Tag Archives: promise

D.C. Files Lawsuit Vs. Crowdfunder

The Washington, District of Columbia Attorney General is suing Sivil, Inc. and its sole stockholder, a crowdfunder who raised over $280,000 from 3,625 donors on Kickstarter in 2015 promising to create and deliver high performance athletic shirts. No delivery or … Continue reading

Posted in accredited investor, balance, checkbook, Congress, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, discrepancies, fraud, Investments, Jobs, Legislative Intent, review, SEC, Small Business, technology | Tagged , , , , , , , , , , , , , , , , , , , | Leave a comment

Crowdfunding Platform Helps Entrepreneurs Succeed

What does the Lily camera drone, Coolest Cooler and the Zano drone have in common? They are all crowdfunders that failed to deliver after raising an aggregate of over $47 million on Indiegogo, leaving thousands of backers without their money … Continue reading

Posted in accredited investor, Congress, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, Investments, Jobs, Legislative Intent, SEC, Small Business, technology, VC, Venture Capital, Wall Street | Tagged , , , , , , , , , , , , , , , , , , , , , | Leave a comment

Spectacular Crowdfunding Failures

What do mini-drones, gills for people, coolers with speakers, shoes with magnets and a home 3D printer have in common? All were notorious crowdfunding failures. Reasons for the failures included embezzlement, disappearance (with all the money it raised), delivery delays/failures,technological … Continue reading

Posted in accredited investor, Broker dealers, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, discrepancies, drone, fraud, Funding Portals, Investments, Jobs, Legislative Intent, review, Uncategorized, unfair and deceptive practice, VC, Venture Capital, Wall Street | Tagged , , , , , , , , , , , , , , , , , , , , , | Leave a comment

PayPal No Longer Providing Crowdfunding Protection

TechCrunch reports that PayPal is changing its policy and will no longer provide Purchase Protection for crowdfunding donations. The online publication thinks that it may be because there’s a new type of donor who has been asking for her money … Continue reading

Posted in accredited investor, Broker dealers, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, Film, fraud, Funding Portals, Investments, Jobs, Legislative Intent, SEC, Small Business, technology, VC, Venture Capital, Wall Street | Tagged , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

When Is Crowdfunding Failure Fraud?

Is there a thin line between failure and fraud? Some crowdfunding donors are starting to get angry that crowdfunders are taking their cash and not delivering on their promises. However, Professor Ethan Mollick of the Wharton School found that: 9% … Continue reading

Posted in accredited investor, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, Film, fine, fraud, Funding Portals, Investments, Jobs, Legislative Intent, SEC, Small Business, technology, unfair and deceptive practice, VC, Venture Capital, Wall Street | Tagged , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

Federal Trade Commission Sues Kickstarter Crowdfunder For Fraud

The Federal Trade Commission has taken its first action against a crowdfunder whose Kickstarter campaign raised $122,000 (4X the target) from 1,246 backers. O The FTC lawsuit says that Erik Chevalier failed to deliver on his promises of creating, publishing … Continue reading

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Washington State Sues Crowdfunder

Washington State’s Attorney General filed a lawsuit against a crowdfunder who raised over $25,000 from 810 backers on Kickstarter and failed to deliver the promised product for more than 16 months. The AG calls this “crowdfunding theft.” In other words, … Continue reading

Posted in Congress, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, Film, FINRA, Funding Portals, Investments, Jobs, Legislative Intent, SEC, Small Business | Tagged , , , , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment