At the onset of this - I agreed with you. 

However, a simple Google search turns up his fishing business, along with a Facebook page stating how much fun people have on this guys fishing boats (my client also had friends that have used this guy before). So, not a scam, despite my initial suspicions as well. 

I am more so curious what your thoughts are on Pub 550. To me, it pretty clearly spells out that you can take a nonbusiness bad debt for paying a contractor that went insolvent. You disagree, I'm just curious as to why you disagree? 

The reason I ask, you are pretty popular within this community, so, I've come to respect your opinion on things. Thanks!