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Re:A startup burned through $700,000 in 10 months then lied ... by greenyoda on Tuesday August 30, 2016 @01:40PM (#12392166)
Extensive discussion of this story yesterday, in which everything mentioned in this article was covered:

https://news.ycombinator.com/item?id=12379518

But this article might still be useful, since it provides a summary for those who don't want to read through yesterday's 470 comments.