Kickstarter 3D printer funds 'used to build house'

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Crowdfunding website Kickstarter is investigating claims that money given to a tech project was instead used to build a home.

One co-founder of the Peachy Printer scheme accused the other of stealing more than 324,000 Canadian dollars ($353,000; £174,000) and spending it.

Efforts to make the device have been halted. A confession video has been posted to the site as proof.

But the alleged thief told the BBC it had been filmed "under duress".

The loss is said to have come to light in 2014, but there had been no mention of it in the dozens of development updates posted to Kickstarter until now.

Missing money

The company Rinnovated Design had promised to build the first 3D printer and scanner costing $100.

It raised 651,091 Canadian dollars for the scheme via Kickstarter and a further 74,167 Canadian dollars via another crowdfunding site, Indiegogo. Both platforms let start-ups seek donations from the public, and offer backers rewards that correspond to the value of the pledges.

Rinnovated Design was co-owned by Rylan Grayston, who headed up technical development, and David Boe, who took care of financial matters.

In a lengthy statement on the business's website, Mr Grayston said the funds raised by the campaigns were initially put in Mr Boe's personal account, from which he took 324,716.01 Canadian dollars.

Mr Grayston said that when Mr Boe "came clean" he agreed to repay the sum, and a decision was taken not to make this public.

Full Story: http://www.bbc.com/news/technology-36271249