“Computer geek” in Australia is accused of developing the encrypted messaging app Ghost for the criminal underworld

The Hague — A 32-year-old Australian “computer geek” has been arrested on suspicion of developing an encrypted messaging app used by hundreds of criminals worldwide to arrange drug deals and order murders, police said on Wednesday. The Australian Federal Police said the Ghost app was marketed to underworld figures as “unhackable” and was used by hundreds of suspected criminals from Europe, the Middle East and Asia.

But without the users' knowledge, international police authorities hacked into the network and observed the criminals discussing illegal drug trafficking, money laundering, murder and serious acts of violence.

Authorities intervened on Tuesday and Wednesday and arrested criminals from Italy, Ireland, Sweden, Canada and Australia – including Jay Je Yoon Jung, the alleged “mastermind” of the app.

According to Catherine De Bolle, Executive Director of Europol, law enforcement authorities from nine countries were involved in the international operation.

“Today we have made it clear that criminal networks, no matter how hidden they may be, cannot escape our joint efforts,” she said.

“This was a real global game of cat and mouse and today the game is over,” Jean-Philippe Lecouffe, Europol's deputy executive director, told reporters at the agency's headquarters in The Hague.

Authorities have uncovered an Australian drug laboratory and seized weapons, drugs and cash worth more than $1.1 million worldwide, the EU police agency added.

Ghost, a kind of WhatsApp for criminals, was developed nine years ago and could only be accessed via modified smartphones that sold for about 2,350 Australian dollars (1,590 US dollars).

The hefty price includes a six-month subscription to the Ghost app and technical support, the Australian police said on Wednesday. Users also had to purchase a permanent subscription.

French police were able to trace the creator's location to Australia and joined forces with local police to target the platform.

The app's developer regularly released software updates, but in 2022, Australian police managed to hijack these updates to access encrypted content.

For two years, authorities watched as Ghost grew in popularity and criminals exchanged messages – including 50 death threats, which Australian police say they were able to fend off.

Several thousand people worldwide use Ghost and around 1,000 messages are exchanged every day, according to Europol.

In Australia alone, 376 phones had the Ghost app installed.

In one case, police intercepted an image showing a gun pointed at a person's head and managed to rescue the person within an hour, Australian Federal Police Assistant Commissioner Kirsty Schofield said.

Ireland, which ranks second in terms of the number of Ghost users, was able to “disrupt one of the main drug smuggling routes into our country, seizing drugs with a street value of approximately €16 million,” Justin Kelly, deputy police commissioner, was quoted as saying in the Irish Times.

Hacking encrypted apps on mobile phones is becoming increasingly difficult for authorities, but it is not impossible. Three years ago, the dismantling of a similar network called ANOM led to 800 arrests worldwide.

Little did they know that ANOM was created and distributed by the FBI and allowed law enforcement agencies in the United States and other countries to decrypt 27 million messages, many of which were related to criminal activity.

Australian Federal Police Deputy Commissioner Ian McCartney said that following the revelation of the ANOM network, Ghost began to “fill that gap”.

He added that law enforcement is aware of other similar encrypted apps and that he hopes some of them will be shut down within the next 12 months.

According to Europol, encrypted communications are becoming “increasingly fragmented” after other services have been disrupted or shut down, prompting criminals to diversify their methods.

McCartney said the New South Wales-born inventor of the Ghost app lives with his parents and has no criminal past.

The “computer geek” was profit-oriented and “slightly surprised” when police arrested him on Tuesday, McCartney said.

Schofield added that police had to act quickly because the man had the opportunity to “delete the communications data in the system.”

“Our response teams were able to secure him and the equipment within 30 seconds of entry,” she said.

The 32-year-old was accused of five criminal offenses, including supporting a criminal organization, which carries a prison sentence of up to three years.

He appeared in a Sydney court on Wednesday, was denied bail and no new court date was set.

A further 38 people were arrested across Australia.