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Topic: BitInstant CEO arrested by FBI - page 4. (Read 6700 times)

legendary
Activity: 4522
Merit: 3183
Vile Vixen and Miss Bitcointalk 2021-2023
January 27, 2014, 08:31:22 PM
#5
This has nothing to do with his nationality, nor is it a crackdown on bitcoin exchanges in general or BitInstant in particular. Here's the smoking gun:
Quote
"You are hereby banned from our services," he wrote in an email to BTCKing that he copied to Nelson.

According to the complaint, Shrem then privately wrote to BTCKing, without including Nelson. "Your email address is banned," Shrem wrote, "but you can use a different one."
If that's true, there's nothing more to be said. You can't make a point of banning someone for illegal activity, then tell them on the down-low that they're not really banned after all and that their illegal activity is A-OK as long as everyone thinks they're banned. That's not a good strategy for staying out of prison.
legendary
Activity: 3038
Merit: 1032
RIP Mommy
January 27, 2014, 06:25:51 PM
#4
Iran? Pakistan International Airlines? Gotta love racially-motivated prosecution! Fits perfectly with their "everyone in Pakistan is a terrorist because we drone striked them!" propaganda.
member
Activity: 98
Merit: 10
Trust:+4:20--Warning* ASICs with extreme hashrate!
January 27, 2014, 06:13:32 PM
#3
More victimless "criminals" having the boot stamping on their face forever. Just a matter of time before every single localbitcoins seller is prosecuted for not harming anyone, because "economic liberty must be destroyed"!


this dude it sounds like he was deep in the game + was he an Iranian national?..some connection he name dropped PIA in relation to political fringe groups getting funded with bitcoins back in 2012! :\
legendary
Activity: 3038
Merit: 1032
RIP Mommy
January 27, 2014, 03:16:03 PM
#2
More victimless "criminals" having the boot stamping on their face forever. Just a matter of time before every single localbitcoins seller is prosecuted for not harming anyone, because "economic liberty must be destroyed"!
legendary
Activity: 1204
Merit: 1002
January 27, 2014, 02:24:32 PM
#1
Two bitcoin exchange operators charged in money laundering scheme

Reuters:

"Federal prosecutors in New York announced charges against Charlie Shrem and Robert Faiella, both operators of bitcoin exchange businesses, for attempting to sell $1 million in the digital currency to users of the underground black market website Silk Road, which was shut down by authorities in September.

According to the charging document, Shrem, 24, chief executive officer of the exchange BitInstant.com, changed cash into bitcoins for Faiella, 52, who ran an underground bitcoin exchange through the username BTCKing on Silk Road's website. The criminal complaint says that Shrem, in addition to knowing that Faiella's business was funneling money into Silk Road, also used Silk Road himself to buy drugs."
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