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by sib 2108 days ago
While it's true that funders should perform due diligence, diligence for fundraising still relies on an underlying need for the entity raising funds to be truthful.

As an example, if you apply for a bank loan and falsify the application, you can still be charged with fraud and go to jail even though the bank potentially could have discovered the falsehood by hiring an investigator before issuing the loan.