The Australian Federal Police (AFP) has executed a significant asset seizure connected to Shane Duffy, a known figure in cybercrime, by confiscating 25 Bitcoin (BTC), a beachfront property, and a 2019 Mercedes-Benz, cumulatively valued at approximately AU$4.5 million. This operation is part of an extensive investigation that traces back to 2018, initiated after alerts from Luxembourg’s cryptocurrency monitoring authorities linked Duffy to illicit financial activities.
Duffy’s criminal history is notable; in 2016, he was convicted of crimes related to fraud and hacking after he sold private information from players of the popular game League of Legends. He had obtained this data from a significant security breach involving Riot Games in 2011, though he was not involved in the hack itself. Furthermore, he has faced accusations of using the X account of Riot Games president Marc Merrill to promote a data-selling service that provided access to user accounts.
On May 18, the AFP announced that the property seizure was executed under the Proceeds of Crime Act, following a ruling by Queensland’s District Court in April 2023. The court determined that Duffy’s assets were not aligned with any legitimate income sources, allowing for their confiscation despite the absence of new criminal charges against him.
Commander Jason Kennedy of the AFP highlighted the importance of such legislative frameworks, which provide law enforcement agencies strong tools to disrupt financial networks linked to cybercrime. He noted that profits derived from criminal activities often sustain further criminal enterprises, making it imperative for the AFP to target these proceeds and ensure they are redirected back into the community.
In mid-July 2023, prior to the current seizure, the Criminal Asset Confiscation Taskforce (CACT) already secured restraining orders on Duffy’s newly identified assets, which included nearly 25 BTC and a luxury vehicle. Under the civil asset forfeiture provisions, law enforcement can confiscate assets based on a civil standard of proof, rather than the higher standard required for criminal convictions. This aspect of Australian law allows for the agglomeration of resources suspected to be connected to criminal enterprises, thereby seeking to curb such activities and reinvest in the community.
In summary, Duffy’s case underscores the ongoing battle against cybercrime and the utilisation of legal measures to incapacitate offenders through financial means rather than solely relying on criminal convictions. The AFP’s proactive approach in this instance aims not only to disrupt illicit operations but also to restore public confidence in the safety and integrity of cyber environments.
