FRAUDBATCH W24COMPLIANCE / AI

Delve

Kicked out of YC. 493+ fabricated audit reports. Sold fraud to fellow YC companies.

$32M

Capital Raised

$300M

Peak Value

2+ YRS

Lifespan

493+ fabricated reports

Body Count

AUTOPSY REPORT

Claimed to automate SOC 2 and ISO compliance auditing with AI. Whistleblower revealed the platform auto-generated identical passing audit reports with keyboard-mashed test data before clients even uploaded anything . CEO was caught on tape asking an auditor 'does your firm actually look at our platform?' Focused on selling to other YC companies who trusted the YC brand — the circular trust network weaponized. Insight Partners scrubbed their $32M investment blog post. YC officially expelled Delve in 2026. Investor Adam Cochran called it proof that YC has 'no technical acumen to evaluate claims' under Garry Tan's leadership.

DAMAGE: 493+ fabricated reports

TIMELINE

2024-01Founded, joins YC W24

2024-06Raises $6M seed from Insight Partners

2024-12Raises $32M Series A led by Insight Partners

2025-07Whistleblower reveals fabricated audit reports to TechCrunch

2026-03Second whistleblower provides receipts of keyboard-mashed test data

2026-03Insight Partners scrubs $32M investment blog post

2026-04Accused of forking Sim.ai's SimStudio and pitching it as proprietary

2026-04YC officially expels Delve from portfolio

SOURCES

→ TechCrunch: Delve Whistleblower Strikes Again → Inc: The Delve Scandal → TechCrunch: Insight Partners Scrubs Investment Post → Adam Cochran: 'A Generational Fumble' (18.5K views)

FTX →

Satirical project. Not affiliated with Y Combinator. All information from public records.