Owners of “Empire Market” Charged in Chicago With Operating $430 Million Dark Web Marketplace

Friday, June 14, 2024, USAO-ND-IL

CHICAGO — Two men have been charged in federal court in Chicago with operating “Empire Market,” a dark web marketplace that enabled users to anonymously buy and sell more than $430 million in illegal goods and services around the world.

THOMAS PAVEY, also known as “Dopenugget,” 38, of Ormond Beach, Fla., and RAHEIM HAMILTON, also known as “Sydney” and “Zero Angel,” 28, of Suffolk, Va., owned and operated Empire Market from 2018 to 2020, during which time they facilitated approximately four million transactions between vendors and buyers valued at more than $430 million, according to a superseding indictment returned Thursday in U.S. District Court in Chicago. The indictment charges Pavey and Hamilton with conspiring with each other and others to engage in drug trafficking, computer fraud, access device fraud, counterfeiting, and money laundering. The charges in the superseding indictment are punishable by a maximum sentence of life in federal prison.

Pavey and Hamilton are in U.S. law enforcement custody. Arraignments in federal court in Chicago have not yet been scheduled.

The superseding indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, Ruth Mendonça, Inspector-in-Charge of the Chicago Division of the U.S. Postal Inspection Service, and Ivan J. Arvelo, Special Agent-in-Charge of the New York office of Homeland Security Investigations. The government is represented by Assistant U.S. Attorneys Melody Wells and Ann Marie Ursini.

According to the charges, Pavey and Hamilton previously worked together to advertise and sell counterfeit U.S. currency on AlphaBay, a dark web marketplace for illicit goods that was shut down in 2017. They began operating Empire Market on Feb. 1, 2018, the indictment states. Thousands of vendors and buyers accessed Empire Market through a specialized anonymizing software and the site’s address, which ended in “.onion.” Vendors on Empire Market offered to sell various illicit goods and services, including controlled substances such as heroin, methamphetamine, cocaine, and LSD, as well as counterfeit currency and stolen credit card information, the indictment states. Buyers could browse the available goods and services by category, including “Fraud,” “Drugs & Chemicals,” “Counterfeit Items,” and “Software & Malware,” among others, the indictment states. After transactions were completed using cryptocurrency, buyers could review and rate their purchases on multiple criteria, including “stealth,” the indictment states.

During the investigation, federal law enforcement seized cryptocurrency valued at $75 million at the time of the seizures, as well as cash and precious metals.

The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.

Counterfeiting was their big money maker in all of this, especially in Northern Illinois and thats why they are being tried there.

Rush, 4 Million transactions between buyers and sellers, representing over $430 Million dollars in services generated from around the world...thats unprecedented!

Not only counterfeiting (which I'm sure was huge,) but all kinds of narcotics and other drugs, which I'm certain represented a big chunk of these sales also. Narcotics are usually very big business over the "dark web" too.

The authorities seized over $75-Million in assets also. Thats really big time stuff! No penny-ante action with these guys.

And I suspect the reason why the case was brought in the Northern District of Illinois is because thats where the conspiracy probably started. (thats typical of how jurisdiction works.)

How do these dark web guys ship drugs without it being detected? Isn't it more risky for the buyer than the seller considering they are accepting illegal drugs being delivered to their home?

I'm with you, Rush. I can only say that I wish I knew how they do that. I really have no clue how they're able to get drugs and contraband (but, especially drugs) past U.S. Mail inspectors as well as International Mail investigators to pull off such feats. Over and over again. When we know that the authorities are on the lookout for such smuggled contraband and reportedly have "detection methods" in place to uncover such schemes.

But, quite obviously, they're doing it...and doing it quite well. Because this operation was humungous and its not the first one, nor shall it be the last, to conduct such surreptitious businesses.

The expert in two different city's...

.He's got insiders there I'm sure !!!!

Usually like they would smuggle the stuff in anyways, stuffing it in shampoo bottles or other things with something wrapped around it etc. You're shipping a lot less product this way as folks are not usually buying keys or multiple pounds so the risk is less.

I had a friend that lived in Australia and they sell a product over the counter there that has Tylenol and codeine in it so I got them to buy 2-3 bottles and ship it over without a return address so they wouldn't get in trouble. Customs of course got it and sent me a letter stating something was caught and what it was. I wasn't going to admit to it if they asked anyways

Just play dumb and tell them you was not expecting anything or you may get charged to destroy illegal stuff if they choose if they can truly tie it to you

There's still colossal mountains of money to be made in crime, the mob just ain't making it.

No doubt about that....on both counts.

Another legendary thread bumped up multiple times by the the kid with 3 accounts

Hey guys so I’ve made 400 million. Retire and live in Florida gracefully enough cash to serve 5 generations? What a stupid statement. Let’s make 600 million and keep selling drugs. Fucking idiots

It's probably only a matter of time before we see some mob guys or connected guys jammed up in similar schemes.