India’s premier investigative agency, the Central Bureau of Investigation (CBI), has confirmed the arrest of Aleksej Besciokov, a Russian resident and Lithuanian citizen, who is accused by U.S. authorities of orchestrating a massive cryptocurrency money laundering operation. Besciokov, one of the key administrators of the Russian-based cryptocurrency exchange Garantex, was taken into custody in the southern Indian state of Kerala on Wednesday. The CBI revealed that Besciokov was apprehended based on a provisional arrest warrant issued by India's foreign ministry at the formal request of Washington. Officials also stated that Besciokov was allegedly preparing to flee India, although the reasons for his presence in the country remain unclear. The United States is expected to pursue his extradition.

The U.S. Department of Justice (DOJ) announced last week that the United States, along with Germany and Finland, dismantled the online infrastructure supporting Garantex. The U.S. DOJ stated, "The seizure of these domains will prevent these sites from being used for money laundering and additional crimes."

According to the DOJ, U.S. law enforcement agencies, including the Secret Service, seized three website domains on March 6 that had been facilitating Garantex’s illicit activities. Visitors attempting to access these sites are now shown a message indicating that U.S. law enforcement has seized the domains.

The DOJ further noted, "US law authorities have separately obtained earlier copies of Garantex's servers, including customer and accounting databases. In addition, US law enforcement has also frozen over $26 million in funds used to facilitate Garantex's money laundering activities."

Massive Laundering Scheme with Global Implications

According to U.S. court documents, between 2019 and 2025, Besciokov and Aleksandr Mira Serda, another Russian national residing in the United Arab Emirates, operated and controlled Garantex. Both men now face serious charges, including money laundering conspiracy, violating U.S. sanctions, and running an unlicensed money-transmitting business. The DOJ highlighted that "Garantex received hundreds of millions in criminal proceeds and was used to facilitate various crimes, including hacking, ransomware, terrorism, and drug trafficking, often with substantial impact to U.S. victims."

The indictment also underscores that "Besciokov and Mira Serda knew that criminal proceeds were being laundered through Garantex and took steps to conceal the facilitation of illegal activities on its platform." The scale of the alleged operation is staggering, as U.S. authorities estimate that since April 2019, Garantex has processed at least $96 billion (approximately $152.5 billion) in cryptocurrency transactions.

Global Law Enforcement Efforts and Charges Filed

The U.S. Justice Department spokesperson confirmed Besciokov's arrest in India to CNN on Wednesday, stating, "I can confirm Aleksej Besciokov, one of the administrators of Garantex, was arrested in India at the request of the United States." Meanwhile, U.S. authorities have formally charged both Besciokov and Mira Serda. Besciokov faces accusations of money laundering, violating international sanctions, and conspiracy to operate an unlicensed money transmitting business.

According to U.S. officials, "charges of conspiracy and money laundering carry maximum jail term penalties of 20 years, while the charge of conspiracy to operate an unlicensed money transmitting business carries a maximum five-year jail term."

Cryptocurrency Crime on the Rise

As this case unfolds, international agencies are raising alarms about the growing risks associated with cryptocurrency platforms being used for illegal activities. The case has prompted broader discussions about tightening regulations around crypto transactions to prevent such massive laundering operations.

Meanwhile, other global watchdogs, including Australia's ACCC, have warned about the rising dangers of cryptocurrency-fuelled financial crimes. The ACCC noted that with evolving U.S. regulations and global crypto markets, "there could be an uptick in financial scams as U.S. President Donald Trump relaxes cryptocurrency regulations."

Extradition Process Awaits as Legal Proceedings Continue

With Besciokov now in Indian custody, attention shifts to the expected extradition process. The arrest marks a significant breakthrough in international efforts to crack down on illicit cryptocurrency operations with global impacts. As the investigation continues, authorities in the U.S. and around the world remain focused on dismantling networks like Garantex that are accused of fuelling large-scale financial crimes, cyberattacks, and other illegal enterprises.