I too believe this sounds like a very promising project.  Frankly, I bought some super cheap and sold most of it right before the fork and might even get more now that it's cheap again.  So, even if it's a scam I've lost nothing.  It may well be a scam, but if it is it's the most unorganized and clumsy scam I've ever seen.
From what I can gather from twitter, here and a few other things I've found here and there, it looks like this could be a very good idea with (so far) bad implementation.  It looks like they were on track until the beginning of April when there was a large dump on Yobit,  there were screenshots on @liteprivate showing that Paul Miller was unable to contact the rest of the team and no one would respond and the telegram group disappeared.  There was no contact or information regarding anything up to the fork, but on 4/20 there was a point where (if I remember correctly) LTCP hit close to 200 sat. It would seem if it was a scam, that would've been the time to dump and disappear.  I would guess (pure speculation here) that Paul Miller may have been roped into something without realizing it and had worked hard enough on the project that he wanted to see it through.  With only a couple of weeks to the fork, I'd imagine the development team turned into him and maybe a buddy or two.  If that's the case there's not a lot of time to be answering questions on twitter or bitcoin talk when you've got a huge deadline to meet in a short period of time.  In this scenario, they meet the deadline, Paul Miller celebrates with some drinks and a cigar and hits twitter the next day to let everyone know the good news.  He's been very active on twitter and answering a lot of questions.  Some of them (understandably) not very nice.  His twitter is in fact down and I can't check it now because it's gone, but I'm pretty sure he said within the past day or two that it would be, as would the website, until everything with security had been sorted out to avoid any situations like had just happened with the @liteprivate twitter account.  Something about wanting to under promise and over deliver or some such thing.  This makes sense to me as the folks that hijacked the @liteprivate account were (supposedly) former team members and would probably be privy to a lot that would need to be changed from twitter to website or even code depending on what position they help.  Another reason I think it might be true is the new @lite_private account only had about 50 followers and Paul Miller was following every one of those.  Possibly to notify us right away when the everything was back up and available.  He was also asked and seemed very agreeable about providing the source code once he was sure any security issues elsewhere were taken care of and implantation of the wallet was done.
So, sure there's tons of red flags.  Hell, ERC20 token to stand alone coin is enough to be skeptical.  But in defense of this project, unless they're playing 3d chess here in the most twisted and confusing scam in the history of crypto, I'm willing to wait it out and see what happens.  

TLDR...Crypto scams don't NEED to be this complicated to work.  I think the project got f-ed up and he's trying to fix it as quickly and on point as possible  Might work.  Might not.