I was explaining the Axanar story to my father--a retired tile contractor--and he put things in perspective. He told me that one time a guy came into his showroom and ordered all sorts of expensive tile for his house, telling my father, "Don't worry about it, money is no object!" My father said these types of customers were always suspicious because they were operating without a budget---which meant there was a strong possibility he'd never get paid. In contrast, when a customer came in and told him they "were on a budget," he was always happy to work with them, because even if it wasn't a big order, at least he knew he'd get paid.
That's really LFIM in a nutshell: When he was operating within a budget--imposed by Gossett and his team--everything was great. People were working for below-normal rates, but at least they knew the money promised would be there. But the moment LFIM got $1 million, he decided he no longer needed a budget, and he just started making grandiose promises that cannot possibly be fulfilled.