Robert Edwards, whose toilet accessory firm was acquired for $19 million in 2021, has entered a not guilty plea.
(Trent Nelson | The Salt Lake Tribune) Fifth District Court in St. George on Wednesday, May 3, 2023.
The Utah entrepreneur behind the Squatty Potty product is currently incarcerated, following federal agents’ investigation connecting him to online profiles used for acquiring and viewing child sexual abuse materials.
Following an extensive multi-year inquiry, a federal grand jury charged Robert “Bobby” Edwards, aged 50, with one count of receiving child pornography on February 10, as revealed by recently unsealed court documents. His arrest took place in Washington County two days subsequent, and he entered a not guilty plea during his initial court appearance on Monday.
The FBI initiated its investigation into Edwards, who resides in Ivins, in 2021, prosecutors stated in a filing advocating for Edwards’ detention, after an agent became part of a group chat utilized for “trading child pornography.”
In the course of one such session, the agent clicked a Zoom link shared in the group chat, gaining access to a virtual meeting space where participants were viewing child sexual abuse videos. Edwards, according to agents’ allegations, was seen on camera during this viewing. Investigators connected Edwards to the account via his IP address, which placed him in Puerto Vallarta, Mexico. Additionally, they reportedly matched Edwards’ photographs with his Zoom profile picture and the live video feed.
In May, prosecutors detailed, PayPal identified four of Edwards’ transactions as potentially connected to child sexual abuse materials. Agents subsequently discovered these transactions occurred between Edwards and John Carver, a man from the United Kingdom who was apprehended days afterward and eventually convicted for circulating such materials and extorting purchasers.
Carver promoted the illegal content via the Telegram messaging application. He would then transmit a PayPal link for payment, succeeded by a link to access the acquired files. On occasion, prosecutors noted, he disseminated these materials during Zoom meetings, akin to the one observed by the agent in 2021.
In November, law enforcement conducted a search of Edwards’ residence, uncovering devices with child sexual abuse materials, prosecutors claimed, some of which had been downloaded less than a fortnight prior, alongside messages concerning the materials.
During one conversation, Edwards purportedly messaged, “Hey brother, Id love to perv but into most all jiust not into babies. 5+ is preferred[.]”
Edwards informed agents, according to the document, that “he had no recollection of viewing child pornography.” Furthermore, he allegedly disclosed to authorities his addiction to methamphetamine, his ongoing treatment, and his financial sustenance from the proceeds of the Squatty Potty acquisition, augmented by “some Bitcoin.”
In a separate felony matter, he admitted guilt to drug-related charges in Utah’s 5th District Court in November 2023. Public records show he enrolled in a two-year supervision program via a private probation service.
Edwards devised and helped establish Squatty Potty during the early 2010s. These toilet accessories gained significant traction, securing an agreement with Shark Tank investor Lori Greiner in 2014 and broadening their popularity a year subsequent, following a highly effective advertisement starring the brand’s mascot, Dookie the unicorn. That commercial has amassed 42 million views.
Aterian, Inc. acquired Squatty Potty in 2021 for a sum of $19 million. By 2022, the company had reported sales exceeding 8 million units of its primary product.
Squatty Potty issued a press release late Tuesday, asserting that all ties with Edwards were “terminated” subsequent to the acquisition. Any mention of his family’s involvement with the company was also expunged from its “Our Story” section on Tuesday. The company’s statement conveyed its “profound disturbance by the indictment,” further declaring, “The character of these allegations is repulsive and entirely at odds with our corporate principles.”
Counsel for Edwards did not provide an immediate reply to The Salt Lake Tribune’s inquiry for comment on Tuesday.
A court session to ascertain if Edwards is to stay incarcerated is slated for March 2 at the U.S. District Courthouse in St. George. Meanwhile, he continues to be held in custody at the Washington County Jail.