Israeli crypto trader arrested over alleged multimillion-dollar tax evasion scheme
Police and the Tax Authority say the suspect concealed cryptocurrency activity and income, while searches uncovered foreign currency and a luxury vehicle allegedly registered under another person’s name.
A joint investigation by the Israel Tax Authority and Israel Police has uncovered a suspected scheme involving tens of millions of dollars in undisclosed cryptocurrency trading.
As part of the investigation, Adiel Miyost, 43, a resident of northern Israel, was arrested Tuesday on suspicion of tax evasion, money laundering and conspiracy to commit a crime.
According to investigation materials from the Tax Authority’s Haifa Assessing Officer for Investigations and the Economic Enforcement Unit of the Coastal District, part of the Lahav 433 division, Miyost allegedly traded cryptocurrencies on various exchanges without reporting the activity to the Tax Authority and omitted income from his personal tax returns in an effort to evade taxes.
The investigation also raised suspicions that Miyost held undeclared bank accounts abroad and used another person’s bank account to conceal his activities and the funds generated from them.
Police and the Tax Authority said searches conducted as part of the investigation led to the seizure of “significant sums of foreign currency” and a luxury vehicle. According to the authorities, the vehicle was registered in another person’s name in an attempt to conceal the suspect’s assets.
The authorities asked the Haifa Magistrate’s Court to extend Miyost’s detention by seven days. In their request, they said he was “suspected of carrying out, likely in concert with others, large-scale financial-technological operations over the past few years, while concealing the activity and income from tax authorities and violating anti-money laundering laws.”
The authorities also cited concerns that the investigation could be obstructed and said certain investigative measures could only be carried out while Miyost remained in custody.
During the hearing, the prosecution and Miyost’s attorneys, Uri Goldman and Sheila Dorfman, agreed to extend his detention until Sunday.
Judge Michal Davidi, deputy president of the Haifa Magistrate’s Court, wrote in her remand decision: “After reviewing the investigation file, and finding that reasonable suspicion and grounds for remand exist, and in light of the consent of the parties’ counsel, who accepted the court’s proposal, I hereby order the extension of the suspect’s remand until October 11, 2026.”
Miyost’s attorneys rejected the allegations.
“This matter belongs in the civil legal arena,” Dorfman and Goldman said in a statement. “The police allegations regarding suspected money laundering involving vast sums are far removed from reality. We are confident that an examination of the claims will lead to the unequivocal conclusion that there is no substance to the police’s allegations.”
They also criticized the timing of the arrest, saying: “The suspect’s arrest at this time, more than five years after the alleged offenses took place, is deeply regrettable.”
