Israeli police arrested five people in connection with a $5 million cryptocurrency trading investigation

According to Cointelegraph, Israeli police arrested five people on Tuesday in a money laundering investigation involving approximately 16 million shekels (about 5 million USD). The related cryptocurrency transactions were arranged through a WhatsApp group.

Investigators from the Lahav 433 Economic Crimes Unit suspect that the gang provided cryptocurrency services without a license and did not report transactions to the Israeli tax authorities. Police stated that the gang used fictitious agreements to make the cryptocurrency profits deposited into bank accounts appear as loans.

Authorities seized wallets, computers, and tens of thousands of shekels in cash during searches of the suspects' residences. Investigators questioned the five individuals on suspicion of money laundering, fraud, and providing financial asset services without a license.