UK Crypto ATM Operator Pleads Guilty to Fraud and Money Laundering Charges
A cryptocurrency ATM operator in the UK has admitted to multiple offenses, including fraud and money laundering.
Olumide Osunkoya was charged after running at least 11 unregistered ATMs without the necessary authorization from the Financial Conduct Authority (FCA), making him the first individual prosecuted under new money laundering and financing regulations.
Between December 2021 and September 2023, Osunkoya’s ATMs processed over £2.6 million (around $3.5 million) in transactions. Evidence presented in court suggested that many users may have engaged in money laundering or tax evasion, as he continued to expand his ATM network despite being denied FCA registration in 2021.
Allegations against Osunkoya include substantial profits from transaction fees ranging from 10% to 60%. He is also accused of creating a false identity and forging documents to hide his illegal activities, with an additional charge for possessing £19,540 (about $26,000) in cash, suspected to be illicit earnings from the ATM operations.
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If found guilty of all charges, he could face up to 26 years in prison, with sentencing yet to be scheduled. Meanwhile, charges against another individual, Sally Lavington Osunkoya, have been dropped.
The FCA has been overseeing Anti-Money Laundering and Counter-Terrorist Financing efforts for crypto businesses since January 2020. Despite a rise in digital currency interest, the FCA ordered the closure of all unregistered crypto ATMs in March 2022, leaving no legally compliant operators in the UK. The FCA has warned that using these ATMs can put users at risk of supporting criminal activity.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
