Cara eFishery MENIPU Investor legendaris Triliunan Rupiah

Summary

The video uncovers a massive financial fraud by eFishery, a leading Indonesian aquaculture startup. Despite being celebrated for its innovations and securing over $300 million in funding, the company engaged in systematic financial manipulation since its early fundraising rounds. The founders, including Gibran and Krishna, inflated financials to deceive investors, auditors, and stakeholders, ultimately pocketing billions in fraudulent bonuses. The video highlights the severe impact of this scandal, not only damaging eFishery’s reputation but also shaking investor confidence in Indonesia’s startup ecosystem. It serves as a cautionary tale about the consequences of dishonesty in business and the need for transparency.

Takeaways

• 😀 Efishery was able to manipulate financial reports and deceive investors, including major firms like North Star, SoftBank, Sequoia Capital, and others.
• 😀 The company distributed huge bonuses (up to billions of IDR) to its leadership for successfully raising funds through fraudulent means, not based on actual business performance.
• 😀 Efishery has been manipulating its financial data since 2018, starting from Series A fundraising, with fabricated revenue and profit figures.
• 😀 The company used two sets of financial books: one for internal operations with real data, and another for external reporting with manipulated figures.
• 😀 Gibran, the founder, personally oversaw the manipulation of financial numbers and instructed his team on the required inflated figures.
• 😀 The audit firms, despite being major global players like Crowe, Grant Thornton, and PwC, never had access to the real internal data (ERP system), only the manipulated data presented by Efishery.
• 😀 By creating fake partnerships (KSO), Efishery was able to generate fictitious transactions to make it look like they were profitable when they weren’t.
• 😀 The fraudulent financial reports allowed Efishery to attract significant investments, pushing the company’s valuation over $1 billion, making it a unicorn.
• 😀 Investors and auditors were deceived because Efishery’s internal corporate planning team helped to fabricate documents and invoices to cover up the fraud.
• 😀 This massive fraud could potentially harm the reputation of Indonesia’s startup ecosystem, making international investors wary of investing in other startups in the region.
• 😀 The case of Efishery highlights the importance of transparency and honesty in business, showing that deception, even if small at first, can lead to massive consequences.

Q & A

What is the main issue discussed in the script?

The main issue discussed is a massive fraud committed by efishery, a startup in the aquaculture industry, where the company manipulated financial reports, deceived investors, and falsely presented profits, leading to a significant financial scandal.

How did efishery manipulate its financial reports?

efishery manipulated its financial reports by inflating revenue and profits, creating false transactions through fake partnerships (KSO), and using two sets of books: one for internal operations with real data and another for presenting to auditors and investors with manipulated figures.

What were the consequences of the fraud for efishery and its investors?

The fraud damaged efishery's reputation and led to the destruction of trust among global investors, making it harder for legitimate businesses in Indonesia to secure funding. Additionally, the fraudulent activities had serious implications for Indonesia's image in the global investment community.

Who were the key players involved in the fraud at efishery?

The key player was Gibran, the founder of efishery, who orchestrated the manipulation. He was assisted by a team of 22 direct reports, some of whom were actively involved in falsifying financial documents, while others were aware of the fraud but did not report it.

How did efishery's manipulation affect its reported profits?

The reported profits were drastically inflated. For example, in 2021, the real revenue was 958 billion IDR, but it was reported as 1.6 trillion IDR, an overstatement of 40%. Similar discrepancies were present in subsequent years, with some years showing up to 80% of reported revenue as fictitious.

What was the role of auditors in the efishery fraud?

The auditors failed to detect the fraud because they only had access to the manipulated data presented to them by efishery's management, not the actual internal data. Furthermore, the auditors relied on documents signed by Gibran, who ensured the reports were presented as truthful, even though they were falsified.

What steps did efishery take to cover up the fraudulent transactions?

efishery created fake partnerships with dummy companies, manipulated sales and purchase invoices, and used multiple dummy directors to sign off on transactions, giving the illusion of legitimate financial operations. These efforts helped conceal the fraud for several years.

Why did efishery give out large bonuses after raising funds?

efishery distributed large bonuses (amounting to tens of billions of IDR) to executives and internal teams not because of the company's success, but as a reward for successfully deceiving investors during the fundraising rounds.

What impact did the fraud have on Indonesia's startup ecosystem?

The fraud severely impacted the trust of international investors in Indonesian startups. Investors like Temasek and Softbank became more cautious, which made it difficult for legitimate startups, especially in aquaculture, to raise funds.

What message does the script convey about business ethics?

The script emphasizes the importance of transparency, honesty, and integrity in business. It warns that while a company may appear successful in the short term through fraudulent activities, such deception will eventually be exposed, leading to long-term consequences for both the company and its stakeholders.