Suspect: Indiegogo User Never Delivers His Product But Is Spotted In A New Ferrari
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Suspect: Indiegogo User Never Delivers His Product But Is Spotted In A New Ferrari
While crowdfunding sites like IndieGoGo and Kickstarter can be great ways for entrepreneurs to fund their businesses, there’s a sort of inherent honor system that has to be respected.
Sort of like Craigslist, but without the killers (hopefully).
For some, these sites can be an enormous help, even in weird situations. Remember the potato salad guy?
But, it seems like the days of trustworthy usage of the sites may be over, thanks to Kreyos.
Here’s the story. Back in July 2013, Kreyos, a company founded by Steven Tan, launched an IndieGoGo campaign to raise enough funds to create a “smart watch.”
The initial goal of $100,000 was surpassed, and the campaign ended up raising a whopping $1.5 million.
Customers who helped fund the watch’s creation were supposed to get their gadgets in November of that year.
Instead, they didn’t receive them until July of this year, and the watches they did receive were not what they were initially promised.
Here’s where the scandal comes in. The founder of Kreyos recently posted a host of pictures to his Facebook page, showing him posing with his new Ferrari in one, and surrounded by a pile of designer shopping bags in another.
It appears he took the profits from the campaign, built a bunch of crap watches and kept the rest of the money for himself.
Though Tan claims the incriminating photos are from 2010, it remains unclear where, exactly, the funds went, if not to constructing the watches Kreyos promised their customers.
What is clear is this: The policies of these crowdfunding sites must be changed to protect users from scams.
H/T: Yahoo! News, Photo Courtesy: Facebook/Yahoo
Read more: http://elitedaily.com/news/world/indiegogo-never-delivers-product-founder-spotted-driving-new-ferrari/756772/
