DOJ Secures 9th Conviction in $263M Crypto Heist: Money Launderer Pleads Guilty to RICO

Source: CoinEdition Original Title: DOJ Secures 9th Conviction in $263M Crypto Heist: Money Launderer Pleads Guilty to RICO Original Link:

Overview

The United States Department of Justice (DoJ) has secured another conviction in a major social engineering scam that stole $263 million in cryptocurrency over several years.

According to U.S. Attorney Jeanine Ferris Pirro, Evan Tangeman pleaded guilty to participating in a Racketeer Influenced and Corrupt Organization (RICO) that facilitated the theft of hundreds of millions of dollars in crypto assets through social engineering schemes.

Ninth Member of Scam Ring Pleads Guilty

The 22-year-old from Newport Beach, California pleaded guilty before the U.S. District Court Judge Colleen Kollar-Kotelly on Monday, December 8, 2025. The DoJ has now convicted nine members of the pig butchering scheme, which operated from October 2023 until May 2025.

Tangeman is awaiting sentencing on April 24, 2026, after being charged with helping launder at least $3.5 million for the enterprise. Court documents reveal that Tangeman rented expensive homes for other members in Los Angeles and Miami, ranging between $40,000 and $80,000 per month.

In one instance, Tangeman helped Malone Lam launder around $3 million by converting cryptocurrency to fiat currency. The court also announced three additional defendants charged with RICO conspiracy: Nicholas Dellecave, Mustafa Ibrahim, and Danish Zulfiqar.

On November 18, 2025, Kunal Mehta pleaded guilty to helping the same gang launder $25 million, charging a 10% fee for converting stolen crypto assets to fiat.

On-Chain Investigation Leads to Major Arrests

Blockchain investigator ZachXBT played a crucial role in this investigation, helping law enforcement agencies track more than 4,000 Bitcoin (BTC), valued at approximately $243 million, which was stolen from a single victim in 2024.

Recently, ZachXBT announced that Zulfiqar was arrested with more than $18 million seized by law enforcement. According to ZachXBT’s analysis, the suspect was also involved in a SIM swap incident from August 2023 that compromised personal information of multiple high-profile cryptocurrency entities, resulting in over $300 million in losses.

Industry Impact

The conviction of nine gang members represents significant progress for the cryptocurrency industry. As digital assets gain mainstream adoption among institutional and retail investors, these enforcement actions demonstrate the commitment to transparency and security in crypto markets.

Sophisticated investigative techniques employed by firms using blockchain analysis have proven effective in securing digital assets within the decentralized financial ecosystem.