The Co-founder of GetEquity, Jude Dike, has reacted to allegations that the company was operating an illegitimate business.
The company has come under public scrutiny in the last few days after reports emerged that it was providing crowdfunding services without approval from the Securities and Exchange Commission (SEC).
GetEquity was established to provide support for startups seeking seed money.
The firm serves small technology-backed companies usually snubbed by institutional investors or household venture capital.
The reports noted that while GetEquity was marketing itself as a platform to raise funds, it was also offering asset trading opportunities.
But the company has quickly dismissed the claim.
A business publication, WeeTracker, had in a report accused GetEquity of deceiving investors and startups with the promise of getting them operating licenses.
However, in a statement on Saturday, Dike described the report as the handiwork of an investor with Oui Capital, Peter Oriaifo.
He said: “It has been a couple of days since the Weetracker hit piece, disguised as an investigative piece, was released. I have been told by many quarters to keep mum and focus on what we’re building, but how good is that when the originators of that are still back channeling in whatever ways they can to get our business shut down.
“An “investigator” with either their own agenda at play or one who is quite naive about how and what he’s been fed made defamatory statements in an article stated as investigative.
“Said article is being shared in VC spaces by the same local VC who spurred said investigation in the first place But then failed to mention that his source Peter Oriaifo of Oui capital, who some founders already guessed or knew was behind this is basically said source of all “facts” which we have proof were all lies.
“That aside, what I don’t get is why a VC is so interested in making sure a company like this doesn’t exist, while at the same time promoting a direct competitor. Whether they are investors, I do not know. Whether we threaten their bottom line, I also do not know.
“But what I do know is this, for the past month, Oui Capital through their Partner (Peter Oriaifo) have tried getting our partnership with Wefunder terminated, investors to pull out, and potential companies to terminate their deal.
“The latest of these attacks was this article against GetEquity, where false statements were made about the partnership ended, our contact with the Nigerian SEC, and fabricated news on our legal status.”
Oriaifo had since dismissed the GetEquity founder’s claim in a post on his Twitter handle.
He wrote: “False, and Jude you know better. Never once went to be a source nor do I as an individual have the energy to spur an article. I don’t even play like that. If it were like that I could easily leak docs that spill the issues to the world. Did not do such.
“Nothing about the issues on getting equity is news to you, we’ve spoken and had correspondence for one year on these things. If you want to play internet games be my guest, if not you know how to contact me and handle things accordingly.
“And for the record, I don’t promote anyone in this space. I believe in equity crowdfunding, heck I was at Republic, but I know enough to know that this works best when it’s structurally and legally sound, you know as much and have conceded to that in private conversations.”