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Kazakh Authorities Arrest 23 Suspected of Forcing IT Professional to Run an Illegal Crypto Mine: Report
The country is still grappling with the illegal crypto mining industry.
Updated May 11, 2023, 4:58 p.m. Published Aug 9, 2022, 10:43 a.m.
Authorities in Kazakhstan arrested 23 people suspected of forcing an IT professional to run an illegal crypto mine, according to a report on an information platform supervised by the Ministry of the Interior.
- During searches of illegal mining farms, the Ministry of Internal Affairs and Kazakhstan's national security service found seven people thought to be members of the gang and a 36-year-old IT professional who was forced to organize the work of the mining farms, the report said.
- Kazakhstan has been trying to root out illicit crypto mining, which draws a lot of electricity from its crumbling grid, while coming up with regulations and taxation to organize the legal industry.
- Another three suspected gang members were arrested as authorities searched for illegally stored weapons, the report said.
- The group was made up of former convicts and "criminally oriented persons" with a history of violent crimes, including debt collection and extortion, according to the report.
- It was making $300,000-$500,000 a month from illicit crypto mining in the Talgar district of the Almaty region, the report said.
- Authorities also seized 6,000 items of crypto mining equipment, worth about $7 million, along with an AK-47 assault rifle, ammunition and pistols.
UPDATE (Aug. 9, 2022, 11:13 UTC): Adds "Report" at end of headline.
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