South Korea arrests 4 Uzbek nationals over $121,000 crypto-financed vehicle shipments to Syria

Crypto transfers linked to terror organization

The Gwangju Metropolitan Police Agency’s security investigation division detained the four individuals in April under the Act on Prohibition Against the Financing of Terrorism, later releasing details of the case. Among the group, one suspect was identified as the ringleader and has been indicted and detained for trial, while the remaining three are under investigation without detention.

According to police, the ringleader sent 4,267 USDT to Katibat Tawhid wal Jihad (KTJ) over seven transactions between August 2024 and April 2025. Additionally, he allegedly received cryptocurrency from KTJ and used it to purchase vehicles that were then shipped to Syria.

KTJ is a Syria-based militant organization founded in 2014, composed primarily of Central Asian fighters and recognized as a terrorist organization by both the United Nations and the United States.

Mini dictionary: Katibat Tawhid wal Jihad (KTJ), also known as the Battalion of Monotheism and Jihad, is a militant group operating in Syria and has frequently been targeted by international counter-terrorism measures due to its designation by major global authorities.

Funds used for vehicle purchases and exports

Investigators allege that the ringleader purchased 11 used cars and two excavators, with a total value of 170 million won ($121,000), using the cryptocurrency received from KTJ. The other three individuals reportedly assisted with acquiring and exporting the vehicles to Syria.

Police highlighted that while previous terrorism-related cases had involved funds being sent to groups, this investigation uncovered a reverse flow: cryptocurrency supplied from a terrorist group, which was then used in South Korea to purchase vehicles exported back to Syria.

“Previous terrorism-related cases involved sending funds to terrorist groups, but this is the first case of receiving funds from a terrorist group and purchasing and supplying vehicles in return,” police stated.

Details of investigation and defense

Authorities say the ringleader rotated between three personal cryptocurrency wallets, directed payments for vehicles to an account in his spouse’s name, and used another person’s driver’s license when detained. Investigators revealed that he entered South Korea in 2017 on a student visa, graduated from a university in Daejeon, and has lived in the country beyond his visa period since 2023.

During his first court hearing in June, the ringleader denied the terrorism financing charges, asserting that the funds were for family living expenses and claiming no knowledge about the buyers of the vehicles. He also stated that his younger sibling joined KTJ only for self-protection in response to violence against Uzbeks in Syria.

One suspect claimed that he did not know the ultimate destination of the vehicles and said relatives had connections to KTJ only out of safety concerns.

The ongoing investigation resulted in the apprehension of another individual subject to an Interpol Red Notice, and authorities have indicated the case remains active.