Post #1831367

[Ex-CEO, ex-CFO of bankrupt AI company iLearningEngines charged with fraud](https://www.reuters.com/legal/government/ex-ceo-ex-cfo-bankrupt-ai-company-charged-with-fraud-2026-04-17/) - Reuters, 17 April 2026 > Prosecutors said iLearning marketed itself as an artificial intelligence-driven digital education ​company with an "out-of-the-box AI platform," and claimed to earn revenue mainly by selling ​licenses for its educational and training platforms to customers, including healthcare companies and schools. > > According to the ‌indictment, ⁠the defendants used forged sham contracts to make it seem that iLearning's customers were real, and used "round trip" transfers of investor and lender funds -- meaning they sent money to purported customers, who then returned it to iLearning -- to manufacture revenue. > > **At least ​90% of iLearning's $421 million ​of reported revenue ⁠in 2023 was fabricated**, the indictment said. I think they called this wash trading in cryptoland.