KeyTakeaways:
- Beverly Hills men allegedly scammed $22M through fraudulent NFT and crypto projects.
- Victims faced harassment, leading to stalking charges against the duo.
- Authorities uncover pattern of deceit in digital asset fraud schemes.
A 23-year-old man from Beverly Hills, Gabriel Hay, along with his accomplice, Gavin Mayo, is facing multiple charges after allegedly scamming investors out of more than $22 million in cryptocurrency.
According to the Beverly Press, the duo, who worked together on several fraudulent digital asset projects, are accused of executing a series of “rug pull” schemes that targeted unsuspecting investors. The charges include conspiracy to commit wire fraud, wire fraud, and stalking, with the potential for long prison sentences.
Between May 2021 and May 2024, Hay and Mayo are believed to have promoted several digital currencies and non-fungible token (NFT) projects, making false claims about their viability and potential returns.
The pair created digital assets like Vault of Gems, Sinful Souls, and Clout Coin, among others, promising investors high rewards. However, once they received the funds, they abandoned the projects and ceased any further development.
According to authorities, Hay and Mayo provided misleading roadmaps and falsely marketed NFTs as investment opportunities, including one claim that the Vault of Gems NFT was the “first NFT project pegged to a hard asset.” However, these claims were never realized, and the projects were left unfinished.
Intimidation and Harassment of Victims
As if defrauding millions of dollars wasn’t enough, the two men allegedly resorted to threats to silence those who sought to expose their criminal activities.
One victim, a project manager for the Faceless NFT project, was reportedly harassed by Hay and Mayo, who sent intimidating messages to him and his family after he revealed their involvement in the scam. This intimidation led to a stalking charge against the duo.
Despite these threats, the authorities uncovered their operation, revealing a pattern of deceit and manipulation throughout their digital asset schemes.
Homeland Security Investigations’ Special Agent in Charge, Michael McCarthy, noted that while the activities did not involve physical violence, the financial harm caused to the victims was significant, with many losing substantial sums.
