New Lawsuit Claims Fyre Festival Was Nothing But a Massive Ponzi Scheme

Another lawsuit has been filed against the organizers of the disastrous Fyre Festival. This time, the organizers are being accused of running a ‘massive Ponzi scheme.’

via Page Six:

New paperwork in a class action lawsuit filed by LA lawyer Mark Geragos describes the festival as “a get rich quick scheme” and indicates that he is investigating “Seed Series” investors to find out if they were also defrauded or were in on the ruse.

Page Six can reveal that “John Doe No. 2,” described in the paperwork as a “venture capitalist firm run by a Time 100 Most Influential” person is Corazon Capital and Sam Yagan, a co-founder of OkCupid and vice chairman of Match.

Doe No. 4, a “social media personality,” is Samuel Krost, who is best known for dating Selena Gomez. The suit explains that “Seed Series” investors normally have active “roles, involvement and control over the new company,” saying they are under investigation and will be named as defendants in the $100 million action if they are found to have been “aiding and abetting.”

A rep for Yagan tells us his firm only invested in the Fyre app. “We had no involvement in operating the business or the conception or execution of the Fyre Festival.” And they “unequivocally disavow the handling of the situation in the strongest possible terms.”

Krost couldn’t be reached.

Well…it did look like they didn’t even TRY to plan a real festival. Didn’t it?
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