TechFlow news, on December 21, the U.S. Department of Justice announced charges against two men from Beverly Hills and Ventura County for allegedly executing a series of "rug pull" scams across multiple NFT projects, defrauding investors of more than $22 million. Gabriel Hay, 23, and Gavin Mayo are charged with conspiracy to commit wire fraud, wire fraud, and stalking.
According to authorities, the two launched several NFT and digital asset projects—including Vault of Gems, Faceless, and Sinful Souls—between May 2021 and May 2024, deceiving investors through false advertising and misleading roadmaps. After a project manager exposed their identities, they reportedly harassed and threatened him and his family.
If convicted, each defendant faces up to 20 years in prison for each count of wire fraud and conspiracy, and up to five years for stalking. The case is currently under investigation by the Homeland Security Investigations (HSI) Baltimore Field Office.
