A Calgary man has been granted bail as he fights his extradition to the United States on charges that he allegedly laundered hundreds of millions of dollars for fugitive Ryan Wedding’s cocaine trafficking empire.
A B.C. Supreme Court justice in Vancouver ruled Tuesday that the man, 32-year-old Rasheed Pascua Hossain, can be released from jail and enter house arrest at his family’s home in Calgary. He must wear an ankle monitor and abide by a number of conditions such as not possessing a cellphone.
The judge also granted a transfer of Mr. Pascua Hossain’s extradition case to an Alberta court. Mr. Hossain is battling U.S. charges that he conspired to distribute cocaine and possess cocaine with intent to distribute it, and that he conspired to export cocaine and launder monetary instruments.
None of these allegations have been proven in court, and the evidence heard during the three days of bail proceedings is covered by a publication ban.
Mr. Pascua Hossain’s lawyer did not respond to requests for comment.
Mr. Wedding, a former Canadian Olympic snowboarder, is believed to be hiding in Mexico, despite a manhunt that has lasted more than a year. The Federal Bureau of Investigation has posted a $15-million reward for information leading to his arrest.
Ryan Wedding organization allegedly used cryptocurrency to launder drug money
Mr. Pascua Hossain appeared in court in person earlier this month, calmly addressing the judge while clad in a red jail jumpsuit.
Three of his family members agreed to be sureties, putting up their own money and promising they would monitor him so he does not violate the terms of his bail.
He must surrender his passport, not open any bank or crypto accounts and not communicate with any of his co-accused, the justice ruled.
He is among eight people in Canada charged in the U.S. last month over alleged ties to Mr. Wedding, whom the FBI alleges is the head of a multibillion-dollar drug-trafficking operation.
The FBI first announced the arrests of seven Canadians. At the time, the agency said it was still looking for Mr. Pascua Hossain and two other co-accused in Latin America.
Two days later, the FBI’s Los Angeles office posted on social media that he had been arrested in Vancouver by the RCMP.
Who are the Canadians facing charges connected to Ryan Wedding?
U.S. prosecutors allege that Mr. Pascua Hossain helped manage and launder the proceeds from Mr. Wedding’s drug trafficking, sending more than 200 million Tether coins (which are pegged to the U.S. dollar) to Mr. Wedding between April 29 and Oct. 8 of last year, according to a U.S. indictment.
Mr. Wedding and his accomplices allegedly made extensive use of cryptocurrency to launder the proceeds of a sprawling drug-trafficking operation, demonstrating the growing problem of criminal organizations exploiting virtual assets.
American prosecutors allege that Mr. Wedding and his co-conspirators used a “sophisticated Tether network” to break large amounts of money into smaller chunks, quickly moving the money through intermediary virtual currency wallets before it landed in a central Tether wallet controlled by Mr. Wedding.