The CEO of a companyof exchange bitcoin was arrested on charges that he illegally trafficked more than $1 million in bitcoins to his users Silk Road, the infamous online drug market, according to a statement issued today by the federal prosecutor's office Monday, January 27.
Ο Charlie Shrem, chief executive of a bitcoin exchange company, and Robert Faiella, an underground bitcoin exchanger, are charged with conspiracy and money laundering. They are also accused of operating their business without permission, according to prosecutors.
Schrem was arrested Sunday at the international airport John F. Kennedy in New York and will be arraigned tomorrow, while Faiella was arrested Monday at his home in Cape Coral, Florida.
