He collected 800,000 dollars. to create a backpack with a charger and WiFi router. Money squandered, now threatens customers

Douglas Monahan has broken the hopes of thousands of Indiegogo and Kickstarter users. The author of the iBackpack campaign three times launched projects on crowdfunding platforms and lied to clients three times. Now the lawsuit against him has been filed by the Federal Trade Commission of the United States.

Imagine that you are entering Kickstarter and you see an intelligent backpack. The creators ensure that thanks to iBackpack your gadgets will never be discharged, because the backpack is equipped with a battery that has the power of a car battery. In less than 4 hours, it will charge 12 iPhones or 6 iPads. What's more, the backpack acts as a Wi-Fi hotspot, so - in the forest or metro - you'll always be in touch with the world. In addition, in the set you will receive a Bluetooth speaker and headphones with a microphone.

The iBackpack itself is made of a bulletproof material and is equipped with an alarm system in case of theft. Check the battery level and monitor the location of the backpack can through the application on your smartphone. The invention is available in advance on the crowdfunding platform for only $ 249. Zapłaciłbyś? No? That's good.

The Federal Trade Commission of the United States (FTC) filed a lawsuit against the author of the iBackpack intelligent backpack idea, Douglas Monahan. The regulator believes that the founder of the startup collected about 800,000. dollars. on Indiegogo and Kickstarter and spent it on their needs, including the purchase of bitcoins - informs The Verge.

He collected 700,000 dollars. on Indiegogo and never sent the product. After six months, he started the iBackpack 2.0 project at Kickstarter and again collected almost 100,000. dollars.

The first iBackpack campaign appeared on Indiegogo in October in 2015. The creators managed to collect 720 thousand. dollars. - in the end, a backpack with laptop and smartphone chargers, a Wi-Fi router and a Bluetooth speaker sounds really fascinating.

In March 2016, iBackpack 2.0 appeared on Kickstarter , which also delighted the users of the platform. By providing the delivery date for September 2016, Monaghan began collecting money and received 76 thousand. dollars.

However, the originator did not stop there and created two additional campaigns on Indiegogo, offering users a MOJO bag and the USB POW cable system, earning on payments of 11,000. dollars.

He lied to users of crowdfunding platforms three times, but what surprises me the most - every time people paid money without checking the credibility of the author of the project.

Douglas Monahan received nearly 800,000 dollars. and released them on ...

According to the suit, the accused did not allocate funds from Indiegogo or Kickstarter to produce or deliver a backpack. Instead, he spent it on "various personal needs", including the purchase of bitcoins, withdrawals from ATMs and repayment of a credit card.

When investors from crowdfunding platforms complained, Monahan threatened to tell them that he knew where they lived.

The lawsuit claims that Monahan threatened platform users who complained about the lack of backpacks. He even told the client allegedly that he knew where he lived. Another said he would file a lawsuit for defamation and slander.

In most cases, investors' emails were simply ignored, Monahan himself closed the company, the iBackpack website, all company accounts, deleted the Facebook page and ceased any communication.

FTC asks for a return of funds to investors and a "permanent ban" of Monahan's use of crowdfunding platforms.

This is the second time when the FTC sues the author of the crowdfunding campaign.

In 2015, the accused was Erik Chevalier, who collected over 122 thousand. dollars. for a board game, and later sold investors' data to outside companies.

Spider's Web blogger Łukasz Kotkowski previously shared the story of how he himself became a victim of dishonest authors of the Kickstarter campaign. Karol Kopańko, in turn, prepared a subjective list of 10 projects whose originators deceived clients .

Can such platforms as Kickstarter and Indiegogo do something to prevent similar cases in the future?

According to data released in 2015 by Kickstarter, 9 percent. campaigns on the platform that have achieved their funding goal never deliver the promised product. Interestingly, in the case of campaigns that do not fulfill promises related to the delivery of products, only about 13 percent. investors receive a refund.

In other words, every 10 Kickstarter campaign will never meet the expectations of its customers. On the one hand, this is the principle of crowdfunding - putting money there is always associated with risk for supporting entities. However, on the other hand, platforms must somehow protect users and try to do this ...

Indiegogo has launched the guaranteed delivery option. By choosing which project to invest in, the user can check whether the campaign has a guaranteed delivery stamp or not. The principle of this option is to stop the payments made by users by Indiegogo, until the creators deliver their products. In this way, investors have a guarantee of product delivery or a refund. It sounds good, but it means that a startup must already have all the necessary amount to produce goods.

In turn, Kickstarter claims that it works with project creators before the start of the campaign to verify the identity of the authors. Jon Leland, senior director of strategy at Kickstarter, recently told The Verge that the platform plans to introduce "a series of tools related to the transparency of the campaign", which are "quite radical".

The passion for inventions that are only at the development stage has its price. So, supporting products on crowdfunding platforms is more like a lottery. In turn, the gambling law says - put as much money as you are willing to lose.



He collected 800,000 dollars. to create a backpack with a charger and WiFi router. Money squandered, now threatens customers

Comments

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  2. Interesting , its very useful your smartphone has become one of the most important tools in our day to day.crowdfunding

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