EncroChat User from Liverpool Sentenced for Drug and Money Laundering Conspiracy
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A man from Merseyside was sentenced this week (Tuesday 7 July) at Liverpool Crown Court for his involvement in supplying Class B drugs as well as conspiring with others to convert money into cryptocurrency.
His offences were uncovered through Operation Venetic - an international operation targeting criminals who used a mobile encryption service to try and evade detection.
Alex Midgley-Newton, 31, of Portico Lane, Prescot was jailed for six years and six months after pleading guilty to the below offences:
- Conspiracy to supply cannabis
- Conspiracy to convert criminal property
- Possession of criminal property
He operated under the Encro handle "ViperEast" and was identified as this user when he shared a business card in his name with others on Encrochat.
Between March and May 2020, Midgley-Newton was involved in the supply of 90kg of cannabis across the country. During this period, he conspired with others to launder criminal proceeds on behalf of the Coggins organised crime group, converting cash generated from the group's large-scale cocaine trafficking into cryptocurrency. The cocaine operation was estimated to be worth more than £5 million.
Images recovered from his Encro handle included pictures of cannabis blocks ready to be distributed and bundles of £50 notes instructing others to launder it into crypto-currency.
On 22 April 2026, Midgley-Newton was arrested at his home address. A search warrant was conducted where officers seized over £24,000 in cash within his wardrobe.
Detective Chief Inspector Kelly Wild from the NWROCU Operations Team said:
"Alex Midgley-Newton has been sentenced for his role in the supply of Class B drugs and for converting criminal property derived from the supply of Class A drugs. His involvement in this widespread drug network would have caused significant harm and misery to communities across the region.
"Despite believing that the EncroChat platform would shield his criminal activity from law enforcement, officers were able to uncover the full extent of his offending.
"We hope that today's sentence sends a message to criminals that you are not untouchable. We are committed to ridding the streets of drugs, robustly dealing with high harm offenders to reduce crime and restore trust and confidence in our communities across the North West.
"Anyone with information about drug dealing or other criminal activity in their community is encouraged to contact police on 101, or report anonymously via Crimestoppers on 0800 555 111."