US Department of Justice Links Kansas Bank Collapse to $225 Million Pig-Butchering Scam Seizure Case

According to a lawsuit filed on Wednesday, a Kansas banker stole millions of dollars from his small-town bank in 2023, leading to the bank’s collapse. Most of the stolen funds were lost to overseas cryptocurrency scammers, who were the targets of a record-breaking crackdown by the U.S. Department of Justice. Prosecutors have filed a civil forfeiture lawsuit targeting over $225 million in laundered USDT. This sum is part of a “pig butchering” scam linked to a call center in the Philippines, which ensnared the notorious former Heartland Tri-State Bank CEO Shan Hanes. Hanes embezzled $47 million, and this theft was directly identified as the cause of the agricultural lender’s failure in 2023.