rkkaranrk
Skilled
Scam explain this. Phone original cost around 2.5k and u r selling t for 251/- ?
If it was not their then it was wrong they bought 100 phones from Adcom.
"Freedom 251," World's cheapest smartphone launched in India for 251rs.
- Thread starter PH0ENiX
- Start date
toocool6600
Disciple
As they said they were thinking to make money by services offered around the phone later on.
A scam is when you are duped off money, I don't see anybody duped, only 30k orders were paid in full later refunded, so they probably didn't get any money
Only got emails and numbers and addresses, what else they got?
As I said it was a very poor strategy, by a stupid man
rkkaranrk
Skilled
They were planning to DUP money but its was so highlighted that they were not able to do that.
Then why did not they delivered the 30k phones which were booked ? Could have done that or still they can do that...Put the phone again on sale on any website with COD option simple.
Also for ur info they said they will manufacture phones in India and will not be importing it from China or any other country.
toocool6600
Disciple
Lol
Read yourself again
When they advertised on each big news paper on front page it was bound to be big, big politicians were already supposed to come, so event main purpose was to create hype....... No?
They did not get 30 k orders, they got 7 crore orders, and payment for 30 k only, and then refunded to make it cod.
You can think what you want.......... It was a badly thought out stupid strategy, which failed........ Not a scam
rkkaranrk
Skilled
Arr why did not they delivered the 30k order for which they were paid for. ..now u will say they had asked for 4 months time but why did they refunded the money for 30k orders..u said for COD then are the orders still placed if yes when they gonna deliver the product as said by u that they will order in BULK....from where ?
toocool6600
Disciple
Dude read again
It was a stupid strategy which did not work, they realized that it's not feasible because it's not........... Initially they thought it could be profitable but then since they have no money to pay govt incase of non delivery.......... As govt said if they didn't delivered there will be consequences and penalties that's when they got scared............ And refunded the money, and since no money is involved they can say we thought we could do it but we were wrong............ And since their is no money involved now, no govt action is expected................. Government can only take action if people were duped off money
They got it all wrong, that's why probably no delivery will happen
Scared businessmen and likely bad staretgy is reason for their non delivery,
Now it's not going to happen ever
It was a stupid strategy which did not work, they realized that it's not feasible because it's not........... Initially they thought it could be profitable but then since they have no money to pay govt incase of non delivery.......... As govt said if they didn't delivered there will be consequences and penalties that's when they got scared............ And refunded the money, and since no money is involved they can say we thought we could do it but we were wrong............ And since their is no money involved now, no govt action is expected................. Government can only take action if people were duped off money
They got it all wrong, that's why probably no delivery will happen
Scared businessmen and likely bad staretgy is reason for their non delivery,
Now it's not going to happen ever
rkkaranrk
Skilled
Read what its only u who is saying it was a stupid strategy and not a scam.
Can u again explain this how they thought it could be profitable ?
Gov. Came in bocz they new it was a scam how one can sell a product which cost 2500 for 251/-
toocool6600
Disciple
It was a mad mohit the ceo of the company who thought it was possible, not me, so I don't know
But I am sure he was high when he thought it was possible
Do you really believe you can dupe 50 lac people even after making such a hype let alone 7 crores people?
Only a stupid jsckass can think of delivering phones at the price or duping people in this way........ As a scam
rkkaranrk
Skilled
So call it a SCAM and not STRATEGY bro.It was a mad mohit the ceo of the company who thought it was possible, not me, so I don't know
But I am sure he was high when he thought it was possible
It was indeed a scam the display phone which they were calling theirs were bought from Adcom...Why will I buy 100 Samsung devices and hide the name with sticker or paint and say we had manufactured these and we gonna sell it for 10%of the original cost.
But still u think it was a stupid strategy then fine live with it. [emoji1]
toocool6600
Disciple
If you saw mohit on tv you'd see that he was a stupid village type guy who didn't know what he was doing at all....... He was just fame hungry, he didn't know any of the things he was talking about.
He simply screwed up big time in his 1st business venture, and probably be a worker in his father agricultural business forever now
You mean to say it was a poor strategy to be a successful scam? There is no doubt that its a scam, but its neither ingenious (very old formula) and poorly thought out and executed. Personally, I would say that the most major flaw in his scam strategy was that he went too greedy and priced the phone too low.
FYI, this was not their first product. Apparently they had another product for which they maintained a separate website and has a separate escrow account and there are indications that they didn't deliver and created fake delivery receipts to collect the money from the escrow accounts. I think this was their testing ground before they went all out.
The scam is supposed to work like this. Announce a product at a very low price point and get people worked up over it but without falling under the radar of authorities. Take a lot of orders and even deliver to a few. Then just get to the money from escrow account using fake invoices and be done. Each transaction would be too small for the customers to go though a lot of trouble to recover. There is nothing new about this..
For this case, as Adcom confirmed, Ringing Bells purchased a few units of the phone from them @ 3600/- per unit, which they physically modified to show case it as their own product. They setup a separate website for the product and registered for separate escrow accounts and took orders. They apparently got orders worth lac's very quickly.
Unfortunately for them, what they didn't count on was the level of media hype that this gathered. The extent of interest and hype was governed by the price point. Had they announced it at 1.5k, he would have much less customers, but there would be less media coverage too and they could have pulled of the scam successfully. But as I said, he got too greedy and priced it too low and got too much undesired attention.
The returning of the booking amount was not their idea either. When the inquires were running and it came out that they created separate accounts with different payment operators and that there were irregularities and that they might have been collecting money using fake invoices, the payment operator themselves were forced to credit back the amount collected one after another.
To be honest none of this is even required to tell that it is a scam. There is no doubt that his idea for the scam was driven by the flash sales on e-com sites. He really intended to take 50 Lac orders if that were a possibility (non unlikely either). To really deliver that even at the lowest cost, he would need 1250+ crores (just in phone manufacturing costs) and he would only get back only about 150 crores through the selling price and he is supposed to get back 1100 crore from his "other services".
Show me a person who would invest 1250 crores in an obscure company that is going to lose 1100 crores with hopes of gaining it and more though "other services" which he could not even describe. If such an investor really exists, show him to me and I would persuade him to lend me money for starting a business to sell snake oil and donkey eggs.
toocool6600
Disciple
What kind of scamster comes on tv and elaborate what and how he was gonna do it?
Yes elaboration was not totally convincing though but he came on tv on ndtv.
He wanted to hype, there is no doubt about that, 50 lac orders are very achievable even at 1250 rs price.
Payment were failing from start, 1250 rs crore orders and he thought he would fly away? Nobody will take notice?
Govt will sit quite? I don't think so he thought that....... When he came on tv
Story is something else, story is that he was stupid to think he could sell phone at that price and make some money
Yes elaboration was not totally convincing though but he came on tv on ndtv.
He wanted to hype, there is no doubt about that, 50 lac orders are very achievable even at 1250 rs price.
Payment were failing from start, 1250 rs crore orders and he thought he would fly away? Nobody will take notice?
Govt will sit quite? I don't think so he thought that....... When he came on tv
Story is something else, story is that he was stupid to think he could sell phone at that price and make some money
he was definitely stupid... scammers/con-men are quite smart in real life.
^lol isn't that what everyone have been saying?
^^ The kind that screwed up big time and had to go with the flow afterwards.
As I said, during inquires on their business, irregularities were found. They were supposedly creating fake shipping invoices (for the products prior to Freedom 251) to claim money from the escrow services without shipping the products. That's why the payment services used for the Freedom 251 refunded the money.
Even their contract call center presently alleges breach of contract, fraud and non payment of dues owed to them.
toocool6600
Disciple
No
People saying he was scamster..
I am saying he was retarded and thought it was possible to sell phones and make money
He published his entire family photos in newspapers in advertisement before sale date
One person and thats the ceo of freedom 251