I think you, psu1010, and bravo19 are basically calling this a bad investment if it doesn't work out where generic is calling it a scam. You are both looking at it from two completely different points of view.
Yes there is such a thing as a bad investment, but there are also rules in place for investment companies to follow. If this investment doesn't work out and time determines that rules were broken then this will not be labeled a bad investment. It will be labeled a scam.
At this point all is still to be determined.