Fast Facts
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Guilty Plea: Iris Ramaya Au, 35, pleads guilty to a tax charge for failing to report over $2.6 million in illicit income linked to her ex-boyfriend, known as “The Godfather,” a cryptocurrency fraudster.
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Fraud Scheme Details: Her ex-boyfriend, Iza, conducted widespread fraudulent activities from 2020 to 2024, including illegally accessing advertising accounts and selling that access for significant profits.
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Facilitation of Crime: Au aided Iza by setting up shell companies and opening bank accounts to hide illicit earnings, which financed a lavish lifestyle costing nearly $10 million, including luxury real estate and vehicles.
- Sentencing: If convicted, Au could face a maximum of three years in prison, while Iza, having previously pleaded guilty to multiple charges, faces up to 35 years, with sentencing scheduled for June 16, 2024.
Ex-Girlfriend of ‘The Godfather’ Pleads Guilty to Tax Evasion in $16M Crypto Case
Iris Ramaya Au, aged 35, has pleaded guilty to a federal tax charge. She admitted to not reporting over $2.6 million in illicit income related to her ex-boyfriend’s criminal activities. These activities were orchestrated by Iza, who proclaimed himself “The Godfather” of cryptocurrency fraud.
The Department of Justice reported that Iza engaged in fraudulent schemes from 2020 to 2024. He unlawfully accessed advertising accounts and credit lines from major companies like Facebook Inc. and Meta Platforms Inc. This led to him earning millions without reporting any of it. Consequently, Au helped him establish shell corporations to conceal these funds.
Interestingly, a significant portion of this money, approximately $16 million, passed through cryptocurrency transactions. Au transferred over $2.6 million from these accounts into her personal bank accounts, failing to report this income to the IRS.
Au faces a maximum of three years in federal prison. Meanwhile, Iza has already pleaded guilty to several crimes, including conspiracy and tax evasion, and faces up to 35 years in custody. He has been in federal custody since September 2024.
This case highlights the intersection of cryptocurrency and legal issues. As digital currencies grow in popularity, so do the risks of fraud and evasion. Authorities are increasingly focused on regulating this landscape to prevent future misconduct. Moreover, this case serves as a reminder of the importance of compliance in the rapidly evolving tech environment, particularly in blockchain and cryptocurrency sectors.
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