US Department of Justice Sentences Member of $263 Million Crypto Fraud Case to 70 Months in Prison, Involving Social Engineering Fraud and Lavish Spending Money Laundering

Odaily Planet Daily News The U.S. Department of Justice (DOJ) announced that a 22-year-old California man, Evan Tangeman, has been sentenced to 70 months (approximately 5 years and 10 months) in prison, followed by three years of supervised release, for his involvement in a criminal organization that stole approximately $263 million in crypto assets through social engineering fraud and home invasions.

According to court documents, Tangeman pleaded guilty in December 2025, admitting to helping the criminal network launder at least $3.5 million in illicit funds.

The criminal group is accused of using the stolen money for lavish expenses, including millions of dollars in nightclub bills, Lamborghini sports cars, and high-end assets such as Rolex watches.

U.S. Attorney for the District of Columbia, Jeanine Pirro, stated in a release that the organization "built a criminal system based on almost absurd greed," emphasizing that Tangeman not only participated in money laundering but also destroyed evidence after an accomplice was arrested, demonstrating clear criminal intent.

This sentencing comes amid data showing that the crypto industry suffered $482 million in losses due to scams and hacks in the first quarter of 2026, with an upward trend in social engineering scams and violent burglaries. (Cointelegraph)