Scandal Ex-Melbourne player Joel MacDonald accused of misleading shareholders

[Handsome.B.Wonderful]

Have seen a lot of positive publicity coming out about GetSwift from AFL media sources and the AFLPA channels.

Interesting to read that they may have been misleading shareholders with inflated announcements about deals and not updating the market about losing contracts, a big no-no for a listed company.

Looking at the figures it seems amazing that a company generating only $30k revenue per month (a lot of which is attributed to interest from their capital raising) could have a market cap of half a billion dollars.

http://www.afr.com/business/banking...ift-too-fast-for-its-own-good-20180116-h0ji3t

http://www.afr.com/technology/getswift-shorts-will-keep-at-it-20180122-h0m2ic?btis


Is this a pump & dump / ponzi?

What consequences do blokes like this face if they are caught withholding information as the article suggests?

 

[owen87]

As it says in the article; the share price is set by investors, not the company.

I’m intrigued to see where this goes however, as the lack of transparency is certainly not a good sign.

 

[perplexed]

Have seen a lot of positive publicity coming out about GetSwift from AFL media sources and the AFLPA channels.

Interesting to read that they may have been misleading shareholders with inflated announcements about deals and not updating the market about losing contracts, a big no-no for a listed company.

Looking at the figures it seems amazing that a company generating only $30k revenue per month (a lot of which is attributed to interest from their capital raising) could have a market cap of half a billion dollars.

http://www.afr.com/business/banking...ift-too-fast-for-its-own-good-20180116-h0ji3t

http://www.afr.com/technology/getswift-shorts-will-keep-at-it-20180122-h0m2ic?btis


Is this a pump & dump / ponzi?

What consequences do blokes like this face if they are caught withholding information as the article suggests?

It's a pump and dump. Though I suspect those clowns are too dumb to remember to do the dump bit.
A Ponzi scheme is too much hard work for blokes of this calibre.

 

[sonnywalters]

Funny this has come up.
I did read the articles in the business media and thought it sounded too good to be true.
Usually this is only a slap on the wrist penalty unfortunately.
ASIC and the ASX are as weak as piss.
Lying to shareholders is basically the norm.

 

[sonnywalters]

As it says in the article; the share price is set by investors, not the company.

I’m intrigued to see where this goes however, as the lack of transparency is certainly not a good sign.

Companies are supposed to provide continuous disclosure and not to mislead.
Interesting to see where it goes but won't be surprised if he gets away with it.
Shareholders will be screwed.

 

[Sir Hugh Percy]

Can the tread be renamed "Ex-Brisbane player Joel MacDonald...." Thank you.

 

[IKnowtheDog]

tomorrow will be interesting

http://www.theage.com.au/business/t...-ex-afl-player-s-fortune-20180124-p4yyu0.html

 

[Snake_Baker]

Blokes have ended up in the clink for less.

 

[Anja_Nees]

Will be accused of tanking the share price only to be suspended as a director for six months despite no finding of guilt.

 

[sonnywalters]

Not looking great

http://www.afr.com/technology/getswift-shorts-will-keep-at-it-20180122-h0m2ic

 

[sonnywalters]

Will be accused of tanking the share price only to be suspended as a director for six months despite no finding of guilt.

I think the issue is he has exaggerated or misreprented the good news and buried the bad news.

 

[Saint]

People with a good idea but without a great deal of business experience get rich quick on probably some bad advice (about the float) and then are found not to be the best business men in the world by shareholders who should have known better.

Not the first time, won't be the last.

 

[Kabana]

Have seen a lot of positive publicity coming out about GetSwift from AFL media sources and the AFLPA channels.

Interesting to read that they may have been misleading shareholders with inflated announcements about deals and not updating the market about losing contracts, a big no-no for a listed company.

Looking at the figures it seems amazing that a company generating only $30k revenue per month (a lot of which is attributed to interest from their capital raising) could have a market cap of half a billion dollars.

http://www.afr.com/business/banking...ift-too-fast-for-its-own-good-20180116-h0ji3t

http://www.afr.com/technology/getswift-shorts-will-keep-at-it-20180122-h0m2ic?btis


Is this a pump & dump / ponzi?

What consequences do blokes like this face if they are caught withholding information as the article suggests?

It's not a ponzi - thats where you pay out existing investers with the money deposited by new investors (see Bernie Madoff). Typically they'll mislead the market to keep new investors joining, and as long as the new investments come in so that they can maintain the routine dividends etc no one is the wiser.

This looks like a case of misleading the market - they've been telling investors that they've locked in deals with major corporate clients which were really just trials or pilots that didn't go anywhere.

EDIT: By the way touting those deals inflated the share price by misleading investors around the health/future revenue expected by the company. Would be interesting if those deals made their way into the prospectus, which I can't be bothered researching

 

[Kabana]

It's not a ponzi - thats where you pay out existing investers with the money deposited by new investors (see Bernie Madoff). Typically they'll mislead the market to keep new investors joining, and as long as the new investments come in so that they can maintain the routine dividends etc no one is the wiser.

This looks like a case of misleading the market - they've been telling investors that they've locked in deals with major corporate clients which were really just trials or pilots that didn't go anywhere.

EDIT: By the way touting those deals inflated the share price by misleading investors around the health/future revenue expected by the company. Woulde interesting if those deals made their way into the prospectus, which I can't be bothered researching

By the way, as someone that works in technology and product management in a Big 4 bank, and is considered 'old school' so to speak - be very wary of investing in start ups run by these 't shirt and suit jacket' types.

Startups are the new fad, run by the hucksters that dress up their 'companies' with flashy websites and all the right buzz words, with photos of them working in pleasingly hipster environments. Investing in them is pure speculation, driven by the hope that some little p1ssant app will become the new facebook.

I'm surprised by how much money gets thrown at these micro companies with products that bring in little to no revenue, no credible plans to monitise their offering, but it's a killer app man!!

 

[sosos]

Quoting yourself is normally frowned upon. But the good advice is good so carry on old school boy.

 

[Kabana]

Quoting yourself is normally frowned upon. But the good advice is good so carry on old school boy.

Yeah sorry bro, just had another thought to add. I wont make a habit of it

 

[DapperDon]

Blokes have ended up in the clink for less.

White collars usually have better lawyers

 

[demondavey]

He is definitely guilty of misleading people as a footballer

 

[demondavey]

By the way, as someone that works in technology and product management in a Big 4 bank, and is considered 'old school' so to speak - be very wary of investing in start ups run by these 't shirt and suit jacket' types.

Startups are the new fad, run by the hucksters that dress up their 'companies' with flashy websites and all the right buzz words, with photos of them working in pleasingly hipster environments. Investing in them is pure speculation, driven by the hope that some little p1ssant app will become the new facebook.

I'm surprised by how much money gets thrown at these micro companies with products that bring in little to no revenue, no credible plans to monitise their offering, but it's a killer app man!!

I hate that look. I just generalise. If you wear a t shirt and suit jacket you’re either Mediterranean or a criminal. Wait, aren’t they that same?









Joke if anyone is ‘offended’

 

[Altum Volantes]

 

[Marcus DuQuesne]

By the way, as someone that works in technology and product management in a Big 4 bank, and is considered 'old school' so to speak - be very wary of investing in start ups run by these 't shirt and suit jacket' types.

Startups are the new fad, run by the hucksters that dress up their 'companies' with flashy websites and all the right buzz words, with photos of them working in pleasingly hipster environments. Investing in them is pure speculation, driven by the hope that some little p1ssant app will become the new facebook.

I'm surprised by how much money gets thrown at these micro companies with products that bring in little to no revenue, no credible plans to monitise their offering, but it's a killer app man!!

So you work for the Big 4 ...the too big to fail brigade. More scams and rip offs taken place in the big 4 over the last 35 years than anywhere else but they get away with it. I was also a banker( Treasury) in the late 80's early 90's ...not an IT nerd like your goodself. The call cry of my boss was we rip their *ing lips off today and we will do it again tomorrow...ok boys let's do lunch. IT guys will be the first to go in a crunch for the banks as they were in 1991. So start looking for a new job and enjoy your perks ( do IT guys get them) whilst you can.

 

[SwampCreature]

So you work for the Big 4 ...the too big to fail brigade. More scams and rip offs taken place in the big 4 over the last 35 years than anywhere else but they get away with it. I was also a banker( Treasury) in the late 80's early 90's ...not an IT nerd like your goodself. The call cry of my boss was we rip their *ing lips off today and we will do it again tomorrow...ok boys let's do lunch. IT guys will be the first to go in a crunch for the banks as they were in 1991. So start looking for a new job and enjoy your perks ( do IT guys get them) whilst you can.

Hah hah wtf

 

[SwampCreature]

Ok so, let’s say I have an, err, ‘mate’ with NFI what any of these big business words mean

Can someone please explain really basically what McDonald/his company have done wrong, if anything

I’ll pass the info on to my mate

 

[Marcus DuQuesne]

I think the issue is he has exaggerated or misreprented the good news and buried the bad news.

I think it is a bit early to accuse him of anything just yet...but there is an old saying that goes " it all comes out in the wash" may be appropriate. One thing that will happen is a healthy opening lower when the company comes back online.

 

[Marcus DuQuesne]

It's a pump and dump. Though I suspect those clowns are too dumb to remember to do the dump bit.
A Ponzi scheme is too much hard work for blokes of this calibre.

So that means it is not a pump and dump. Sounds like you are talking about things above your pay grade.