Inspector Knacker seems to think that the business is being used for organised crime and shut it down.
Rotterdam judges ordered that Danny Manupassa should be held for 14 days during an ongoing investigation. Prosecutors said he is suspected of money laundering and illegal weapons possession.
“Police and prosecutors believe that they have captured the largest encrypted network used by organized crime in the Netherlands,” prosecutors said in a statement.
Ennetcom said in a statement on its website that the company had been forced to “suspend all operations and services for the time being.”
“Ennetcom regrets this course of events and insinuations towards Ennetcom. It should be clear that Ennetcom stands for freedom of privacy,” the company said.
While Ennetcom and most of its users are in the Netherlands, the bulk of the company’s servers were in Canada. Prosecutors said information on the servers in Canada has been copied in cooperation with Toronto police.
It is not clear if police can decrypt information kept on the servers.
“The company sold modified telephones for about 1,500 euros each and used its own servers for the encrypted data traffic. The phones had been modified so that they could not be used to make calls or use the Internet.”
The phones had turned up repeatedly in investigations into drug cases, criminal motorcycle gangs, and gangland killings, prosecutors said.