Russia: famous cybercriminal indicted, drastic penalties for darknet traders

The Russian judiciary has taken various steps against cyber criminals in recent days, imposing heavy penalties. A criminal wanted by the FBI with a bounty on his head is awaiting trial, while the operators of the Hydra underground marketplace have been imprisoned for years. The alleged head of the gang is even imprisoned for life.

Cyber gangster wanted by the FBI indicted

The Russian authorities briefly arrested a known cybercriminal. Mikhail M., known as "wazawaka", is accused by the public prosecutor's office of developing malware. According to Section 273 of the Russian Criminal Code, this is punishable by a fine or up to four years in prison.

In a statement from the Russian General Prosecutor's Office, it was initially stated without naming names that a 32-year-old Russian had been charged. However, wazawaka confirmed to a relevant Telegram channel that it was him. He stated that he had paid a fine. Significant parts of his assets in cryptocurrencies had been confiscated, but Mikhail E. himself was released on bail until further notice.

A bounty of up to 10 million dollars has been placed on E.'s head in the USA. The FBI accuses him of having played a key role in the development of the Babuk ransomware and of having attacked the computers of US police authorities, among other things. The Russian is also on the USA's SDN (Specially Designated National) sanctions list.

Imprisonment for Hydra gang

A Moscow court sentenced the alleged head of the darknet marketplace "Hydra", Stanislav M., to life imprisonment and a fine of four million roubles. This was reported by the newspaper"Kommersant", among others. The man and his 15 accomplices were accused of producing and selling drugs as part of an organized criminal group. The sentence is a first in Russia: never before has a court there sentenced a drug dealer to life imprisonment.

The other gang members will also have to spend a long time behind bars: they received prison sentences of between 8 and 23 years. Their new home will be a so-called "special colony with a strict regime", a penal camp with the second-highest security level.

The criminal marketplace "Hydra" was shut down two years ago in a concerted action by international investigators – including Russian prosecutors –. It was considered one of the highest-turnover drug and crypto money laundering marketplaces and, according to the authorities, generated over one billion euros in 2020 alone. Compared to these figures, the total turnover of the recently uncovered"Crimenetwork" of around 93 million euros seems almost harmless.

(cku)