SEC charges Abraham Shafi, founder of IRL, with fraud over allegedly misleading investors and using raised funds for personal expenses.

Securities and Exchange Commission (SEC) charges Abraham Shafi, founder of social media app IRL, with fraud for allegedly misleading investors about platform's growth and using $170M raised to fund personal expenses. IRL, which claimed 12M users, had a 95% bot user base, leading to its shutdown. Shafi is accused of underreporting marketing costs and using third-party intermediaries to pay for ads. If successful, Shafi could face a fine and be banned from investment raising.

August 01, 2024
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