Fyre Media in hot water as McFarland is arrested in New York
According to The Guardian, McFarland has been charged with scheming to defraud investors, and has been accused of misrepresenting the financial status of his business, Fyre Media.
Fyre Media co-founder and rapper Ja Rule has not been arrested.
Fyre Media was behind the disastrous Fyre Festival that saw punters pay up to US$12,000 to attend a two weekend-long event in the Bahamas, promised with luxury accommodation, food by a celebrity chef and a star-studded music line up.
But the event went belly up and festival-goers were met with disaster relief tents, cheese on bread and a bare island.
McFarland could now face up to 20 years in prison for the charges, which allege he told investors millions of dollars in revenue had been secured from artist bookings, however it has been revealed the company made just US$57,000 in the lead up to the event.