According to CryptoPotato, Michel Aurelien, a French national who founded the Mutant Ape variation inspired by the Bored Ape Yacht Club (BAYC) collections, has pleaded guilty to a charge of conspiracy to commit wire fraud. The Mutant Ape collection, which was not endorsed or approved by YugaLabs, gained popularity in a few months but was removed from OpenSea after the founder announced the community had become too toxic. However, it was later revealed that the founder and his team had planned a rugpull from the start, never intending to fulfill promises of future investment opportunities, merchandise, and other perks.
In January, Aurelien was arrested by Homeland Security Investigation agents at JFK Airport and accused of defrauding investors. He now faces up to five years in prison for conspiring to commit wire fraud worth approximately $3 million. U.S. Attorney Breon Peace emphasized the commitment to protecting investors from bad actors in the crypto sphere and other areas. Aurelien's sentencing will take place at a later date, and he has agreed to pay $1.4 million to victims of the rugpull in asset forfeiture. The fate of the remaining $1.6 million is unknown.