A Bronx deli worker who was a cog in an intricate international cash-for-cryptocurrency scheme that used Westchester County locations to move millions of dollars has been sentenced to prison.
U.S. District Judge Kenneth Karas sentenced Hirenkumar Patel, 40, to 21 months in prison on June 5, for operating an unlicensed money transmitting business.
Patel is one of six suspects arrested in 2023 for operating an unlicensed money transmitting business that exchanged cryptocurrency for $15 million. For his part, he delivered 42 bags of cash totaling $7.7 million, in parking lots in Port Chester and Tarrytown.
The scheme served the interests of two sets of customers, according to prosecutors. Criminals wanted to convert cryptocurrency to cash. Natives of India wanted to send Rupees to families back home while avoiding banking regulations.
Patel typically handed off sacks of cash ranging from $150,000 to $250,000.
Defense attorney Barry Zone urged the judge to sentence Patel to probation, arguing that no victim and no violence were involved and depicting his client’s motives as humanitarian.
Patel, who immigrated to the U.S. in 2001, got involved at the behest of a former co-worker who collected cash from immigrants who wanted to help their families in India.
The coworker distributed cash to Patel. Then Patel handed over cash to a “vendor” who used the dark web to offer cash for cryptocurrency. The “vendor,” who had been arrested previously, was assisting the FBI in the hope of receiving a lighter sentence for his role in the scheme.
Patel had no direct knowledge of any criminals involved in the scheme, his attorney said.
Assistant prosecutors Timothy Ly and Benjamin Levander recommended a prison sentence of 30 to 37 months.
Patel played a part in a network that helped criminals such as drug dealers and computer hackers launder money. He may not have known about any criminals but “the illicit nature” of his conduct – using codes and other trade craft to hand off cash in parking lots 42 times – but it should have been clear.
“The defense misses the point, the prosecutors aid. “The criminal offense punished here is not sending rupees home to India, but moving millions of dollars in cash throughout the United States and abroad through illegal means.”
Five defendants previously sentenced in this case, including the sums they handled, include Rajendrakumar Patel, $10.8 million, 27 months in prison; Brijeshkumar Patel, $2.2 million, 18 months; Naineshkumar Patel,$1.45 million, 12 months and day; Nileshkumar Patel, $370,000, 3 years probation; and Shaileshkumar Goyani, $320,900, time serviced.
English (US) ·