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Two American men accused of defrauding over 22 million US dollars are being sued for carrying out 'rug pull' scams through multiple Non-fungible Token projects.
In a TechFlow message, on December 21, the US Department of Justice announced that two men from Beverly Hills and Ventura County were sued for allegedly conducting "rug pull" fraud through multiple Non-fungible Token projects, involving an amount exceeding 22 million US dollars. 23-year-old Gabriel Hay and Gavin Mayo were charged with conspiring to commit telecommunications fraud, telecommunications fraud, and stalking harassment, among other charges.
It is reported that the two individuals launched multiple non-fungible token and digital asset projects including Vault of Gems, Faceless, Sinful Souls, etc. from May 2021 to May 2024, deceiving investors through false propaganda and misleading roadmaps. After a project manager exposed their identities, the two individuals harassed and threatened the project manager and their family members.
If convicted, each defendant could face a maximum sentence of 20 years in prison for each count of telecommunication fraud and conspiracy, and a maximum of 5 years in prison for stalking. The case is currently being investigated by the Baltimore Field Office of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI).