Cryptocurrency Laundering Network Unraveled in Ahmedabad

A major cryptocurrency laundering operation in Ahmedabad has come under scrutiny, with investigators tracing $5.54 million in transactions to two suspects' wallets. The probe, led by CID Crime Gujarat, has gained national security implications, with central agencies joining the investigation.

The operation allegedly converted proceeds from cyber fraud and dark web narcotics sales into cryptocurrency, which was then layered through multiple wallets. Investigators believe funds were routed through Dubai-based channels to support Hamas and other sanctioned networks, including Yemen's Houthi movement and individuals suspected of financing Iran's Islamic Revolutionary Guard Corps-Quds Force.

The investigation began when CID's blockchain analysts detected suspicious transfers from a dark web narcotics marketplace into a Binance wallet linked to one of the suspects. The use of Monero, a privacy-focused cryptocurrency designed to obscure transaction trails, made it challenging for investigators to track the transactions.