Crypto Capital CEO Ivan Manuel Molina Lee was arrested by Polish authorities for allegedly being a member of an international drug cartel and involved in its money-laundering operations using Bitfinex, according to several Polish news sites.
Crypto Capital was a company to which Bitfinex allegedly entrusted $850 million, money the exchange said it was unable to access later. To cover the $850 million loss, the exchange conducted a $1 billion token sale in May.
It was previously reported that the Polish Ministry of Justice has seized bank accounts in name of Crypto SP. Z O.O. The seized funds, which amount to $350 million, reportedly belonged to Crypto SP. Z O.O. and NESP SP. Z O.O., two companies that are likely affiliated with Crypto Capital and Molina Lee, according to several financial documents. The seizure was a part of an anti-money laundering operation conducted by the Polish authority.
Now, Polish Media RMF 24 said Molina Lee is wanted by Poland in connection with the seized funds, which was “about laundering money from Colombian drug cartels through the cryptocurrency exchange,” wrote the article.
According to the National Public Prosecutor’s Office, The money-laundering operation was “the largest security [seizure] in the history of the Polish prosecutor’s office against forfeiture.”
The Block has reached out to Bitfinex for comments and will update the story once a response is received.