YEREVAN (CoinChapter.com) — Gabriel Hay and Gavin Mayo, both 23, allegedly orchestrated a fraudulent scheme involving NFT projects, defrauding investors of over $22 million. The Department of Justice (DOJ) announced their arrests in Los Angeles, where they were charged with conspiracy to commit wire fraud, multiple counts of wire fraud, and stalking.
Indictment Gabriel Hay Gavin Mayo. Source. US Court
The DOJ accused the duo of promoting NFT and digital asset ventures while spreading misleading information. Prosecutors alleged that Hay and Mayo provided false project roadmaps and exaggerated promises about the ventures to attract investors.
Vault of Gems Project Raises Concerns
One project tied to Hay and Mayo, Vault of Gems, claimed to be the first NFT project “pegged to a hard asset.” According to authorities, the two abandoned the project after raising millions.
The DOJ alleged that investors were lured by promises of unique value, only to discover the duo had no plans to deliver on the roadmap. Deputy Attorney General Nicole Argentieri said,
DOJ Statements on Gabriel Hay Gavin Mayo. Source: US Court
Allegations of Harassment and False Ownership Claims
Prosecutors stated that Hay and Mayo used harassment and intimidation to silence individuals who exposed their involvement in the fraud. When a project manager linked them to the Faceless NFT project, the duo allegedly harassed the individual and their family.
To mislead others, the two reportedly listed fake project owners and concealed their true identities. This tactic was used across several projects, including Sinful Souls, Clout Coin, Dirty Dogs, MoonPortal, Squiggles, Uncovered, and Roost Coin.
Threats and Targeted Harassment of a Whistleblower
According to the indictment, the duo used aggressive tactics to intimidate the whistleblower and his family. These tactics included sending threatening emails and messages posing as lawyers and investors. They demanded the whistleblower retract his claims.
One email reportedly included a threat to falsely accuse the whistleblower’s parents of inappropriate sexual conduct if he did not comply. The indictment also details an Instagram message sent in September 2023, almost two years after the exposure, stating,
“Don’t think we forgot about you… Get ready to get destroyed.”
The DOJ claims these actions were intended to suppress further revelations and protect their fraudulent operations.
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