accused of facilitating the export of sensitive U.S. technology to Russian clients, including an anti-terrorism-controlled server. Last fall, Gugnin was featured in a Wall Street Journal article highlighting high-net-worth renters in Manhattan, where he was reported to pay $19,000 monthly for his apartment. If convicted of bank fraud, he faces a maximum sentence of 30 years in prison, but if found guilty on all counts, the cumulative penalties could extend well beyond his lifetime.