The Rise of Serial Crowdfunding Scammers

Perhaps someone should start a Black Book of serial crowdfunders who raise large sums of money and continually fail to deliver on their promises of finished products.

One complaint comes from HeatStreet where it alleges that so-called “social justice warriors” (who it names) “belittle” video gamers and argue with manufacturers, but worse, get projects funded then fail to deliver the promised rewards.

If you can get past the article’s personal attacks, the real problem is that some folks have figured out how to game the system, take (steal?) money from well meaning donors and move to the next web portal to do it again.

About JeffKoeppel

I am a corporate/securities attorney in the Washington, DC area. Prior to joining the firm, I was a Senior Attorney Advisor in the Division of Corporation Finance at the U.S. Securities and Exchange Commission. I am a member of the Bars of the States of Maryland, New York and the District of Columbia. You can also follow this blog on LinkedIn at:
This entry was posted in accredited investor, Broker dealers, Charity, Consumer Financial Protection Bureau, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, discrepancies, Investments, Jobs, Legislative Intent, SEC, Small Business, unfair and deceptive practice, VC, Venture Capital, Wall Street and tagged , , , , , , , , , , , , , , , , , , , , , , , , , , . Bookmark the permalink.

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