In a digital crackdown, U.S. authorities seized $1.4 million worth of Tether (USDT) cryptocurrency, linked to a reported tech support con targeting Americans, announced by Morris Pasqual, the Acting U.S. Attorney for the Northern District of Illinois, and FBI Special Agent-in-Charge Robert W. “Wes” Wheeler, Jr. of the Chicago Field Office. The operation, one of the first of its kind, targeted unhosted virtual currency wallets allegedly used by scammers to siphon funds from victims, primarily the elderly, duped by a nefarious tech support ruse.
The elaborate scheme involved a computer popup warning that the user's system had been compromised, urging them to immediately call purported Microsoft or Apple tech support, shared the U.S. Attorney's Office. Once on the line, the fraudsters, masquerading as tech support, escalated the scare tactics to include the victim's bank accounts, ultimately convincing them to swiftly convert and move savings into cryptocurrency to keep it "safe." The Chicago-based federal prosecutors, armed with a seizure warrant, moved quickly to recover and are now working to return the stolen crypto stash to the rightful owners.
Vital assistance came from the Justice Department's Computer Crime and Intellectual Property Section, along with the National Cryptocurrency Enforcement Team, in this meticulous recovery of digital assets. According to the official announcement by the Attorney's Office, the cryptocurrency platform Tether was acknowledged for its role in facilitating the asset transfer. Assistant U.S. Attorney Steven J. Dollear stands at the vanguard in representing the government in the ongoing proceedings.
Last year, tech support scams were reported to have resulted in more than $924 million in losses, the FBI estimated, indicating a desperate need for action against these burgeoning digital threats. The seized funds from the alleged scam underscore the government's growing commitment to aggressively pursue, intercept, and duly dismantle cybercrime operations that leverage cryptocurrencies, and prey on vulnerable citizens. Details surrounding the case, and the identities of the perpetrators, remain the subject of an intense investigation.
