Authorities have apprehended a Johannesburg resident for using cryptocurrency to fund terrorism. According to the Hawks, the unnamed suspect was tracked and arrested at his home.
The Hawks is a special unit of the South African Police known as the Directorate for Priority Crime Investigation. It is in charge of investigating serious organized criminal offenses.
According to reports, the Crime Against The State (CATS) team arrested the suspect, a 35-year-old male on Friday afternoon. He has been charged with contravening the Protection of Constitutional Democracy Against Terrorist and Related Activities Act. Hawks spokesperson Colonel Philani Nkwalase mentioned that the arrest happened after a lengthy investigation.
Johannesburg man apprehended for financing terrorism with crypto
According to the spokesperson, the probe into the suspect’s activities first came up in 2018. He mentioned that the Hawks and the Financial Intelligence Centre (FIC) were alerted to suspicions of terrorism financing.
Colonel Nkwalase mentioned that the Johannesburg-based suspect carried out a large amount of crypto transactions through the Virtual Asset Service Provider (VASP) Luno.
“Cryptocurrency in the form of Bitcoin worth R11 500 was allegedly purchased through Luno, a Virtual Asset Service Provider (VASP), via transfer of money from the suspect’s bank account to Luno’s custody account on 30 November 2017,” Colonol Nkwalase said.
After the transfer, the suspect moved funds in Bitcoin from his wallet to another one that belonged to an organization that describes itself as a charity.
Colonel Nkwalase revealed that investigations showed that the funds were sent as a response to an appeal for weapons. “The preliminary investigation revealed that the transfer was a response to an appeal for financial support for the activities with weapons, financial aid, and other projects assisting the participants in another country,” Colonel Nkwalase added.
Suspect due to appear in court as South Africa ramps up measures against terrorism
According to details, the police concluded investigations, obtained a search warrant, and carried out a full search of the suspects resident in Sandton. The police highlighted that they seized several materials crucial to their investigations.
During the search, the police also discovered that the suspect’s firearms were not locked away in a safe as mandated by law.
Meanwhile, the Johannesburg-based suspect is expected to appear at the Magistrate Court in Lichtenburg on Monday.
Lieutenant-General Godfrey Lebeya, the national head of the Directorate for Priority Crime Investigation has hinted at curbing terrorism in the country. “Our dedicated team in collaboration with local and international partners are working as a collective to halt the illicit flow of funds that fuel organized crime and terrorism,” Lieutenant-General Lebeya said.
There have been measures to curb terrorism funding in South Africa after the country acknowledged the presence of ISIS in 2016. The government convicted Johannesburg-based Thulsie Twins, Tony-Lee and Brandon-Lee Thulsie, for international terrorism. It has also continued to prosecute individuals and organizations carrying out the dastardly acts.
The country and some of its financial regulators are also part of a global campaign to curb this menace.
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