Law enforcement agencies arrested the creator of the NFT Mutant Ape Planet project, Aurelien Michel, on charges of fraud with collectible tokens worth $2.9 million.
As indicated on the website of the US Department of Justice, a French citizen Aurelien Michel (Aurelien Michel), living in the United Arab Emirates, was arrested at JFK Airport in New York. The DOJ alleges that when selling non-fungible Mutant Ape Planet tokens, Michel made false claims about multiple rewards, giveaways, and staking tokens, as well as the exclusive benefits available to holders of these NFTs.
Michel managed to raise funds worth about $3 million. The prosecutor's office claims that after the sale of cryptoassets, the founder of the project never fulfilled his obligations to investors. Moreover, he stole their assets through a liquidity withdrawal scheme (rug pull). Later, Michel wrote on social networks that he had never intended to organize a fraudulent scheme, but the project's community "became too toxic."
"Michelle will no longer be able to blame the NFT community for her criminal behavior. His arrest means that he will be held accountable for fraudulent activities," said Thomas Fattorusso, acting special agent of the Internal Revenue Service (IRS).
Recall that last year, US law enforcement officers detained two people suspected ofThey were involved in the creation of a fraudulent NFT project Frosties, which managed to attract $1.1 million from investors. According to PrivacyHQ analysts, 90% of collectible token holders have experienced fraud.
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The developer of the Mutant Ape Planet NFT collection-a fake Mutant Ape Yacht Club-pleaded guilty to defrauding buyers through the implementation of the rug pull scheme, which brought in $3 million.
In January, the US authorities charged a 24-year-old French citizen, Aurelien Michel, with fraud. According to the prosecutor for the Eastern District of New York, he faces up to five years in prison, and he agreed to pay $1.4 in damages.
"Aurelien Michel seduced investors with promises to benefit from the NFT trend, but abandoned the project after accumulating almost $3 million in the so-called rug pull. Accused of misleading the NFT community of mutant apes, he protested his innocence and even called the victims 'too toxic'," said HSI special Agent Ivan Arvelo.
According to documents submitted to the court, Michel and his accomplices sold collectible tokens to buyers, falsely promising numerous rewards and benefits that would increase the value of assets. But the defendant deliberately failed to fulfill his promise, sending millions of dollars for personal consumption.
According to OpenSea, 7880 collection tokens continue to be traded. However, the average price of Mutant Ape Planet has collapsed from a high of 3.25 ETH in January to 0.06 ETH as of November 13.
As indicated on the website of the US Department of Justice, a French citizen Aurelien Michel (Aurelien Michel), living in the United Arab Emirates, was arrested at JFK Airport in New York. The DOJ alleges that when selling non-fungible Mutant Ape Planet tokens, Michel made false claims about multiple rewards, giveaways, and staking tokens, as well as the exclusive benefits available to holders of these NFTs.
Michel managed to raise funds worth about $3 million. The prosecutor's office claims that after the sale of cryptoassets, the founder of the project never fulfilled his obligations to investors. Moreover, he stole their assets through a liquidity withdrawal scheme (rug pull). Later, Michel wrote on social networks that he had never intended to organize a fraudulent scheme, but the project's community "became too toxic."
"Michelle will no longer be able to blame the NFT community for her criminal behavior. His arrest means that he will be held accountable for fraudulent activities," said Thomas Fattorusso, acting special agent of the Internal Revenue Service (IRS).
Recall that last year, US law enforcement officers detained two people suspected ofThey were involved in the creation of a fraudulent NFT project Frosties, which managed to attract $1.1 million from investors. According to PrivacyHQ analysts, 90% of collectible token holders have experienced fraud.
---
The developer of the Mutant Ape Planet NFT collection-a fake Mutant Ape Yacht Club-pleaded guilty to defrauding buyers through the implementation of the rug pull scheme, which brought in $3 million.
In January, the US authorities charged a 24-year-old French citizen, Aurelien Michel, with fraud. According to the prosecutor for the Eastern District of New York, he faces up to five years in prison, and he agreed to pay $1.4 in damages.
"Aurelien Michel seduced investors with promises to benefit from the NFT trend, but abandoned the project after accumulating almost $3 million in the so-called rug pull. Accused of misleading the NFT community of mutant apes, he protested his innocence and even called the victims 'too toxic'," said HSI special Agent Ivan Arvelo.
According to documents submitted to the court, Michel and his accomplices sold collectible tokens to buyers, falsely promising numerous rewards and benefits that would increase the value of assets. But the defendant deliberately failed to fulfill his promise, sending millions of dollars for personal consumption.
According to OpenSea, 7880 collection tokens continue to be traded. However, the average price of Mutant Ape Planet has collapsed from a high of 3.25 ETH in January to 0.06 ETH as of November 13.
