Matthew Luke Gillum (32), a man from Meadow Vista, California, has been sentenced for nine years of federal jail. The charges for the sentence was conspiration to distribute marijuana and subverting a reporting requirement in connection with a currency transaction. On 6, February, the man pleaded guilty for the two charges.
According to court documents, Gillum was the leader of a Sacramento-based dark web crime ring. As most of the dark net vendors, they have used the local postal services for distribution purposes. They have shipped the marijuana to their customers from Sacramento to outside of California. Gillum’s gang used the infamous Silk Road Marketplace for vending the drugs until it has been closed down in 2013 by the FBI. According to law enforcement authorities, the drugs dealers were paid not only in Bitcoins (on Silk Road), but in cash, which has been sent to local PO boxes in the Sacramento region.
According to U.S. Attorney Benjamin Wagner, in the time frame between August 2012 and July 2013, Gillum’s gang has distributed at least 600 pounds of marijuana, most of it in express mail parcels to 16 different states. During the governmental investigation, the federal agents seized more than $700,000 from a bitcoin wallet that has been controlled by and linked to Gillum.
On 27 February, 2013, Gillum purchased a diamond ring from Tiffany and Co. for $105.887 in cash. Since the single transaction exceeded $10,000 in cash, Tiffany and Co. was required to file an IRS form in the man’s name. However, Gillum used a nominee to fill out the paperwork as if the nominee purchased the ring.