I screwed up. I misled investors about our business model and the quality of our earnings. In 2006 when I started Clique, I engaged with mostly unsophisticated investors. They wrote small checks primarily to make themselves feel rich and like they had a part in something sophisticated that had the potential to make them actually rich. I took advantage of them, and I’m sorry that I wasted their time. Some of these people I would consider friends who I care about, and who care about my family and me. However, most are not.
You can read about the results of the investigation from the State of VA here. We chose not to contest the action. This was a civil case—not a criminal one—and it’s now closed. No one is going to jail. I’m working to rescind and fully repay the investors, as well as pay the fines assessed by the State of VA. We will have this behind us very soon, and the company is moving forward.