Patrick Steven Yaroch, a former FBI employee who worked on national security and counterintelligence matters, has been arrested and fired after investigators accused him of stealing nearly $1 million in cryptocurrency from wallets the FBI was monitoring. According to court documents and an FBI affidavit, Yaroch allegedly used information obtained through FBI systems to transfer cryptocurrency from accounts linked to an “adversarial nation” into his personal wallet.
The adversarial nation was Russia, NBC News reported, citing two sources familiar with the matter.
Authorities said Yaroch, who held a top-secret security clearance, was assigned to an FBI national security investigative squad in Boston that was investigating an individual from a nation considered adversarial by the United States. Investigators allege that between late 2024 and 2026, he carried out about 10 to 12 cryptocurrency transfers totaling roughly $1 million.
What Do Court Documents Allege?
According to the affidavit, Yaroch told a colleague and later FBI investigators that he became frustrated because he could not do more to disrupt the target’s use of cryptocurrency. Investigators say he then created his own cryptocurrency wallet, searched FBI systems for passphrases associated with the monitored accounts, and transferred the funds to himself.
Authorities said Yaroch told investigators he never used the money. During a search of his home, agents seized $925,426.07 from his cryptocurrency wallets and accounts.
The affidavit also alleges that Yaroch repeatedly asked ChatGPT questions about relocating overseas with about $1 million. Among the prompts cited were asking how to maximize returns on $1 million, how to become a resident or citizen of a European Union country, whether an American connecting through Turkey would need a visa, and requesting help writing an email about a job in Greece.
Investigators also said they found flights booked for Yaroch, his wife and child to travel to Portugal in September, along with documents authorizing lawyers in Portugal to obtain a tax identification number for him. The FBI further alleged that Yaroch failed to disclose trips to Germany, Portugal and Grenada between May and July 2026, despite being required to report such travel.
When interviewed by FBI agents at his home last month, Yaroch allegedly admitted, “I f—d up,” according to the affidavit.
Yaroch was arrested last week and charged with interstate transportation of stolen goods, securities and monies, and receipt of stolen goods, securities and monies. The FBI said it immediately opened an investigation after learning of the allegations, adding that such conduct is not tolerated within the agency.