Turkish prosecutors seek up to 39 years in Paymix case over payments for illegal betting sites

Turkish prosecutors in Istanbul have accused Paymix, a Malta-based payment company, of processing transactions for illegal websites and moving player funds from the banking system into cryptocurrency. For high-risk PSPs, the case is a reminder that flow-of-funds analysis, not just merchant labels, is what investigators tend to focus on.

1. According to the Istanbul prosecutor’s office, 57 Turkish citizens were involved in the operation around Paymix. The company allegedly helped accept player payments, pushed the money into the banking sector, and then converted it into cryptocurrency.
2. In the Paymix case and in relation to Burak Başel, who owns 90% of the company, the funds were ultimately transferred to wallets on Kraken, the crypto exchange located in the British Virgin Islands.
3. Prosecutors say Paymix processed transactions for 56 illegal betting platforms operating on the digital infrastructure of Pentech, another company owned by Başel. Those platforms reportedly held data on around 14 million players, including 3 million registered with Turkish phone numbers.
4. In total, 210 billion lira ($4,43 billion) passed through the system. The group allegedly used around 800 VPN accounts, more than 600 remote desktop devices, and more than 500 physical and virtual servers.
5. The prosecution has requested prison terms of up to 39 years for Başel, described as the organizer of the criminal group, up to 37 years for Bozdoğan, described as the group’s manager, and up to 22 years for the remaining defendants.