Sébastien Vachon-Desjardins of Gatineau, Quebec, was arrested by Royal Canadian Mounted Police (RCMP) in January last year on allegations he was a key figure in an international ransomware ring known as NetWalker.
NetWalker targeted businesses and other institutions by encrypting data on their systems, and then holding that data for ransom, officials said. In addition, the gang also accessed and stole sensitive personal information about employees, clients and users, officials said.
In January this year, he pleaded guilty via video in a Brampton, Ontario, courtroom to all but the unauthorized use of a computer charge, and received a seven year prison sentence.
The RCMP and Department of Justice said in March that Vachon-Desjardins faced similar charges in Florida and he was extradited that month.
In Florida court documents dated May 23, Vachon-Desjardins pleaded guilty to four charges. The government recommends he get a lesser penalty when he is sentenced.
Vachon-Desjardins agreed to forfeit about $21.5 million U.S. remaining from proceeds of these crimes, along with 27.65 bitcoins, and co-operate with other investigations.
As part of the agreement, he admitted he “was one of the most prolific NetWalker Ransomware affiliates.”
Florida court documents show Vachon-Desjardins infiltrated an unnamed company in Tampa on April 30, 2020.
That company, referred to as Victim 1 in the documents, spent about $1.2 million U.S. to get back to normal instead of paying the $300,000 U.S. demanded in a note Vachon-Desjardins sent.
Evidence the FBI gave to the RCMP allowed it to start its own probe into whether crimes had been committed in Canada.
RCMP and Gatineau police searched the Gatineau home of Vachon-Desjardins in January 2021 and seized computing and storage devices, 719 bitcoins (worth tens of millions of dollars) and $790,000 Cdn.
At the time, the cryptocurrency seizure was believed to be the largest in Canada to date in terms of monetary value, the RCMP said.
Public Services and Procurement Canada wrote in an email this past March Vachon-Desjardins hadn’t been employed at the department since Jan. 13, but declined to answer other questions about his employment history.