Not a scam, IMO. Ken Hurley's past is easily traceable back through Electronic Arts and Intel.
As I've said on many occasions, why would ANYONE in their right mind build a scam around video games. It's way too much work, esp in light of the fact they have shipping products. That is VERY difficult to do, trust me, I worked at INTC and developed software for twenty years. Video games are extremely hard to get to production. I give KH a lot of credit for getting as far as he as, w/developer agreements for Nintendo, PS, etc.
Now, whether someone is manipulating the stock is another question. Short interest has been very high on this stock.