Iris Ramaya Au, ex-girlfriend of alleged "Crypto Godfather" Adam Iza, pleaded guilty to tax fraud. She laundered $2.6 million through shell companies named "Dream" and "Rise." Part of a larger $36 million hacking scheme targeting Meta. A corrupt LA sheriff's deputy provided database access and muscle. Au's cooperation might reduce her sentence. Meanwhile, Iza faces up to 35 years for conspiracy, wire fraud, and tax evasion. The scandal exposes cryptocurrency's seedy underbelly.
A tangled web of deception has finally unraveled in what authorities are calling one of the most brazen cryptocurrency fraud schemes in recent memory. Iris Ramaya Au, the ex-girlfriend of alleged crypto "godfather" Adam Iza, has pleaded guilty to tax fraud after helping launder a staggering $2.6 million from Iza's illicit activities.
Iza's alleged crimes make typical scammers look like amateurs. He's accused of orchestrating a $36 million hacking scam targeting Meta Platforms, manipulating Facebook ad accounts to funnel millions into his pockets. The money didn't just sit there. Nope. Iza snagged over $16 million in cryptocurrency, splurging on luxury items because, well, what else would a self-styled crypto kingpin do? As multi-signature wallets prove insufficient against sophisticated breaches, Iza's operation exposed critical vulnerabilities in cryptocurrency security.
But wait, it gets better. The scheme allegedly involved a corrupt Los Angeles sheriff's deputy, Eric Chase Saavedra, who reportedly helped Iza access law enforcement data to intimidate rivals. Because nothing says "legitimate business" like having your own cop on the payroll. Au established numerous shell companies and accounts to facilitate the money laundering operation across multiple financial institutions. Saavedra now faces up to 13 years behind bars for his trouble.
The operation was sophisticated, if you can call brazenly obvious money laundering "sophisticated." Iza and his crew utilized shell companies and marketing agencies named "Dream" and "Rise" – real subtle – to hide transactions. Some funds reportedly went toward bribing Facebook employees. Classy.
Federal authorities weren't amused. The FBI and IRS collaborated to bring down this house of cards, arresting Iza on September 23, 2024. He now faces charges of conspiracy, wire fraud, and tax evasion – enough for up to 35 years in prison if convicted. The investigation also uncovered Iza's involvement in a failed violent robbery during a home invasion in 2022, which aimed to steal cryptocurrency at gunpoint.
As for Au, her cooperation might reduce her potential three-year sentence. She'll have plenty of time to contemplate her choices while Iza awaits his trial, scheduled for June 16, 2025.
The case highlights everything wrong with crypto-related financial crimes – massive fraud, law enforcement corruption, and money laundering on an industrial scale. Just another day in crypto paradise.
