CEO of rocket engine startup accused of bankrupting company by misuse of funds
Buyer beware: Christopher Craddock, the founder in 2014 of the rocket engine startup RocketStar, has now been accused by his former CEO of bankrupting the company by the misuse of funds for “pricey jaunts to Europe, jewelry for his wife, child support payments, and, according to the company’s largest investor, ‘airline tickets for international call girls to join him for clandestine weekends in Miami.'”
Onetime stockbroker Christopher Craddock established RocketStar in 2014 after financial regulators barred him from working on Wall Street over a raft of alleged violations. Craddock held the firm out as “an entity that intended to reinvent space exploration,” states a $6 million lawsuit filed by former CEO Michael Mojtahedi and obtained by The Independent.
….according to Mojtahedi’s complaint, RocketStar “is nothing more than a Ponzi scheme… [that] has been predicated on Craddock’s ability to con new people each time the company has run out of money.”
“Craddock recklessly and lavishly misappropriated for his lifestyle almost every cent RocketStar received from investors, running the company into the ground by August 2024,” the complaint says. “At that point, Craddock’s ‘keeping up with the Joneses’ lifestyle caught up with him, investor funds dried up completely, and his house of cards collapsed.”
Whether Craddock was the crook Mojtahedi say he was remains at this moment unproved. In a sense however this is beside the point. This story illustrates one reality about capitalism that no one should ever forget: Be careful with whom you invest your money. Make sure you know their background. And above all, investigate the company thoroughly before investing in it.
It sure appears that the wealthy people who invested in RocketStar did none of this research. They were the con-man’s perfect mark, innocently handing over cash to someone because what he said sounded good. Rocket science however ain’t easy, and merely sounding good is not enough.
Readers!
My annual February birthday fund-raising drive for Behind the Black is now over. Thank you to everyone who donated or subscribed. While not a record-setter, the donations were more than sufficient and slightly above average.
As I have said many times before, I can’t express what it means to me to get such support, especially as no one is required to pay anything to read my work. Thank you all again!
For those readers who like my work here at Behind the Black and haven't contributed so far, please consider donating or subscribing. My analysis of space, politics, and culture, taken from the perspective of an historian, is almost always on the money and ahead of the game. For example, in 2020 I correctly predicted that the COVID panic was unnecessary, that the virus was apparently simply a variation of the flu, that masks were not simply pointless but if worn incorrectly were a health threat, that the lockdowns were a disaster and did nothing to stop the spread of COVID. Every one of those 2020 conclusions has turned out right.
Your help allows me to do this kind of intelligent analysis. I take no advertising or sponsors, so my reporting isn't influenced by donations by established space or drug companies. Instead, I rely entirely on donations and subscriptions from my readers, which gives me the freedom to write what I think, unencumbered by outside influences.
You can support me either by giving a one-time contribution or a regular subscription. There are four ways of doing so:
1. Zelle: This is the only internet method that charges no fees. All you have to do is use the Zelle link at your internet bank and give my name and email address (zimmerman at nasw dot org). What you donate is what I get.
2. Patreon: Go to my website there and pick one of five monthly subscription amounts, or by making a one-time donation.
3. A Paypal Donation or subscription:
4. Donate by check, payable to Robert Zimmerman and mailed to
Behind The Black
c/o Robert Zimmerman
P.O.Box 1262
Cortaro, AZ 85652
You can also support me by buying one of my books, as noted in the boxes interspersed throughout the webpage or shown in the menu above.
Buyer beware: Christopher Craddock, the founder in 2014 of the rocket engine startup RocketStar, has now been accused by his former CEO of bankrupting the company by the misuse of funds for “pricey jaunts to Europe, jewelry for his wife, child support payments, and, according to the company’s largest investor, ‘airline tickets for international call girls to join him for clandestine weekends in Miami.'”
Onetime stockbroker Christopher Craddock established RocketStar in 2014 after financial regulators barred him from working on Wall Street over a raft of alleged violations. Craddock held the firm out as “an entity that intended to reinvent space exploration,” states a $6 million lawsuit filed by former CEO Michael Mojtahedi and obtained by The Independent.
….according to Mojtahedi’s complaint, RocketStar “is nothing more than a Ponzi scheme… [that] has been predicated on Craddock’s ability to con new people each time the company has run out of money.”
“Craddock recklessly and lavishly misappropriated for his lifestyle almost every cent RocketStar received from investors, running the company into the ground by August 2024,” the complaint says. “At that point, Craddock’s ‘keeping up with the Joneses’ lifestyle caught up with him, investor funds dried up completely, and his house of cards collapsed.”
Whether Craddock was the crook Mojtahedi say he was remains at this moment unproved. In a sense however this is beside the point. This story illustrates one reality about capitalism that no one should ever forget: Be careful with whom you invest your money. Make sure you know their background. And above all, investigate the company thoroughly before investing in it.
It sure appears that the wealthy people who invested in RocketStar did none of this research. They were the con-man’s perfect mark, innocently handing over cash to someone because what he said sounded good. Rocket science however ain’t easy, and merely sounding good is not enough.
Readers!
My annual February birthday fund-raising drive for Behind the Black is now over. Thank you to everyone who donated or subscribed. While not a record-setter, the donations were more than sufficient and slightly above average.
As I have said many times before, I can’t express what it means to me to get such support, especially as no one is required to pay anything to read my work. Thank you all again!
For those readers who like my work here at Behind the Black and haven't contributed so far, please consider donating or subscribing. My analysis of space, politics, and culture, taken from the perspective of an historian, is almost always on the money and ahead of the game. For example, in 2020 I correctly predicted that the COVID panic was unnecessary, that the virus was apparently simply a variation of the flu, that masks were not simply pointless but if worn incorrectly were a health threat, that the lockdowns were a disaster and did nothing to stop the spread of COVID. Every one of those 2020 conclusions has turned out right.
Your help allows me to do this kind of intelligent analysis. I take no advertising or sponsors, so my reporting isn't influenced by donations by established space or drug companies. Instead, I rely entirely on donations and subscriptions from my readers, which gives me the freedom to write what I think, unencumbered by outside influences.
You can support me either by giving a one-time contribution or a regular subscription. There are four ways of doing so:
1. Zelle: This is the only internet method that charges no fees. All you have to do is use the Zelle link at your internet bank and give my name and email address (zimmerman at nasw dot org). What you donate is what I get.
2. Patreon: Go to my website there and pick one of five monthly subscription amounts, or by making a one-time donation.
3. A Paypal Donation or subscription:
4. Donate by check, payable to Robert Zimmerman and mailed to
Behind The Black
c/o Robert Zimmerman
P.O.Box 1262
Cortaro, AZ 85652
You can also support me by buying one of my books, as noted in the boxes interspersed throughout the webpage or shown in the menu above.
10 years of fraud? What a great life-style! He should spend the next 20 years in prison! This kind of behavior makes it even tougher for legitimate start-ups to raise money. On the other hand, the folks giving the dough should have checked to see if designs were made & if any metal was being cut. It‘s not rocket science to hire an expert to oversee your investments.