IRL Founder Charged with $170 Million Fraud

SEC accuses Abraham Shafi of misleading investors and misusing company funds for personal expenses.

IRL founder Abraham Shafi allegedly misled investors about the company's user growth and business practices.
The SEC claims Shafi and his fiancée used company credit cards for personal expenses, including a wedding and luxury travel.
IRL, once valued at $1.17 billion, shut down in 2023 after revelations that most of its users were bots.
Shafi is accused of hiding millions in advertising costs to falsely portray organic growth.
The SEC seeks to ban Shafi from holding directorship positions and impose financial penalties.