No, it's not. It's a stupid thing to say. Perfectly stupid assumption. There are 1000s of multi billion $ revenue companies operating and as a % the number that are fraudulent is close to zero, especially those public or looking to go public. There is always the possibility, but it's extremely naive to think it's likely.
No, at this level of capital involved, and so much opacity around the company financials, it's a perfectly reasonable assumption.