I am not sure that I have followed the story properly, but I smell fishy things.

From IGG:
I am unsure about what margin does these guys work, but given the fact that if I count right 573 orders were placed on IGG I seem the following options:

- They manufacture 3000 and financing it from the 160K USD. The frozen cost + shipping in this case should be below 53 USD /tablet (which I doubt)
- Someone put money to it to finance the rest of the tablets. Putting money to manufacture a 3 year old design targeted to a limited audience does not seems to be a wise business plan. (I doubt this as well)
- It might be the case that the guys did not estimated well or have not done proper research on the component/mfg prices and MOQs before the campaing in the few thousand range. Now they simply ran out of money and they start disappearing.
- It was a scam from the beginning.

My bet is between 3 or 4.