Austin McBroom has risen to fame as patriarch of YouTube’s Ace Family, garnering over 19 million subscribers alongside his wife Catherine and their three children.
However, with fame comes scrutiny, and the McBrooms have recently faced a storm of controversies, legal issues and allegations – including claims that Austin McBroom is running scams.
In this in-depth article, we’ll analyze the major Austin McBroom scams making headlines, lawsuits the Ace Family is battling, foreclosure of their $10 million mansion, shady business practices, questionable giveaways, and more.
Table of Contents
Background on Austin McBroom and The Ace Family Brand
Before diving into the scandals, let’s provide some context on Austin McBroom and The Ace Family empire he has built:
Austin McBroom played college basketball at Saint Louis University before becoming a social media influencer. He began dating Catherine Paiz in 2016, then launched The Ace Family channel in 2016 which now has over 19 million subscribers.
Catherine and Austin McBroom married in 2017. Their three children Elle, Alaïa and Steel are also featured in videos.
Videos center around the McBroom family showcasing their lavish lifestyle, including luxury vehicles, shopping sprees, dream vacations and their $10 million mansion. Expanded The Ace Family brand into merchandise, sold in retailers like Target and Walmart.
Launched business ventures including Catherine’s makeup line and Austin’s Social Gloves boxing promotion.Raked in millions from YouTube ads, brand deals, Instagram sponsorships and various business endeavors.
Now let’s analyze the controversies and allegations of scams that Austin McBroom and The Ace Family have become embroiled in over recent years.
Foreclosure of $10 Million Mansion
In October 2022, news broke that The Ace Family’s palatial $10 million Los Angeles mansion was in foreclosure. As the lavish home is prominently featured in The Ace Family channel and videos, its foreclosure prompted questions about the family’s finances.
Catherine McBroom told Daily Mail that she and Austin were victims of a dishonest contractor. She alleges they paid the contractor millions of dollars to combine two houses on their property into one large mansion, but the contractor “took the money and ran.”
According to Catherine’s story:
✓ They discovered the contractor was unlicensed and illegally using someone else’s license
✓ The contractor dissolved his business weeks after Catherine transferred him money to finish construction
✓ Despite the home being unfinished without utilities like gas, the Ace Family had to move in since they were already paying the $70k monthly mortgage and their lease elsewhere ended
✓ They were left paying the huge mortgage for over 2 years while living in an unfinished house without heat or hot water
They couldn’t obtain an occupancy permit due to construction mistakes, leading to foreclosure when they declined to invest more funds into repairs
While Catherine pins blame on the contractor, LA Curbed reported there were also permitting issues with combining the properties. Public records show early signs of financial strain in 2020 when lender Ashley Financial filed a Default Notice on their property.
So while the McBrooms may have been victims to some degree, the mansion foreclosure also raises questions about their income and ability to sustain such an extravagant lifestyle.
Lawsuits for Austin McBroom’s Boxing Event: Social Gloves Scam?
Austin McBroom’s foray into boxing promotions with Social Gloves Entertainment has sparked a wave of lawsuits from unpaid fighters and vendors.
The inaugural Social Gloves event in June 2021 was branded as “Battle of the Platforms” – pitching TikTok stars against YouTubers in boxing matches.
While Social Gloves promised participants a share of pay-per-view earnings, many claimed they were never paid what they were owed.
This prompted accusations that Austin McBroom scammed talent. As controversies mounted, the company announced it was ceasing operations – but is now facing major lawsuits, including:
LiveXLive Lawsuit
- Digital streaming platform LiveXLive sued McBroom and Social Gloves seeking $100 million in damages
- Claims Social Gloves breached their contract by failing to adequately promote the event and lied about projected PPV buys
- Allege McBroom diverted funds to himself instead of paying vendors
Production Company Lawsuit
- Fight event producer Anisa Jomha filed a $1.5 million lawsuit against McBroom and business partner July Tam
- Alleges breach of contract, claiming she was never paid for over $500k in expenses related to venue, equipment rentals, lighting production and securing celebrity guests
With other fighters like Bryce Hall calling out Austin McBroom for failure to pay what was owed, it appears Social Gloves has left a trail of financial destruction – leading to scam accusations against organizer Austin McBroom.
The exact financial troubles plaguing Social Gloves and extent of Austin McBroom’s personal liability remains unclear. But regardless of who’s to blame, promoters have a responsibility to fulfill contractual obligations – so legal repercussions for these major events send warning signs about McBroom and his fledgling sports entertainment empire.
##BeautyByMcBroom Cosmetics Scamming Claims
Austin McBroom’s wife Catherine McBroom has also sparked scamming backlash regarding her makeup brand, BeautyByMcBroom Cosmetics.
She’s faced allegations of selling dangerous cosmetics imported from China, exaggerating her role in product development, refusing refunds – even outright scamming collaborators.
Let’s break down the various BeautyByMcBroom controversies:
1. “Staged a Coup” On Business Partner
Makeup artist Olivia Song sued Catherine McBroom for $2.5 million in 2019 alleging McBroom “staged an illegal coup” to oust her from the company
Claims McBroom cut her out of the business after she developed products and managed operations
Song’s lawsuit alleges Catherine lied publicly about doing everything herself, describing McBroom as the “face of the company” only
2. Dangerous, Questionable Ingredients
A lab analysis report revealed issues with some BeautyByMcBroom products:
Glitter Eyeshadow contained tremolite asbestos, a dangerous carcinogenic ingredient illegal in cosmetics
The liquid eyeshadow, also marketed as vegan, actually contained carmine – a non-vegan dye made from crushed beetle shells
While Catherine denied using unsafe products, it raised quality concerns over financial motivations cutting corners in manufacturing streamlined mass-market makeup.
3. Complaints of Fake Giveaways and No Refunds
Some BeautyByMcBroom customers have accused Catherine’s company of fake giveaways used to boost sales and refusing refunds when unhappy with orders. Complaints include:
Reddit posts describing receiving wrong items ordered or low-quality products
Comments about a Christmas giveaway never awarding prizes
Catherine initially dismissing fans asking about the unfulfilled giveaway prizes
The various controversies surrounding BeautyByMcBroom call Catherine’s business integrity into question – whether due to naivety and oversight or more duplicitous practices.
With power couples like the McBrooms, it becomes hazy disentangling personal conduct from that of their brand namesake companies. But ultimately the face of the brand shoulders responsibility.
Fake Merchandise & Other Questionable Practices
While less outright scamming, the McBrooms have still exhibited various behaviors that skirt ethical lines – further provoking criticisms. Accusations include:
1. Offering Misleading “Masterclass” Classes
- Hosted $200 per ticket “business masterclass” teaching fans how to gain social media fame
- Attendees complained it was just a rushed 5 minute meet-and-greet with no substantial training offered
2. Using Celebrity Contacts for Publicity
- Have exploited ties to celebrities like the Kardashians for media attention
- Criticisms of shamelessly name-dropping famous friends to stay relevant
3. Fake Merchandise Scams
- Unauthorized Ace Family clothing using their trademarks sold by scammers on platforms like Facebook
- While not directly responsible, demonstrated lack of control policing their brand
So while some practices simply anger fans, others like leveraging fame for quick cash infuriate critics as cheap bids to capitalize on their impressionable young audience.
$100,000 “Cash App” Giveaway Controversy
In December 2022, Catherine McBroom advertised a $100k CashApp giveaway on Instagram – promising to pay one follower from her own CashApp account. Fans quickly accused the giveaway of being fake when no winner announced.
Comments under her post asked when she would select the winner. Others bluntly stated it was never going to happen.
Catherine responded saying she was overseas when posting it then got sick, but would announce the winner soon. However she still has not declared a winner weeks later.
While she blamed the delayed announcement on travel and illness, many followers interpret it as another Ace Family scam giveaway used to drive engagement then abandoned without paying out. It echoes similar Ace Family giveaway controversies covered next.
Tesla & Other Giveaway Controversies: Failure to Pay Winners
The Ace Family and Catherine McBroom specifically have faced backlash regarding multiple controversial giveaways over the years – usually luxury cars – advertised to fans but with winners apparently never receiving prizes.
Some examples of these questionable Ace Family giveaways include:
Valentine’s Day 2020 Tesla Giveaway
- Advertised giving away 3 Tesla Model 3 cars on Valentine’s Day 2020 for fans that liked, followed, commented and tagged friends
- Comments under the post ask when winners will be announced, claim it’s fake with no intent to award prizes
- No evidence showing winners declared or receiving Teslas
Christmas 2019 Mercedes Giveaway
- In 2019 vlog, Catherine announces Instagram giveaway to gift luxury Mercedes car for Christmas
- States she will ship the car for free anywhere in the world
- No follow up video showing giveaway fulfilled, leading to accusations it was fabricated
Failure to demonstrate winners actually receiving extravagant prizes after heavily promoting giveaways becomes a pattern of behavior associated with The Ace Family.
While explanations like bot entries disqualifying fans or winners preferring cash equivalents arise – rebuttals question conveniently obscured outcomes allowing avoidance of prize fulfillments.
Combined with their main channel providing a polished portrayal failing to address controversies – radio silence on giveaway results casts doubts over sincerity to fans. Even if select winners somehow receive payouts, the McBrooms court skepticism when not transparent showing giveaway fruition.
Foreclosures Raise Questions on Lavish Lifestyle
Beyond various scams and scandals dogging Austin McBroom, even his general lifestyle and suspiciously excessive spending have provoked accusations.
McBroom’s former Los Angeles mansion selling for $28,000 per month shows the expensive overhead required maintaining his family’s extravagant presentation to fans.
Critics have questioned how the McBrooms afford multiple luxury vehicles like Lamborghinis, Ferarris and Rolls Royces – alongside designer clothing, expensive daily shopping sprees and regular dream vacations.
Allegations have spread about Austin McBroom renting expensive cars and jewelry just for appearances to perpetuate a fraudulent image of affluence used to sell get-rich-quick dreams.
So while no concrete fraud found yet, skeptical questions loom about the self-made millionaire backstory Austin McBroom sells compared to signs of financial cracks behind the scenes.
Are Austin McBroom & The Ace Family Running Scams?
In piecing together the pattern of allegations facing Austin McBroom from merchandise scams by fraudsters to EVENTUALLY FULFILLED giveaways with obscured outcomes to contractors abandoning expensive construction efforts – a theme of murky transparency emerges where full truths remain elusive.
The wave of scandals and lawsuits engulfing McBroom can partially attribute to hazards of navigating fame’s fast lane – especially for overly ambitious stars focused on building flashy empires over slower organic personal brands.
However eventual cracks forming in facades sold to wide-eyed followers still demand accountability for risks inherent promoting luxe lifestyles beyond budget realities.
So are the latest Austin McBroom scam accusations only glimpses of imperfections for an image-obsessed business power couple navigating influencer bubbles?
Or do the recurring controversies trace to more conscious choices undermining integrity in squeezing money from youth audiences, requiring consequences cautioning against celebrating their deceptive success?
The truth likely lies between with additional unfolding revelations to fully decide. For now speculation and giving benefit of doubts may remain fair. Though persisting patterns must observe more objectively before extending good faith too liberally.
If the McBrooms hope to maintain their empire without reputation imploding, their best path forward requires responsibly addressing accusations, reassessing business practices and valuing transparency with supporters made them who they became.
That concludes our in-depth rundown investigating controversies surrounding scam allegations against Austin McBroom and The Ace Family empire. Despite unclear conclusiveness to each scandal covered, examining their brand track record allows readers making more informed decisions.
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