New York Bitcoin ATM operator charged with tax, licensing crimes

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(Reuters) – The Manhattan District Lawyer’s Workplace has charged a New York man with working dozens of unlicensed Bitcoin ATMs, saying he promised anonymity to prospects who exchanged $5.6 million for the cryptocurrency between 2017 and 2018.

Robert Taylor, 35, operated 46 Bitcoin ATMs in New York Metropolis in addition to in New Jersey and Miami, Florida, in response to prosecutors. Taylor surrendered on Wednesday, a spokesperson for the DA’s workplace mentioned.

Manhattan District Lawyer Alvin Bragg Jr. mentioned in an announcement that his workplace will proceed to root out schemes involving cryptocurrency.

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“We is not going to permit digital currencies to develop into secure havens for criminality,” he mentioned.

An lawyer for Taylor didn’t instantly reply to a request for touch upon Wednesday.

Taylor’s enterprise took 10-20% in charges from transactions on the kiosks which transformed money into Bitcoin and marketed on a social media account that the machines didn’t use cameras or require identification, in response to prosecutors.

These options attracted people who had latest legal information and one who was driving a stolen U-Haul automobile, the DA’s workplace mentioned.

They mentioned Taylor underreported his earnings from the ATMs and did not receive a required digital foreign money license from the New York State Division of Monetary Providers.

He faces prices of working an unlicensed cash transmission enterprise, tax fraud and making false filings.

The case is New York v. Taylor, New York Supreme Court docket, 70518-22.

For Taylor: Robert Pagan of The Blanch Legislation Agency

For the state: Adam Maltz

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Jody Godoy

Jody Godoy studies on banking and securities legislation. Attain her at [email protected]

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