Beverly Hills man faces 6 counts of crypto scams involving over $22 million
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A Beverly Hills man is facing six counts of cryptocurrency crimes, which resulted in investors losing over $22 million worth of cryptocurrency. The 23-year-old Gabriel Hay allegedly connived with another fellow – Gavin Mayo of Thousand Oaks, also 23 years of age, to perpetrate a scheme that defrauded investors of their monies. This represents one of the many cases where cryptocurrency and other digital assets are used to perpetrate crime. The duo committed several digital asset crimes According to the Beverly Press, the duo faces one count of conspiracy to commit wire fraud, two counts of wire fraud, and one count of stalking. Following investigations, authorities in Beverly Hills revealed that the duo tricked investors by using a series of digital asset project “rug pulls.” “Rugpulls” is reportedly a fraud scheme in which the perpetrators create a non-fungible token (NFT) or other digital assets and ask investors to invest in it before abruptly abandoning the project. US Attorney Martin Estrada said this trend was inevitable, but also vowed his office and other law enforcers would intensify efforts to protect the unsuspecting consumers as well as punish the perpetrators of crypto fraud. “Whenever a new investment trend occurs, scammers are sure to follow.” Estrada. These criminal activities also surface spurred by new technologies that enable digital asset criminals to flourish in defrauding unsuspecting consumers. According to principal deputy attorney general Nicole M. Argentieri, head of the Justice Department’s Criminal Division, Hay and Mayo fleeced investors in digital asset projects “of tens of millions of dollars.” The duo also allegedly threatened one individual for attempting to expose them to their fraudulent schemes. “Fraudsters take advantage of new technologies and financial products to steal investors’ hard-earned money. The department is committed to protecting investors and will continue to work with our law enforcement…
Filed under: News - @ December 26, 2024 3:27 pm