How did the police officer become a thief?
In a major violation of the trust within the UK law enforcement, a National Crime Agency (NCA) officer, Paul Choules, stole 50 bitcoins (BTCs) from a seized wallet associated with Thomas White, an operator of Silk Road 2.0.
Theft took place in 2017 when the price of cryptocurrency was around 60,000 British pounds (about $ 79,000). By the time the chowles were caught, the price of Crypto had exceeded 4.4 million pounds (about $ 5.9 million). The 42-year-old Bristol’s 42-year-old used dark web and crypto-mixing services to divide the stolen bitcoin into small amounts, transferred them through Crypto exchanges and prepaid cards to hide their source.
Initially, investigators suspected that White somehow had access to his fund while detaining, but detailed blockchain analysis revealed rice as criminals. His arrest, punishment and a five -and -a -half -year sentence shows that the traceability of the blockchain can also highlight internal sources, proving that no one is above the law.
Background: Silk Road 2.0, Thomas White and NCA
In 2013, the US Federal Bureau of Investigation discontinued the illegal online marketplace known as Silk Road, which facilitated trade and goods trade on the dark web. Shortly thereafter, Silk Road 2.0 was launched by the British National Thomas White, which was quickly gaining popularity.
The successor site was also demolished in 2014 through a collaborative attempt between UK officials and FBI. During the investigation, the authorities seized 97 BTC from White. These funds were located in a “retirement wallet” and were nominated for seizure as part of their sentence.
Bristol’s 42 -year -old officer Paul Choules served as the lead crypto analyst for NCA and was responsible for removing and managing the cryptocurrency of White. The specialization of chips was important in tracing, securing and documenting these digital assets for law enforcement.
The role of the chowles in White’s investigation gave him an opportunity to do access and one of the most important internal theft of NCA.
Do you know In 2021, US authorities linked more than 94,000 BTCs with the 2016 bitfinex hack, at that time the price of more than $ 3.6 billion. It marked one of the most important financial seizures in American history.
How did the Chowles steal crypto?
Between 6 and 7 May 2017, the chowles made a theft, which would eventually dismiss him from his job and take him to jail.
As the lead crypto analyst in Thomas White Investigation, the Chowles used its privileged access to secretly transfer 50 BTCs, which was around 60,000 pounds, the white seizure from the “Retirement Wallet” of White. To hide the source of theft funds, they divided the bitcoin into small amounts and funnel through bitcoin fog, which is a crypto-mixing service designed to obscure transactions trails.
Initially, investigators suspected a skilled hacker, White, who may have reached their seized property from jail. For years, the theft remained unresolved, and by the end of 2021, the NCA considered 50 BTCs inaccessible. The focus of the Chowles’s careful deception appeared successful until the blockchain analysis later revealed their fraud and brought their actions to light.
After stealing funds from the seized wallet of White, the chowles quietly worked to convert Cryptocurrency into cash. The price of bitcoin increased between August 2021 and May 2022, they began to exchange parts of the fund using crypto-friendly platforms such as crypto and wirex.
These services enabled the Chowles to convert BTC into British pounds, which they accessed through the linked debit card. During this period, chul to be done 279 transactions spend around 23,000 pounds between August 26, 2021, and 20 May 2022. Between August 30, 2021, and 22 February, 2022, Chowles made a total of five return of 6,232 pounds.
According to the Crown Prosiction Service (CPS), between August 27, 2021, and 14 July, 2021, Chowles used Wirex account and debit card to spend the amount of 79,884.77 pounds (25 July, 2025 on $ 107,438.62). CPS estimated that their profit is 613,147.29 pounds (valuable on 25 July 2025 at $ 824,634.05).
The use of chails of mainstream financial platforms, with their careful efforts to hide the transaction, reflects their confidence that he can avoid detection. However, the volumes and patterns of their expenses provided important evidence, allowing investigators to detect stolen funds.
Do you know Governments usually seized the auction bitcoin. The US Marshal Service has sold tens of thousand BTCs since 2014, some of the initial crypto adoption such as Tim Draper, has transformed the recovery of government’s assets into unexpected opportunities for investors.
Checks and uncontrolled
In early 2022, after its release, White informed the authorities that only an NCA internal formula could access the private key in its seized bitcoin wallet, allowing a Mercestic police probe to be motivated in chows.
Investigators confiscated Chailes’ phones and notebooks, exposed credentials, browser history and wallet details, which they were directly linked to by the theft of 50 BTC in 2017. Using Channelis Analytics, the authorities discovered stolen funds through bitcoin fogs, a crypto-mixing service, which identify the money trail despite the efforts of various exchanges.
The combination of digital forensic and blockchain analysis exposed his plan. Efforts were made to overcome the careful efforts of the chails. Following about three years of legal proceedings, the chowles blamed in March 2025 for stealing, transferring criminal assets and hiding criminal property. His actions highlighted his role as a reliable NCA Crypto analyst, highlighting the serious issue of internal malpractices within law enforcement.
In July 2025, the Liverpool Crown Court sentenced the 42 -year -old to five and a half years in jail. On July 11, 2025, the NCA rejected the chowles for gross misconduct. The punishment acts as both a punishment and a reminder that even those responsible for implementing the law face their full consequences when they cheat public trust.
Alex Johnson, an expert prosecutor with CPS, Stated The chowles “preparing a plan and lining their own pockets and took advantage of their position on this investigation that he believed that it would ensure that the doubt would never fall on him.”
Detective Chief Inspector John Black, who examined the chowles with the help of NCA, said, “It would be extremely disappointing for everyone that someone involved in law enforcement can include themselves in the criminal that they are assigned with investigation and prevention.”
Evket recovery from later and chowles
Following the punishment of chowles, the authorities worked to fix the stolen cryptocurrency. He seized about 470,000 pounds from the accounts and assets of chowles, equal to 30 BTCs at existing values.
The CPS started the ongoing seizure to recover any remaining illegal benefits for the state. The NCA also addressed the property related to Silk Road 2.0 operator Thomas White. Initially, out of 97 BTC seized from white, 47 BTC was in custody and sold by the NCA to suit the court order, producing about 1 million pounds.
This recovery shows the growing potential of the state, when you trace, seize and transform digital assets into funds, even when they are tied or tied to complex criminal schemes, ensuring that neither criminal nor corrupt interiors can avoid the consequences of their actions.
Do you know Crypto seizures often include teamwork across the border. Agencies like Europeol, Interpol and FBI share blockchain intelligence information to recover illegal funds. These joint efforts have given birth to a coordinated Tekdown of dark markets such as Hydra, where hundreds of crores were frozen and seized in Crypto.
Chowles’ Crypto theft major lessons
The case of Paul Chowles acts as a reminder that even the inner infrastructure sources can be wooed to misuse the assets that they have been assigned for protection. However, it also highlights how the transparency and advanced investigative equipment of blockchain can highlight hidden crimes, even after years of their existence.
Here are the main lessons from the cases of chawls and its widespread implications:
- Blockchain traceability: Despite the efforts of the chails using bitcoin fogs, Channelis detected stolen funds after about five years, demonstrated the efficacy of blockchain analytics.
- Insider Risk: The access of chowles for private keys and forensic equipment suggests how reliable authorities can cause risk, demanding internal internal security measures.
- Legal and Regulatory Effects: The case emphasizes the need for better protocols to handle cryptocurrency assets, resulting in an increase in seizure and recovery processes and increased monitoring within law enforcement.
