<p><span style="font-weight: 400;">The co-founder of Centra Tech, which in 2017 ran an ICO promoted by boxer Floyd Mayweather Jr. and music producer DJ Khaled, pled guilty today to his involvement in a multi-million dollar ICO fraud scheme.</span></p> <p><span style="font-weight: 400;">According to a </span><a href="https://www.justice.gov/usao-sdny/pr/co-founder-cryptocurrency-company-pleads-guilty-role-ico-fraud-scheme"><span style="font-weight: 400;">news release</span></a><span style="font-weight: 400;"> from the U.S. Department of Justice, Robert Farkas pled guilty to conspiring to commit securities and wire fraud related to a digital investment scheme that duped victims to the tune of $25 million. </span></p> <p><span style="font-weight: 400;">Mayweather and Khaled at one point served as public faces of the scheme, calling for their fans to participate in the unregistered sale. In 2018, the duo </span><a href="https://www.sec.gov/news/press-release/2018-268"><span style="font-weight: 400;">settled charges</span></a><span style="font-weight: 400;"> from the Securities and Exchange Commission that they failed to disclose payments they received for their promotion of the ICO. </span></p> <p><span style="font-weight: 400;">Mayweather and Khaled were also sued by investors who accused them of violating securities law, but </span><a href="https://www.coindesk.com/floyd-mayweather-dj-khaled-escape-lawsuit-brought-by-ico-investors"><span style="font-weight: 400;">a federal judge dismissed them from the suit</span></a><span style="font-weight: 400;"> in May 2019. </span></p> <p><span style="font-weight: 400;">As for Farkas, he face sentencing on a date to be determined, according to the DOJ. He could face up to ten years in prison.</span></p>