MySpace Founder Alleges Fraud In Acquisition
A friend of mine sent me an interesting report that Brad Greenspan, the founder of eUniverse (now Intermix Media) that created and owned MySpace.com issued an online report that the sale of MySpace intentionally defrauded shareholders out of multiple billions of dollars because they hid MySpace revenues from shareholders.
Disclosure: Technically, I used to work for Intermix Media as they owned my last employer, SkillJam, before SkillJam was sold to Fun technologies.
The most surprising bit to me is that (according to the report)
Shareholders were not aware that Myspace’s revenue was growing at a 1200 percent annualized rate and increasing.
I wonder how much of this is true. If it is true, what happens next? Gotta love the smell of scandal in the morning.
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