The U.S. Department of Justice has unsealed indictments against eight Chinese chemical companies and their employees for alleged involvement in fentanyl precursor trafficking and money laundering through cryptocurrency.
These companies and individuals are said to have used cryptocurrency wallets, including bitcoin, to disguise payments related to the illegal sale of synthetic opioids. For example, Guangzhou Tengyue Chemical Co. Ltd. and Hubei Shanglin Trading Co. allegedly used Bitcoin - wallets operated by employees such as Xiaojun Huang and Zhihan Wang to receive payments on behalf of their companies for the illegal sale of chemicals.
The indictments highlight the role of cryptocurrency in facilitating cross-border transactions, underscoring its appeal to international networks hiding from law enforcement.
The Justice Department has aggressively investigated and held these companies accountable. We will continue to pursue every organization and individual who fuels the deadly drug trade, said Mr.Attorney General Merrick B. Garland.
Several companies, including Wuhan Jinshang Import Export Trading Co. Ltd. and Henan Oumeng Trade Co. Ltd., allegedly used cryptocurrency to profit from the trade in fentanyl precursors. These transfers allow for virtually anonymous transactions between jurisdictions, making them difficult for authorities to track.
