Iris Ramaya Au, the former girlfriend of Los Angeles-based crypto entrepreneur Adam Iza, has pleaded guilty to assisting in money laundering and tax fraud related to over $2.6 million in illicit funds.
A public statement reported that prosecutors revealed that Au played a critical role in concealing these funds from tax authorities, allowing Iza to sustain their extravagant lifestyle.Â
As part of her plea agreement, Au admitted to facilitating fraudulent financial transactions over several years.
She now faces a maximum sentence of three years in prison. Her guilty plea is part of a broader investigation into Iza’s extensive criminal operations, which have drawn significant attention due to their scale and complexity.
Adam Iza’s Crypto Empire and Large-Scale Fraud
Adam Iza, also known as “The Godfather” in the crypto community, was arrested in September 2024 on multiple charges, including conspiracy, wire fraud, and tax evasion.
Prosecutors allege that Iza, along with Au, engaged in fraudulent schemes that enabled them to amass millions in illegal wealth.
Over the years, the duo allegedly spent approximately $10 million on luxury goods, while Iza personally obtained $16 million in cryptocurrency using fraudulent funds.
One of the most shocking accusations against Iza is his involvement in defrauding Meta (formerly Facebook) of $37 million by exploiting the company’s advertising systems.
His fraudulent activities peaked with large-scale scams orchestrated through his crypto trading platform, Zort, further entrenching his reputation as a key player in crypto-related financial crimes.
Criminal Ties to Violence and Crypto Manipulation
Beyond financial fraud, Iza has been linked to violent crimes and aggressive tactics to steal cryptocurrency.
Authorities claim that in 2018, he impersonated an FBI agent to carry out an armed robbery involving digital assets.
Additionally, investigators suspect his involvement in a failed home invasion in 2022, allegedly aimed at stealing cryptocurrency.
His criminal activities spanned multiple fronts, utilizing shell companies, digital manipulation, and intimidation tactics to execute his schemes.
Law enforcement officials describe Iza’s operations as one of the most elaborate crypto-related fraud cases in recent years, underscoring the vulnerabilities within the digital finance sector.
His case serves as a stark reminder of the risks associated with the underregulated world of cryptocurrency.
Legal Consequences and Broader Implications for Crypto Crimes
In January 2025, Iza pleaded guilty to his charges and now faces up to 35 years in prison. Meanwhile, Au’s guilty plea highlights the significant role of financial accomplices in large-scale fraud.
From 2020 to 2023, Au actively laundered illicit funds through shell companies, furthering Iza’s schemes.
Her upcoming sentencing could set a legal precedent for similar cases, reinforcing the government’s commitment to cracking down on crypto-related financial crimes.
The current case, along with recent crypto fraud convictions—including a U.K. man sentenced for operating illegal crypto ATMs.
Also, there is the case of CluCoin founder jailed for wire fraud, and a Forcount Ponzi scheme promoter facing prison—illustrates the growing regulatory scrutiny on the crypto industry.Â
As digital finance continues to evolve, authorities emphasize the need for stronger oversight, enforcement measures, and investor protection to prevent future abuses.
Also, in the wake of crypto tax cases, the crypto world is witnessing another high-stakes legal battle, as Roger Ver, known as “Bitcoin Jesus,” fights extradition to the U.S. over $50 million in alleged tax evasion.Â
Ver, who renounced his U.S. citizenship years ago, argues that the charges are politically motivated, a stance echoed by Ethereum founder Vitalik Buterin, who called the potential 109-year sentence “absurd” for a non-violent tax offense.
As these two cases unfold, they reinforce the pressing need for greater security measures and legal clarity within the crypto space.