Wall Man Failed To Register Bitcoin Exchange Business: Feds

NEWARK, NJ — A Wall Township man has been indicted on charges of operating an unlicensed money transmitting business through which he charged customers fees to convert more than $2 million in cash into the digital currency bitcoin.

William Green, 46, of Wall, was charged in a federal indictment with one count of operating an unlicensed money transmitting business, U.S. Attorney Craig Carpenito's office announced. Green, who initially was charged Feb. 28, will be scheduled to appear before a U.S. District judge at a date to be determined.

Federal prosecutors say Green maintained a business that operated a website called "Destination Bitcoin."

Through the Destination Bitcoin website, Green received money from members of the public (the "customers"), deposited it into bank accounts he maintained, and then converted the funds to bitcoin in accordance with the customers’ instructions. Green charged them a fee for this service.

Federal law requires anyone who owns or controls a money transmitting business to register the business with the U.S. Treasury office. Prosecutors say Green did not register, either in his own name or in the name of his business, with the Treasury department as a money transmitting business.

The charge of operating an unlicensed money transmitting business carries a maximum penalty of 5 years imprisonment and a $250,000 fine.

Carpenito credited special agents of IRS Criminal Investigation division, under the direction of Special Agent in Charge John R. Tafur, as well as special agents of the U.S. Immigration & Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge Brian Michael, with the investigation leading to the indictment.

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