The 42-year-old founder of the virtual currency Liberty Reserve, pleaded guilty to running a money-laundering operation from 2006 to 2013.

Arthur Budovsky, pleaded guilty to the enterprise that ultimately had five million accounts worldwide and moved more than $250 million gotten by criminals through identity theft, credit card fraud, computer hacking and other illicit activities.

The Reserve was created to specifically facilitate “anonymous and untraceable illegal transactions and launder the proceeds” of crimes.

Although Bucovsky renounced his citizenship and moved to Costa Rica to avoid prosecution, Liberty Reserve was shut down in 2013 and Bucovsky was sent back to the U.S.

Assistant Attorney General Leslie R. Caldwell said: "After a prior conviction for operating an unlicensed money transmitting business, Budovsky developed Liberty Reserve, which quickly became a premier service used by criminals around the world to launder their criminal proceeds.”

Budovsky will be sentenced on May 6. Two of his co-conspirators have received sentences of five- and three -years. Two others remain fugitives.

Source: SCMagazine