Argentina: an illegal gambling network would have laundered more than US$ 4.4 million – CodigoPoker

An investigation by the Argentine Justice system exposed a huge structure dedicated to illegal online gambling and money laundering. According to the Public Prosecutor’s Office, the organization would have laundered at least US$4,471,290 from clandestine bets, although the amount could exceed US$7 million and 17 billion pesos if other transfers detected later are included.

The operation included 53 raids carried out in different parts of the Buenos Aires metropolitan area, the City of Buenos Aires, and San Luis, and ended with 18 people arrested. Additionally, there are more than 20 fugitives with national and international arrest warrants.

The case began in May 2023, based on information provided by a protected informant. From there, the Federal Prosecutor’s Office of Hurlingham, with the collaboration of PROCELAC and other agencies, reconstructed the operation of a structure that offered online gambling without state authorization.

Clandestine bets, front men, and shell companies

According to the investigation, the organization used different web platforms and social networks to attract bettors. The money was managed through a structure of “franqueros” and “cashiers,” who sold chips, managed users, and promoted the betting sites via WhatsApp, Telegram, Instagram, and Facebook.

Then, the funds were sent to bank accounts and digital wallets registered in the names of front men, including relatives, employees, or people who did not have the financial capacity to justify such transactions.

One of the raided properties.

Investigators also detected split deposits, cash withdrawals, purchases of vehicles, real estate, investments in cryptocurrencies, and the creation of shell companies.

One of the techniques detected was the so-called “smurfing,” where deposits were divided among different accounts to try to avoid automatic controls of the financial system.

More than 200 vehicles and 31 companies

The magnitude of the network was also revealed in the assets acquired. According to the financial analysis carried out by the investigators, the organization would have allocated approximately US$4 million to the purchase of more than 200 vehicles, while another US$471,290 was used to establish 31 corporate structures.

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Additionally, at least 20 properties were detected in Virrey del Pino, in the La Matanza district. The valuation of these properties had not yet been included in the initial calculation of US$4.47 million.

The created companies had very different corporate purposes: ranging from construction and meat processing to software development, private security, and gambling operations. For the investigators, this diversity helped to hide the true origin and destination of the funds.

During the procedures, more than 60 vehicles were seized, about 120 million pesos, more than US$20,000, and money in other currencies, as well as more than 40 computers, numerous phones, and storage devices.

Also found were three firearms and about 12 kilos of marijuana, which were split into bags and, according to the investigation, ready to be sold.

One striking point of the investigation was that some lands were officially listed as vacant, but fieldwork and satellite images showed two- and three-story buildings, some with glass facades and an aesthetic associated with the brands of the investigated betting houses.

The figure could be even higher

The US$4.47 million corresponds to the calculation made from companies and vehicles, excluding properties or certain cash operations or circular movements among members of the organization.

Therefore, after analyzing new credits and bank transfers detected in the accounts of the investigated, the Prosecutor’s Office estimated that the volume of money involved could exceed US$7 million and 17 billion pesos.

The investigation continues to identify new assets, accounts, and movements linked to the organization, as well as to pursue fugitives and determine the international scope of the structure.

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