Hien Ngoc Vo, Unlicensed Money Transmitter, Texas 2016
Houston Man Convicted of Operating Unlicensed Cryptocurrency Business
In a shocking turn of events, a 49-year-old man from Seattle, Washington, has pleaded guilty to running an unlicensed money transmitting business in the Houston area. Hien Ngoc Vo, the defendant, admitted to operating the business between March 16, 2016, and June 8, 2016.
The unlicensed money transmitting business used websites such as Paxful and LocalBitcoins to buy and sell Bitcoin. Vo profited from sales by collecting a percentage of the transactions, ranging from 5-30%. During the transactions, Vo did not ask clients for any form of identification nor the purpose for which they were purchasing the cryptocurrency.
Vo received funds in the form of cash, direct bank deposits, American Express credit cards, as well as Amazon and generic gift cards. He used several bank accounts to conduct his business, but the banks shut down the accounts after inquiring about the origination of the funds.
During the course of three months, the unlicensed money transmitting business received and transmitted approximately $515,147.19 in Bitcoin.
The FBI conducted the investigation, and Assistant U.S. Attorney Rodolfo Ramirez is prosecuting the case. Chief U.S. District Judge Lee H. Rosenthal will impose sentencing on September 5, at which time Vo faces up to five years in federal prison and a possible $250,000 maximum fine.
Vo was permitted to remain on bond pending sentencing. The full extent of his activities and the implications of his conviction are still being investigated and analyzed.
Hien Ngoc Vo, 49, pleaded guilty to running an unlicensed money transmitting business in the Houston area, collecting over $515,000 in Bitcoin. His sentencing is set for September 5.
The case serves as a stark reminder of the importance of regulating and monitoring cryptocurrency transactions to prevent illicit activities.
Key Facts
- State: Texas
- Category: Cybercrime|Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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