Though he had to leave LifeLock well before its peak, he reportedly retained a 10 percent equity in the firm. LifeLock put millions of dollars into Maynard's bank accounts.

Then, Maynard moved to Hawaii in 2008 and blew much — or possibly all — of his LifeLock fortune on a failed ocean-adventure business. The business hired more than 250 people for a time but later left employees hanging without a final paycheck.

Kandoo Island, as the venture was called, sounded like great fun. Maynard and his partner, Dale Smith, bought a 148-foot catamaran, parked it in the water off Waikiki Beach and outfitted it with toys and amenities for tourists.

It was a high-profile move that attracted lots of local interest. Maynard told the press he planned to invest about $7 million in Kandoo, which would offer parasailing, jet-skiing, scuba diving, and other water sports to thrill-seekers by the summer of 2009.

When Honolulu Star-Bulletin reporter Susan Essoyan approached Maynard last June for an interview, the former Phoenix resident talked about his past scandals. He admitted that his credit-repair company had tried to "take advantage of the system," according to Essoyan's article, chocking up his bad decision-making to "youthful inexperience."

He also claimed the "gambling spree," which resulted in his unpaid casino marker in 2003, was the result of "electroconvulsive" therapy in an unsuccessful bid to treat his depression. The treatment gave him manic spells and memory loss, Essoyan reported. He related how his marriage ended and that he attempted suicide in 2002.

In 2005, he began taking proper medications for his illness and turned his life around, he told Essoyan. That was the year he founded LifeLock.

The Star-Bulletin article seemed to contradict the accusation by Maynard's dad that his son had improperly taken out an American Express card using the elder Maynard's SSN. Though Robert Maynard Sr. had confirmed in July 2007 that New Times had quoted him correctly in "Money for Nothing," the optometrist told the Hawaii reporter that he and Maynard Jr. had acquired the card together. Apparently, father and son have mended fences. Maynard Sr. declined to comment for this article.

The Coast Guard cleared Kandoo Island to launch in early August of last year. The "Big Doo" (as Maynard liked to be called at the time) and his crew took customers out on the catamaran every day for about two weeks.

Then the money stream ran dry. Maynard and Smith had under-funded Kandoo Island, and they couldn't make scheduled payments for the substantial insurance premiums required for the adventure business.

Jesse Berbig, 30, who worked as the kitchen manager, feels raw about getting stiffed for about $1,500 in final wages. He put in plenty of overtime, working six or seven days a week, he says.

"I did right by [Maynard] all summer, and now I can't get him on the phone," Berbig says.

E-mails to the staff by Maynard, forwarded to New Times by Berbig, show the former LifeLock exec was struggling to find new funding within days of bringing the first customers on board.

"Money has turned incredibly tight," Maynard wrote in an e-mail to the "krew," as he called them, on August 10. "My family put every dollar, literally, that we had into getting this project ready, more than double what we had planned."

Two financing deals "fell through literally at the closing table," he wrote. "We are in the crucible right now. If you can make it along with us through this difficult time, we will share in the rewards financially."

By August 23, Maynard was apologizing for bounced checks, telling his workers that it was "absolutely mortifying to me that things got so out of control so fast here."

Maynard has been named in at least two lawsuits regarding Kandoo. In one, the Hawaii National Bank seeks at least $4.1 million from another local business, Morning Star Cruises. The bank wants to put Maynard Jr. on the hook for $1.6 million of that, stating in the action that Maynard owes that amount to Morning Star for two smaller boats and ocean equipment.

The other lawsuit alleges that Kandoo Island failed to pay a $19,000 bill for maintenance on the catamaran.

Reached by phone in Hawaii, Maynard declined to discuss his financial situation, saying it's too personal. He was friendly enough, despite past avowals that he would never speak to this newspaper again.

During the short conversation, he was asked why he risked the money he had made from LifeLock. "I got carried away," he said. "I loved the idea, and I ran out of money."

He insists that Berbig and any other Kandoo employees who weren't paid will eventually get that last paycheck.

And who knows? With Maynard's record, he could be sitting pretty again in a couple of years. As long as he stays away from false advertising, he may even keep the FTC off his back.


"My name is Montel Williams," the former talk-show host says on LifeLock's home page. "LifeLock offers me much more than identity-theft protection. They give me true peace of mind. Don't let thieves take what you and your family have worked so hard for."

Considering Todd Davis' experience, Williams' testimonial appears ludicrous.

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1 comments
Jimmie
Jimmie

The LL products were not developed in a jail cell in 2003. The nefarious origin was developed in the back of a taxi cab in March 2005, in less than 35 minutes with the help of a taxi driver named “Jimmie” who came up with the information on fraud alerts, because of his misfortune in Id Theft in 2002, and learning of placing credit fraud alerts by then Gov. Janet Napolitano in Arizona in September 2003 for 2 yrs. originally, then changed to every 3 months in February 2005, and the Original intellectual idea for “Lost Wallet” and “True Credit Address” & “Red Alerts”, a self replicating software product came from “Jimmie”. Also marketing channels of advertising were discussed. You should have seen Mr. Maynard after learning of the fraud alert system and product ideas, he lost his mind repeating”oh my God”, “oh my God” ( a light bulb turned on!) on a business idea. The 2003 jail story and a taxi drivers bank ID theft was used together as a marketing idea. A Phoenix New Times reporter was standing outside the cab in March 2005 when a 1% handshake deal on all “Liflock” profits was discussed mutually between “Jimmie” and Mr. Maynard as he exited the vehicle on Mill Ave in Tempe, down the street from the now, new offices of LL. I’d say be careful with the company, as the thing the taxi driver got was “LL” idea theft, no recognition or $$ for the product ideas in 9 years… http://www.consumer.ftc.gov/articles/pdf-0009-taking-charge.pdf

 
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