[valuearb]

I don't understand the tax concerns. They got $16k, they were owed $3-5K, they would have sent the rest to the owners, only what they kept needs to be reported as income for tax purposes.

The rest makes sense and I regret jumping to conclusions (though a quick tweet from Woodshed saying the story was inaccurate and they had a response coming without blocking people would have made it easier to trust them).

If it's true as told by Woodshed, if them I'd just refund the $16k to the backers, and wash my hands of it.