On May 11, 2020, the Federal Trade Commission (FTC) announced a proposed settlement with the operator of a deceptive crowdfunding scheme—Douglas Monahan, who operated iBackPack of Texas—for raising money to develop a high-tech backpack and other products and then failing to deliver any of the products and instead using the funds for himself.

The advertising campaign claimed that the company was working on a backpack that incorporated various technology components, including batteries for charging laptops and cellphones, cables, and a Bluetooth speaker.