FBI Dismantles Major Cryptocurrency Money Laundering Operation Linked to Cybercrime

According to the U.S. Attorney’s Office for the Eastern District of Michigan, federal authorities, in collaboration with international partners and the Michigan State Police, have successfully disrupted a significant virtual money laundering service known as E-Note. This online cryptocurrency exchange is alleged to have been instrumental in enabling transnational cyber-criminal organizations to launder funds, including proceeds from ransomware attacks and account takeovers that have targeted U.S. victims. The FBI has identified over $70 million in illicit funds processed through E-Note and its associated money mule network since 2017, impacting both U.S. healthcare systems and critical infrastructure.

As part of this coordinated effort, the U.S. Attorney’s Office has also unsealed an indictment in the Eastern District of Michigan against Mykhalio Petrovich Chudnovets, a 39-year-old Russian national. Chudnovets faces a charge of conspiracy to launder monetary instruments, an offense that carries a maximum penalty of 20 years in prison. Court documents indicate that Chudnovets allegedly began offering money laundering services to cybercriminals in 2010 and continued to do so through the E-Note payment processing service, which he is accused of controlling and operating. His alleged activities involved assisting financially motivated cybercriminals in moving criminal proceeds across international borders and converting cryptocurrency into various fiat currencies.

Law enforcement agencies have seized servers that hosted Chudnovets’ operations, along with associated mobile applications and the websites “e-note.com,” “e-note.ws,” and “jabb.mn.” Prior to these seizures, U.S. law enforcement had already secured earlier copies of Chudnovets’ servers, which contained valuable customer databases and transaction records. The investigation was spearheaded by the FBI Detroit Cyber Task Force, with critical assistance from the German Federal Criminal Police Office, the Finnish National Bureau of Investigation, and the Michigan State Police Michigan Cyber Command Center.

Individuals who believe they may be victims of funds laundered through Chudnovets’ alleged activities are encouraged to contact law enforcement by emailing e-note-information@fbi.gov. It is important to note that an indictment is an accusation, and all defendants are presumed innocent until proven guilty in a court of law.

Article by Mel Anara, based upon information from the U.S. Attorney’s Office for the Eastern District of Michigan.

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