Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Fyre Festival founder facing federal fraud charges

Billy McFarland 'truly put on a show, misrepresenting the financial status of his businesses in order to rake in lucrative investment deals', according to charges

Greg Wilford
Saturday 01 July 2017 10:51 EDT
Comments
Fyre Festival organiser William ‘Billy’ McFarland
Fyre Festival organiser William ‘Billy’ McFarland (Fox)

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

The promoter behind a “disastrous” failed music festival that was set to bring rockers Blink-182 and hip hop trio Migos to the Bahamas has been arrested and charged with fraud.

William “Billy” McFarland, 25, defrauded at least two investors who gave about $1.2million (£910,000) to help him stage the Fyre Festival in the Exumas islands, according to charges.

Promotional video for Fyre Festival

The entrepreneur, who co-founded entertainment business Fyre Media, is also accused of showing one investor false documents, claiming he had $2.5million in stocks when he really had less than $1,500 during his bid to raise funds for the project.

Music fans paid up to $12,000 to go to the Fyre Festival, which was billed as a "life-changing" experience bringing celebrities and models including Kendall Jenner and Bella Hadid together to see some of the best-known artists in the world.

But when they arrived in the Bahamas in April they had to use half-built disaster relief tents for shelter and make do with short supplies of food, water and electricity while staying among mountains of rubbish.

The Fyre Festival was eventually cancelled altogether after headliners including Blink-182 pulled out.

It became the focus of a federal investigation and several lawsuits.

On Friday Mr McFarland was arrested in New York and charged with “wire fraud, in connection with a scheme to defraud investors”.

Fyre Festival attendees locked in airport 'for their own safety'

Manhattan US Attorney Joon Kim said: “As alleged, William McFarland promised a ‘life changing' music festival but in actuality delivered a disaster.

“McFarland allegedly presented fake documents to induce investors to put over a million dollars into his company and the fiasco called the Fyre Festival.”

Mr McFarland is due to enter a plea to the charge in front of a US Magistrate Judge on Saturday.

The defendant promoted the Fyre Festival with hip hop star Ja Rule, and they together face a separate $100million class action lawsuit over claims they put music fans in danger, according to CNN.

According to the criminal charge against Mr McFarland, he “perpetrated a scheme to defraud, inducing at least two individuals to invest approximately $1.2 million dollars in Fyre Media and an associated entity based on misrepresentations about Fyre Media’s revenue and income”.

The Fyre Media CEO also claimed to be earning millions of dollars of revenue from thousands of artist bookings between July 2016 to April, when the company actually earned less than $60,000, it is said.

“In order to drive the success of both entities, as alleged, McFarland truly put on a show, misrepresenting the financial status of his businesses in order to rake in lucrative investment deals,” said William F. Sweeney Jr, assistant director of the US Attorney's office in Manhattan.

“In the end, the very public failure of the Fyre Festival signaled that something just wasn't right, as we allege in detail today.”

Mr McFarland is expected to be presented before a US Magistrate to face charges later today.

.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in