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"We are currently investigating this project for suspicious activity"

$1500 website design contest on Crowdspring. 39 website designs submitted.

Contest ended December 5. Winner selected same day.

On December 5, Crowdspring commented on the activity thread

"We are currently investigating this project for suspicious activity. The wrap up is now disabled and the project will not be completed until our investigation is finished."

On December 8 this was added

"Unfortunately, after investigating thoroughly this very unusual project, we concluded that this project was a fraud. Both the buyer and the awarded creative were the same person involved in a credit card fraud scheme"

And this

"We are truly, truly sorry for the inconvenience. We know that you invested your time and effort on this project and this is frustrating to say the least".

Subsequent comments from participants include

"how is it possible that the fraud was not detected before the project was posted?"

and

"I was under the impression you confirm payment before accepting any projects to be posted. Isn't that how the paying upfront idea works?"

No response or further comments from Crowdspring. No new winner awarded in activity tab. Original winning designer still listed in gallery. Wining designer's account is no longer active.

http://www.crowdspring.com/projects/website_design/small_website_uncoded/design_theme/discussion

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