Bitcoin robbery case ends with life sentence for former LAPD reserve officer

Former LAPD reserve officer Eric Halem has been sentenced to life in prison plus 15 years for kidnapping and robbing a teenager of a hard drive containing about $350,000 worth of Bitcoin during a 2024 home invasion in Los Angeles.

According to the Los Angeles Times, Los Angeles County Superior Court Judge Mildred Escobedo imposed the sentence on Tuesday after rejecting Halem’s request for a new trial in the December 2024 robbery targeting a 17-year-old in Koreatown.

Bitcoin robbery case has resulted in life sentence

Court records cited by the publication show Halem received concurrent life sentences for kidnapping and robbery, along with an additional 15-year prison term. During the hearing, Judge Escobedo dismissed defense arguments that Halem’s original lawyers had failed to call witnesses and examine important evidence.

The judge said the trial evidence showed Halem acted out of “sheer and utter greed,” adding there could have been no other conclusion based on the facts presented in court.

A spokesperson for the Los Angeles County District Attorney’s Office told the newspaper that Halem must complete most of the 15-year sentence before serving the concurrent life terms. The spokesperson also said he will become eligible for parole after seven years.

The sentence follows Halem’s conviction in March, when a jury found him guilty after a two-week trial.

Prosecutors said teenager was forced to surrender Bitcoin hard drive

Prosecutors told the court that Halem and three alleged co-conspirators entered a high-rise apartment in Los Angeles and threatened to kill the victim unless he handed over a hard drive containing approximately $350,000 in Bitcoin.

The teenager, identified during the proceedings only as Daniel, surrendered the device after being threatened, according to evidence presented during the trial.

Although Halem had left the Los Angeles Police Department nearly two years before the robbery, the Los Angeles Times reported that he was still serving as a reserve officer when the crime took place.

The newspaper also reported that Halem continues to face separate criminal cases involving alleged insurance fraud and another crypto-related robbery. His three co-defendants have not yet gone to trial.

Crypto-related home invasions have continued across the US

The sentencing comes as U.S. authorities continue pursuing several violent cases involving cryptocurrency holders.

Earlier this month, federal prosecutors in Connecticut announced charges against three Missouri men accused of planning a home invasion to force a victim to transfer Bitcoin. According to the U.S. Department of Justice, Sedric Louis, John Davis and Martel Williams allegedly traveled to Connecticut in August 2024, rented vehicles, obtained air rifles and walkie-talkies, and watched their intended target and his parents before abandoning the plan after becoming concerned they had been captured by security cameras.

The Justice Department said the conspiracy case forms part of a larger investigation linked to a later kidnapping in Danbury, where another group allegedly targeted the parents of a person connected to the theft of hundreds of millions of dollars in Bitcoin. The three Missouri defendants have pleaded not guilty, while prosecutors have already secured guilty pleas from Adam Iza and Saif Faiq over related Hobbs Act conspiracy charges.

Several months earlier, federal prosecutors also charged three Tennessee men over another alleged cryptocurrency robbery operation in California.

According to the Justice Department, Elijah Armstrong, Nino Chindavanh and Jayden Rucker posed as delivery workers to enter or attempt to enter homes in San Francisco, San Jose, Sunnyvale and Los Angeles. Prosecutors alleged the group restrained victims with firearms, duct tape and zip ties before demanding access to cryptocurrency accounts.

In one alleged incident, authorities said a victim was forced to log into crypto accounts while another participant transferred about $6.5 million in digital assets to a wallet controlled by the group. All three defendants have pleaded not guilty and remain entitled to the presumption of innocence unless proven guilty in court.

Investigators have tracked more attacks targeting crypto holders

The California and Connecticut prosecutions have been among several recent cases in which investigators say cryptocurrency investors were selected because of their digital asset holdings rather than traditional valuables.

Federal prosecutors have increasingly relied on Hobbs Act robbery charges in cases involving alleged kidnappings and forced cryptocurrency transfers, while state prosecutors have pursued separate robbery and kidnapping charges where the facts support them.

Outside the United States, authorities have also reported an increase in physical attacks targeting crypto holders. French prosecutors have charged dozens of suspects in separate investigations involving alleged kidnappings and attempts to force victims to surrender access to cryptocurrency wallets, while investigators have continued warning that organized groups are using violence alongside digital theft methods.