The Serious Fraud Office (SFO) has frozen assets amounting to £10,865.76 in Bitcoin and £289.30 in USDC belonging to Richard Yeowart, a suspect in the ongoing investigation of the collapsed outside broadcast company Arena TV.
This marks the first time the agency has leveraged new powers enacted last year to freeze cryptocurrencies. The assets were linked to suspected criminal activity and were frozen following a hearing at Westminster Magistrates’ Court this week. They will be held for up to nine months, allowing affected parties to come forward.
Arena TV collapsed in 2021 when a creditor failed to locate ‘leased’ equipment during an asset verification inspection. It was discovered that Arena TV had secured loans from 55 lenders against broadcasting equipment that did not exist.
The ongoing SFO investigation has already included a raid, three arrests, and searches of three properties, involving numerous suspects. SFO Director of Operations Emma Luxton stated, “Our first Crypto Wallet Freezing Order is an important step as we build our crypto asset capability and signals our intentions as we adapt to tackle increasingly sophisticated attempts to hide criminal assets.”
Thomas Cattee, head of regulatory and white-collar crime at Gherson Solicitors, remarked, “It is encouraging to see the SFO utilizing these new powers to freeze and seize alleged proceeds of crime stored in innovative ways. Fraudsters are increasingly using novel methods, including cryptoassets, to conceal their illicit gains, and it’s vital that the UK’s leading fraud-fighting agency remains effective.”
Additionally, the UK Home Office is working towards the sale of over £5 billion in bitcoin seized from criminals. This crypto asset was accumulated after freezing 61,000 BTC from a Ponzi scheme in 2018, with victims now seeking to reclaim their lost funds.