Criminal Deception in Silicon Valley

Academic paper analyzing 2000-2023 Silicon Valley fraud prosecutions introduces 'facading,' a framework for how entrepreneurs project illusory growth while committing criminal deception.

A paper analyzing court data from Silicon Valley ventures and founders prosecuted for fraud between 2000 and 2023 describes entrepreneurial criminal deception as a process of 'facading,' projecting high-growth appearances while masking underperformance. It identifies three escalating forms - surface, reinforced, and deep facading - tied to the gap between audience expectations and venture reality. The authors propose deterrence measures including expanded SEC surveillance and whistleblower programs, investor due diligence reform, and entrepreneurship education interventions.