The residence of a local government official in Brazil was raided by law enforcement officials who believe he is the leader of a criminal organisation that has been laundering money using cryptocurrencies, together with an infamous figure known as “the Bitcoin Pharaoh.”
The Specialized Action Group for the Combat of Organized Crime, which is managed by the state ministry in Rio de Janeiro, was one of the agencies that took part in the raid. The authorities and public prosecutors think the councilman was the leader of a “criminal organisation” that oversaw extensive “corruption” and used “false documents.”
Glaidson Acácio dos Santos, a.k.a. “the Bitcoin Pharaoh,” and Carlos Alexandre da Silva were both under investigation in connection with the same alleged crimes.
A USD 7 billion Ponzi scheme with a cryptocurrency theme that allegedly promised investors 10% returns on their stakes was allegedly orchestrated by the “Pharaoh,” who was imprisoned last year and is currently awaiting trial. He also said earlier this month that he will be a candidate for the Christian Democratic Party in the general election in October, even if he would be doing so from behind bars, according to FDR.
Officers seem to think that Lorram took cash in exchange for issuing permits and other privileges to people with Armaço de Bzios addresses. Additionally, they allegedly asked the Pharaoh and da Silva to transfer the money into cryptocurrency in an effort to “hide” the assets.
Authorities have seized more than $9,250 in cash during the operation, which took place at the residence of Armaço de Bzios councilman Lorram Gomes da Silveira, according to Globo. The judiciary, on the other hand, has found that over USD 271,000 of Loram’s assets are “unaccounted for” and might be squirrelled away in cryptocurrency wallets they have not yet secured access to.
As an Armaço de Bzios councillor, which he was initially elected in 2009, Lorram is currently serving his third term. He was the mayor of the city’s chief of staff from November 2018 to May 2019. The offences were committed throughout this time, according to the ministry. The agencies also said that the “organisation” was involved in the councilman’s “embezzlement” attempts using cryptocurrency.
According to the ministry, Lorram is no longer allowed to perform official activities. In April of last year, it started looking into possible money laundering offences, and the ministry now believes that additional City Hall workers may have been involved in the illegal “organisation.”