Quote from: LDR on February 15, 2014, 05:56:38 PM

I would also like a refund. 10 Shares: 2 @ 0.009 and 8 @ 0.007 for a total of 0.074 BTC. Thank you Minewithmind

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Bump.

Madao nailed it, even if the miner exists, the value dilution is ridiculous for the original 1000 shares. This fundamentally changed the original investment proposal. Each time minewithmind sold more and more shares he screwed over everyone who had originally bought shares by making each share a smaller percentage of the total miner. Regardless of the miner shipping late, minewithmind had no right to issue more shares when he did because at that point he was no longer the majority owner of the miner.

When a real company dilutes shares, they are required to compensate original shareholders to make up for the loss in percentage ownership. This is done via a stock split, the issuing of B-level shares to new buyers or a dividend payout of the difference. Minewithmind did none of the above and instead devalued everyone's shares while pocketing the profit. Once the initial shares sold, MWM was no longer the sole owner of the miner and instead owned only about 200 shares or 1/5 of the miner. He then decided to sell these 200 shares so that he could start another group buy and keep shares in that one instead. When minewithmind sold these final shares in the group buy, he lost all power to vote. What happens next is the crazy part. After he had already sold all of his own shares, minewithmind decided to issue more shares of the miner that he no longer owned any part of and keep 100% of the revenue.

Thus he devalued everyone shares while making tons of profit selling shares in something he did not own anymore. The money raised by the new shares should have been distributed proportionally to the current owners of shares. Minewithmind owned no shares and thus 100% of the money should have been dispersed. This is tried and true fraud at a basic level.