OTC Exchanges Forestalled $900,000 Bank Heist in Brazil

News / 10.05.2020

Some perpetrators targeted a multinational financial institution based in Spain, Banco Santander. It is an online heist that involved the sum of $900,000. However, it was forestalled following the seizure of the money by local over-the-counter (OTC) cryptocurrency exchanges.

After the heist, they quickly tried the conversion of the stolen funds into Bitcoin. The local press, known as the Bitcoin Portal, said due to the huge sum of money involved, this prompted several of the bank accounts of the exchanges to be frozen upon receipt.

Based on the claims of the Bitcoin Portal, they have received internal documents from Santander which detail an investigation into the incident. According to the documents, the institution does not know the exact way in which the perpetrators stole the funds.

Around the middle of last month, Santander was able to identify irregularities in the accounts of local steel manufacturer, Gerdau. They observed 11 suspicious transactions with a total value of $900,000 made from a single IP address.

On April 20, they filed a police report that requested the opening of a public investigation into the theft. The perpetrators transferred the sums to the bank accounts of four OTC Bitcoin trading desks. According to the eight individuals involved in the case, the bank accounts of the exchanges receiving the funds were frozen.

An anonymous OTC desk operator commented on the case, saying it was quite a huge sum and we requested a bank statement from the original account. The person continued that they blocked the transaction after the money entered and the customer began to pressurize them to send the Bitcoin but they refused.

Interestingly, the transfers were done from Santander through the account of corporate customer, Mundial Illumination. According to the public prosecutor, it looks like a corporate bank account was able to invade another corporate bank account to debit the bank.

Source: Cryptopress.

avatar
Sudarshan M is a long time crypto-enthusiast. Pulled in by bitcoin early on, it did not take long for Sudarshan to divert all of his academic attention from business studies to blockchain by doing his Masters and eventually pursuing his PhD in the subject.