Wellington Man Indicted in $265M Global Crypto Fraud Tied to FBI Investigation

Wellington Man Indicted in $265M Global Crypto Fraud Tied to FBI Investigation

International Crypto Crime Sweep Nets 13 Arrests, Including New Zealander Linked to Racketeering

WELLINGTON, NEW ZEALAND — In a sweeping international operation led by the FBI and supported by New Zealand authorities, a Wellington resident has been arrested and indicted in connection with a $265 million cryptocurrency fraud scheme. The man is among 13 individuals charged in a probe spanning New Zealand and the United States.

According to the New Zealand Police, the man was apprehended following coordinated raids across Wellington, Auckland, and California, executed over a three-day period. He now faces U.S. federal charges of racketeering, wire fraud conspiracy, and money laundering conspiracy — serious offenses under American law.

Stolen Crypto Funneled Into Lavish Lifestyle

Authorities allege the group manipulated at least seven victims into surrendering significant sums of cryptocurrency between March and August 2024. The funds were then laundered through a network of digital platforms.

Investigators say the accused converted a portion of the stolen assets into $9 million worth of luxury vehicles. Spending sprees also reportedly included designer handbags, high-end watches, exclusive clothing, and elite services like nightclub entry, private security, and luxury rentals in Los Angeles, Miami, and the Hamptons.

The accused appeared before the Auckland District Court, where he was granted bail with interim name suppression. A second court appearance has been scheduled for July 3.

“Today’s search warrant and arrest reflect the importance of international partnerships where criminals are operating across borders,” New Zealand Police stated, emphasizing cooperation with U.S. counterparts.

Crypto Thefts Hit $360 Million in April Alone

This arrest comes amid a dramatic surge in crypto-related thefts, with $360 million stolen in April 2025 alone. The figure, released by blockchain security firm PeckShield, represents a staggering 990% increase from March’s reported losses of $33 million.

One incident on April 28 stood out: a $330 million unauthorized Bitcoin transaction, later linked to a social engineering attack that targeted an elderly U.S. resident. Blockchain investigator ZachXBT was among the first to flag the suspicious movement of funds.

This case ranks among the largest individual crypto heists ever recorded and underscores the vulnerabilities in the digital asset space.