Leonardo de Jesus Zuluaga Duque, a Colombia-based crypto broker known as Rey, was sentenced to 160 months in a US federal prison on October 21, 2026. Prosecutors linked him to the laundering of approximately $14.5 million in USDT and a conspiracy to import cocaine into the United States.
The illicit operation took place between May and November 2023, involving five accomplices, shell companies, and cross-border money transfers. The criminal conspiracy also included the importation of about 9 kilograms of cocaine into the US.
The court ordered Zuluaga Duque to forfeit $14.75 million and surrender digital assets held in four crypto addresses under his control. Colombian authorities had previously approved his extradition to the US in early 2025.
The US Department of Justice specifically identified USDT as the primary mechanism for the money laundering scheme. This case highlights the increasing focus of US regulators on stablecoin flows and the use of digital asset channels in narcotics-related investigations.
