Helix Founder Sentenced For Laundering $300 Million In Bitcoin
Ohio’s Larry Dean Harmon was formally sentenced on Friday for operating darknet cryptocurrency mixer Helix on charges he allegedly processed more than $300 million worth between 2014 and 2017 crypto tokens.
Related reading
Harmon because of his Laundered over $300 million Bitcoin Token Value on Darknet Drug Market.
According to U.S. authorities, Harmon used the platform to help drug traffickers launder money, facilitating the transfer of more than 350,000 bitcoins from 2014 to 2017. Three years in prisonHe served a relatively short sentence but faced a forfeiture money judgment worth $311,145,854 and forfeiture of all seized assets totaling at least $400 million.
Money laundering case “lighter sentencing”
According to court documents, Harmon ran Helix from 2014 to 2017, laundering up to $300 million worth of Bitcoin on behalf of drug traffickers during that period. After hearing the case and Harmon’s guilty plea, U.S. District Judge Beryl Howell sentenced Harmon to three years in prison.
In addition to serving his prison sentence, Harmon will also undergo three years of supervised release, pay up to $311 million in court fees, and surrender all seized assets, including cryptocurrency and real estate, valued at at least $400 million.
An Ohio man has been sentenced to three years in prison and ordered to forfeit more than $400 million in assets for operating darknet cryptocurrency “mixer” Helix. @DOJCrimDiv #FOLLOW THE MONEY #IRSCIhttps://t.co/4IRC4fDbPf
— IRS Criminal Investigation (@IRS_CI) November 15, 2024
Spiral: Harmon’s role in laundering drug money
spiral It is a popular cryptocurrency mixing service on the dark web and a favorite destination for drug traffickers looking to launder money. According to a press release from the Department of Justice, the mixing site processed 354,468 Bitcoins during the transaction, which is equivalent to approximately $311,145,854.
Most of the funds were used on dark web drug markets, with some going to clients in the District of Columbia, records show. Harmon takes a percentage of fees and commissions from these transactions to operate the service.
Harmon ensures that Helix is associated with Grams, a dark web search engineand works with most darknet markets as part of money laundering operations. Harmon used his proprietary API to integrate Helix into the darknet market’s BTC withdrawal system.
He also customized the API to make it more compatible with other markets. Last August 18, 2021, Harmon entered a guilty plea to conspiracy to commit money laundering.
Related reading
Harmon’s cooperation paves way for reduced sentence
Initially, Harmon could have faced 20 years in prison, although prosecutors sought at least 75 months in prison. However, the trial judge imposed only a three-year sentence and praised Harmon for his help in the case. Roman Sterlingov was sentenced to 12.5 years in prison on November 8 last year.
Judge Howell acknowledged Harmon’s attempts to shut down the platform two years ago before authorities charged him. The court viewed the move as evidence that Harmon had reformed, even before the case was filed.
Featured image from CRI Group, chart from TradingView
