Russian High-Risk Payment Processor Advcash Under Scrutiny!

Advcash is a high-risk payment processor controlled by Russians. The offshore entities Advanced Cash Limited in Belize and Second February Limited in Seychelles officially operate the service. The spin-off Adv2 is operated by Payean Finance Inc. in Canada and Payean UAB in Lithuania, catering to the crypto wallet market. According to FinTelegram, U.S. authorities are investigating the Advcash scheme over money laundering and sanctions evasion.

Beneficial Ownership

Historically, Russians Artem Abramov (Артем Абрамов) and Artem Shulepov (Артем Сергеевич Шулепов) were considered to be the beneficial owners of Advcash. Following Abramov’s alleged death, Shulepov appears to be the sole beneficial owner. 

The Advcash US Connections

Advcash claims that it would not operate in the U.S. However, its connection to the U.S. national Yaacov Bitton suggests a different narrative. Public records from LinkedIn, Crunchbase, and other sources indicate Bitton’s role as the CEO of Advcash starting in 2012. 

Bitton is also connected with NVB Channel, a Moscow-based financial operation, and his interest in the ICO for Bitconnect. This project ultimately failed and faced legal complications.

Bitton was a director of Adv Services LLC in Washington State, founded in 2011. This company, which was granted a money transmitter license, continued its operations until its dissolution in 2020. Artem Abramov was another director of this Florida-based entity. 

The European Connections

Advcash in Malta as revealed by the Paradise Papers

Advcash‘s early European footprint emerged in the Paradise Papers, with its registration in Malta in 2017, aligning with Binance‘s relocation there in 2018 for banking purposes, which had been unattainable in Japan. Advcash sustained its legal presence in Malta until 2023.

In May 2023, the launch of ADV2marked a significant expansion. This platform is operated by Payean Finance Inc., a Canadian entity registered with FINTRAC as a Money Services Business (MSB), and Payean UAB in Lithuania, registered as a virtual currency exchange operator with the Lithuanian Financial Crime Investigation Service. 

ADV2 maintains a close integration with Advcash, allowing seamless verification and card transfer for its users, hinting at possible personnel overlaps between the two systems.

ADV2 operator Payean Finance with Aleksandr Kauzov

Key individuals of Advcash’s European operations are Estonian nationals Olga Belova and Natalja Kauzova, along with Kauzova’s son, Aleksandr Kauzov. Belova and Aleksandr Kauzov serve as directors of Payean Finance Inc. in Canada, while Natalja Kauzova heads the Lithuanian counterpart, Payaen UAB, which operates the ADV2 crypto payment platform.

Olga Belova, a central figure in the Advcash network, has a decade-long history with the now-defunct NordPay Financial Ltd, a formerly FCA-regulated payment institution. Currently under investigation in Estonia for alleged money laundering facilitation, Belova has played a crucial role in Advcash’s operations and the launch of ADV2

The collapse of NordPay Financial is attributed to Belova’s connection with Advcash.

Unconfirmed reports suggest that Estonian bank accounts associated with Belova and Kauzova have been frozen.

Another significant player in the Advcash network is Norman Buhagiar from Malta, who is closely associated with Belova. He serves as a director of Finatex Malta Limited, paralleling Belova’s management role in its Estonian sister company, Finatex OÜ. Both Belova and Buhagiar are directors and beneficial owners of Kaupmehe Invest, an Estonian consulting and technology firm specializing in payment solutions.

Investigations

Sources have informed us that Advcash is currently the subject of an investigation in the United States, particularly concerning its transactional activities via Binance. Recent reports indicate that Binance is obligated to disclose approximately 100,000 transactions flagged as suspicious and is under a five-year monitoring period by the Financial Crimes Enforcement Network (FinCEN). Given Advcash‘s longstanding partnership with Binance, this scrutiny appears justified and logical.

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