November 6, 2023 at 03:24PM
The US Treasury’s Office of Foreign Assets Control (OFAC) sanctioned Ekaterina Zhdanova for her involvement in moving and laundering virtual currency on behalf of Russian elites restricted from accessing western financial markets. Zhdanova aided in transferring $2.3 million into Western Europe through fraudulent means and helped individuals connected to the Russian Ryuk ransomware group launder over $2.3 million. She also assisted a sanctioned Russian oligarch in moving more than $100 million out of Russia. The G7 aims to eliminate these loopholes and sanction evasions. The US Treasury remains committed to safeguarding against illicit financial activities in the virtual assets ecosystem.
The US Department of the Treasury’s Office of Foreign Assets Control (OFAC) has sanctioned Ekaterina Zhdanova for her involvement in moving and laundering virtual currency on behalf of Russian elites who are barred from accessing western financial markets. Zhdanova is accused of assisting a Russian elite in transferring $2.3 million into Western Europe through a fraudulent investment account and real estate purchases. She is also alleged to have helped individuals connected to the Russian Ryuk ransomware group launder over $2.3 million. The US has identified the Ryuk ransomware group as a growing threat to hospitals and healthcare providers. Zhdanova further provided services to a sanctioned Russian oligarch to move over $100 million out of Russia and into the United Arab Emirates. She used virtual currency entities without anti-money laundering and combating the financing of terrorism controls, such as cryptocurrency exchange Garantex Europe OU. Zhdanova employed various methods to move funds, including international money laundering associates, cash transactions, and operating under traditional businesses like a luxury watch company. The OFAC emphasized its commitment to closing loopholes and sanction evasions that enable Russian elites to avoid international consequences. Brian E. Nelson, undersecretary of the Treasury for terrorism and financial intelligence, emphasized the need to protect the US and international financial system from those seeking to exploit virtual assets for illicit finance.