The Owner of a Dark Web Cryptocurrency Larry Dean Harmon laundering service knows as Helix, appeals guilty in recent days of laundering over $300 million worth of bitcoins between 2014 and 2017.
“Harmon accepted that Helix collaborate with several Darknet markets, including AlphaBay, Evolution, Cloud 9 and others, to facilitate bitcoin money laundering services for market customers,” the Department of Justice said in a press release.
“In accurate, Helix transmits over 350,000 bitcoin – valued at over $300 million at the time of the transactions – on behalf of customers, with the largest volume coming from Darknet markets.”
According to a three-count indictment unlocked in February 2020, Harmon was also charged with operating an unlicensed money movement business and supervising money transactions without a license.
Runs the Grams Dark Web Search Engine Too
Initiating with April 2014, Harmon owned and operated the dark web search engine Grams, according to court documents.
Starting with July 1024, he initiated executing Helix, a Bitcoin mixer or tumbler which permitted anyone to “washed” their bitcoins by concealing the true owner.
In November 2016, Harmon partnered with AlphaBay, the largest dark web marketplace between December 2014 and July 2017, which “suggested to its customers that they use a bitcoin tumbler service to ‘erase any trace of [their] coins.”
Harmon began shutting down Grams-Helix around December 2017 and announced the platform’s closure in a Reddit thread under the GramsAdmin handle.
Through his address, Harmon has acknowledged forfeiting over 4,400 bitcoin (valued at more than $200 million) and other seized properties involved in the money laundering conspiracy.
Harmon faces a greatest penalty of 20 years in prison, as well as a fine of $500,000, a term of three years of supervised release, and mandatory restoration.
Why $60 Million Civil Money Penalty!
In October 2020, the US Department of Treasury’s Financial Crimes Enforcement Network (FinCEN) also declared a penalty against Larry Dean Harmon. In a conversation, FinCEN stated the $60 million civil money penalty was for violating the Bank Secrecy Act (BSA) and its regulations while operating two services as unregistered money services businesses (MSB).
Harmon was the Helix bitcoin tumbler operator between 2014 and 2017 and the CEO of the Coin Ninja bitcoin startup from 2017 to 2020 when he was arrested under money laundering charges.
Based on FinCEN’s investigations, while operating the Helix cryptocurrency mixer, Harmon engaged in transactions with counterfeiters, fraudsters, narcotics traffickers, and other criminals.
“Initiating on or about June 6, 2014, through on or about December 16, 2017, Mr. Harmon doing business as Helix, carried over 1,225,000 transactions for customers and is associated with implicit currency wallet addresses that have transferred or received over $311 million,” FinCEN said.
The most significant volume of cryptocurrency laundered through Helix came from multiple dark web markets, including AlphaBay, Dream Mark, Agora Market, Nucleus, and several others.
