News Worms
News Worms

Founder Of Disastrous Bahamas Festival Admits Swindling Investors, Arrested

Founder Of Disastrous Bahamas Festival Admits Swindling Investors, Arrested

Ja Rule's Fyre Festival co-founder Billy McFarland has pleaded guilty to charges of fraud over the disastrous luxury event in the Bahamas previous year. Their luxury accommodations and gourmet food consisted of leaky white tents and cheese sandwiches.

TMZ reports "Nicholas Biase, spokesman for the US Attorney Southern District of NY, tells us each count carries a max sentence of 20 years".

McFarland was arrested on June 30 on charges he defrauded investors who bought a $1.2 million [$AU1.5 million] stake in Fyre Media. He went on to explain that in an attempt to raise the funds needed, he lied to investors about various aspects of Fyre Media and his personal finances.

All jokes aside, festivalgoers were stranded on the island with little to no food during the middle of a storm, now someone has to pay for it. Billy McFarland, one of the organizers responsible for Fyre Festival has pleaded guilty to wire fraud.

A lawsuit filed in Los Angeles called the festival "nothing more than a get-rich-quick scam".

In addition to the wire fraud, providing false financial information to at least two investors, and generally mishandling the entire event, McFarland also allegedly "misrepresented the company's revenue to be in the millions when it actually earned less than $60,000", according to outcome of Sound.

McFarland admitted to defrauding 80 investors and a ticket broker out of more than $26 million.

A statement released by Joon Kim, the acting United States attorney for the Southern District of NY at the time of McFarland's arrest, said McFarland told investors that Fyre Media earned millions of dollars from thousands of artist bookings in 2016 and 2017, but in reality the company had brought in less than $60,000 from about 60 artist bookings.

A "lack of adequate food, water, shelter, and medical care created a risky and panicked situation among attendees - suddenly finding themselves stranded on a remote island without basic provisions ― that was closer to "The Hunger Games" or "Lord of the Flies" than Coachella", a concertgoer's class-action lawsuit alleged.

The Daily News said prosecutors and McFarland's lawyers agreed to a sentence of 97 to 120 months under his plea deal.

McFarland is free on bail and living with his parents in New Jersey.


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