Liberty Reserve Giant Is Down
Liberty Reserve Not Accessible
The news are spreading fast and the word out there is that Liberty Reserve has been shut down. I can’t confirm this right now but the website is inaccessible and there are no signs of maintenance.
Liberty Reserve is a payment processor that offers completely anonymity to everyone and is often used by scammers to run their programs.
Normally when LR goes into maintenance it only last 10 minutes to 2 hours and they have notice, notifications and updates on their blog, in this case the Liberty Reserve blog is down as well.
LR Website Down :
In more details the owner of Liberty Reserve (Arthur Budovsky Belanchuk, 39) has been arrested allegedly for money laundering in Spain by the Costa Rica and United States authorities.
It’s being said that the guy has been under investigation since 2011 for money laundering through his company Liberty Reserve.
You can read the news article through the link below
Honestly to me this is no surprise, I’ve seen several payment processors shut down in the past. Remember the very famous E-gold?
This will be very hard for some people to accept specially those that had large amounts of money in their payment processors account. That’s a very hard pill to swallow. SORRY!
If Liberty Reserve doesn’t come back or the money is in now way re-claimed we need to learn from this and take the first step and always withdraw your funds from your payment processor. I have a very simply rule that I follow strictly and that is to not keep any big amount of money in my PP’s account.
Most of you probably noticed that Liberty Reserve is down. What you have might missed is that the domain name is actually NOT resolving at all. This is because the domain has been NULL ROUTED (Possible seize of domain name by US authorities? Very probably). What is interesting is now the domain is pointing to a known honey pot used by the feds.
You can see this by simply doing a WHOIS on the domain. Check it out:
Domain Name: libertyreserve.com
Created On: 2001-07-27
Expiration Date: 2018-07-27
Registered via: XS Global Trade & Service B.V.
Registrant Name: Allan Garcia
Registrant Organization: Liberty Reserve S.A.
Registrant Street: Edificio 4
Registrant City: Santa Ana
Registrant Postal Code: 1000
Registrant Country: cr
Registrant Phone: +506.88462868
Registrant Email: firstname.lastname@example.org
Admin Name: Allan Garcia
Admin Organization: Liberty Reserve S.A.
Admin Street: Edificio 4
Admin City: Santa Ana
Admin Postal Code: 1000
Admin Country: cr
Admin Phone: +506.88462868
Admin Email: email@example.com
Tech Name: Allan Garcia
Tech Organization: Liberty Reserve S.A.
Tech Street: Edificio 4
Tech City: Santa Ana
Tech Postal Code: 1000
Tech Country: cr
Tech Phone: +506.88462868
Tech Email: firstname.lastname@example.org
Name Server: ns1.sinkhole.shadowserver.org
Name Server: ns2.sinkhole.shadowserver.org
Check out shadowserver.org by the way. And have fun trying to get your funds back from LR
Liberty Reserve Hacked
There are also news around the net that Liberty Reserve was hacked on the 24th May.
This hacking wasn’t any ordinary hacking according to the news source, they report around 150 million dollars of digital e-currency was hacked / stolen out of LibertyReserve.
The Liberty Reserve site is still offline. If this is true, this will surely send chills through the spine of several millions innocent LibertyReserve users, who have few thousand Dollars stored in their LR account, which probably, will never be back again.
BTW, expect programs to go down. Many programs will close down due to this specially hyips.
They will either be hit hard by this piece of news or they will simply take it as an excuse to take a break.
Again I wish all those who have funds locked in Liberty Reserve some luck and hopefully things will be back to normal soon.
In The Mean Time Check Out Q.E.S. And Earn 100% Commissions Via Paypal
LEAVE YOUR THOUGHTS BELOW
Arthur Budovsky Belanchuk, 39, on Friday was arrested in Spain as part of a money laundering investigation performed jointly by police agencies in the United States and Costa Rica.
Costa Rican prosecutor José Pablo González said Budovsky, a Costa Rican citizen of Ukrainian origin, has been under investigation since 2011 for money laundering using a company he created in the country called Liberty Reserve.
Local investigations began after a request from a prosecutor’s office in New York. On Friday, San José prosecutors conducted raids in Budovsky’s house and offices in Escazá, Santa Ana, southwest of San José, and in the province of Heredia, north of the capital.
Budovsky’s businesses in Costa Rica apparently were financed by using money from child pornography websites and drug trafficking.
New York conviction
According to records from the U.S. Justice Department, on July 27, 2006, Budovsky and a partner identified as Vladimir Kats were indicted by the state of New York on charges of operating an illegal financial business, GoldAge Inc., from their Brooklyn apartments.
They had transmitted at least $30 million to digital currency accounts worldwide since beginning operations in 2002.
The digital currency exchange, GoldAge, received and transmitted $4 million between Jan. 1, 2006, and June 30, 2006, as part of the money laundering scheme.
Customers opened online GoldAge accounts with limited documentation of identity, then GoldAge purchased digital gold currency through those accounts; the defendants’ fees sometimes exceeded $100,000.
Customers could choose their method of payment to GoldAge: wire remittances, cash deposits, postal money orders or checks.
Finally, the customers could withdraw the money by requesting wire transfers to accounts anywhere in the world or by having checks sent to any identified individual.
Budovsky and Kats were sentenced to five years in prison for engaging in the business of transmitting money without a license, a felony violation of state banking law, but got probation.