The REAL story behind the spectacular Ellore fashion collapse gripping TikTok and Reddit: Drugs. Sex toys. Missing money. After weeks of explosive allegations, Liv and Eb reveal what they admit, what they deny and who they blame

An 'elevated' loungewear brand has become the centre of a spectacular social media feud, with its co-founders trading explosive allegations involving a sex toy, intimate footage, substance use and disputed company funds.

Olivia 'Liv' O'Neill and Ebany 'Eb' Mclees were once best friends, business partners and housemates, building their label Ellore together before their decade-long friendship spectacularly imploded recently.

The bitter fallout began attracting attention  weeks ago when Olivia took to TikTok to publicly call out Ebany, declaring she would never reconcile with her former friend and delivering a furious warning about 'karma'.

Then, on Monday, Ebany broke her silence with a series of extraordinary allegations about Olivia's behaviour at work, including claims she wore a sex toy to the office and showed it to employee Mariah Belot.

The feud has since escalated into a battle over who was responsible for the collapse of the business, with an anonymous shareholder revealing that Olivia sold her stake in Ellore following negotiations and a settlement deed.

But Olivia insists she was forced out of the company she spent years building, claiming she was intimidated into accepting a fraction of what she believes her shares were worth.

In her now widely discussed TikTok video, Olivia appeared to address the breakdown of her friendship with Ebany and Mariah, saying she had 'lost a friendship with the two of them'.

'No way in hell will I ever, ever reach out to you again,' she declared.

She went on to make a startling remark, saying: 'You could've had your whole family shot dead, and I'd be like, "Well, karma got you good."'

She continued: 'Karma's going come round, and I know where I'm headed, and that's all the way to the top. I'll be looking down and spitting on them. B**ches.' 

On Monday, Ebany responded with her own account of what had happened, making a series of allegations about Olivia's conduct while working at the label.

In one particularly shocking claim, Ebany alleged Olivia had arrived at work with a sex toy inserted inside her before showing it to Mariah, whose older brother Harley Belot is Olivia's boyfriend.

'Olivia decided to come to work with a sex toy inserted inside her, which then she thought it was appropriate to wear to work and show that to Mariah,' Ebany said in the video.

Mariah has also spoken publicly about the alleged incident and other aspects of the breakdown in their working relationship.

The allegations extend to claims about substance use, workplace behaviour, disputed company money and intimate footage involving Olivia and Harley.

Mariah alleged Olivia attempted to show her intimate photographs or videos involving the couple, despite her not wanting to hear sexual details about her older brother's relationship.

Speaking to the Daily Mail, Olivia has acknowledged that workplace boundaries became blurred but disputes aspects of the accounts. 

She said her recollection was that she asked Mariah whether she wanted to see the intimate material, rather than forcing it upon her.

She also argued that the informal culture within their friendship group meant personal conversations and sexual topics sometimes crossed into the workplace.

'I accept that I and Ebany as employers crossed a line by allowing the boundaries between our personal relationships and the workplace to become blurred,' Olivia said. 

She maintained that she did not force Mariah to watch anything after she declined and argued that other members of senior management should also be held accountable for the workplace culture.

Mariah separately accused Olivia of neglecting her responsibilities while prioritising partying and dating, alleging that photo shoots, marketing campaigns, social media posts and emails had been left unfinished.

Olivia admitted drinking and behaving unprofessionally at a business event, saying she regretted her actions, but disputed the suggestion that she had stopped caring about the company.

She claimed Ellore was on track to record projected revenue of approximately $2million in 2026.

The public allegations have also sparked a bitter dispute over the circumstances in which Olivia left the business.

An anonymous shareholder told the Daily Mail that Olivia and Ebany each held 37.5 per cent of the company before the fallout, with Olivia serving as creative director and Ebany overseeing operations and growth.

The shareholder said the other investors initially tried to mediate the dispute but ultimately concluded that the founders could no longer work together.

They confirmed that a settlement deed was signed on September 1 and that they subsequently acquired Olivia's shares and shareholder loan.

The investor insisted Olivia was paid under the agreement and disputed her claim that the business had been taken from her.

Olivia, however, alleged that one of the company's wealthiest shareholders threatened to sue her if she refused to walk away quietly and accept the offer.

'I felt I was being pressured into accepting an outcome under the threat of costly legal action, rather than being given a fair opportunity to negotiate the value of the business I had spent years helping to build,' she told the Daily Mail.

'I was forced and intimidated out of Ellore.'

The shareholder said the group agreed to the share price Olivia sought, despite the business having a negative balance sheet and trading losses, and chose a negotiated settlement rather than potentially pursuing a compulsory exit under the shareholders agreement.

Money has emerged as another major issue, with the shareholder claiming that company funds were transferred from Ellore's account without authorisation.

Olivia has been accused of taking either $60,000 or $85,000 from the business, although the shareholder declined to disclose the amount, describing the matter as settled.

Olivia insisted that $85,000 had been returned and said she would provide supporting financial documentation in a YouTube video scheduled for Sunday, October 18.

The shareholder said Ellore's solvency had come under pressure during the dispute but that the remaining investors had since provided funding to support its next phase of growth. 

They also confirmed that no administrator had been appointed.

The bitter dispute has extended beyond the workplace, with Olivia claiming Ebany decided she no longer wanted to live with her, forcing her to move out of their shared home.

Olivia has also disputed allegations that she improperly removed stock from the warehouse, saying she was still a director at the time and that the lease was connected solely to her.

She reportedly acknowledged deleting Ellore's Instagram account, arguing that she had created its content over the years.

Meanwhile, Olivia has levelled accusations of her own, reportedly making claims about Ebany's personal relationship with another shareholder and accusing Ebany, members of her family and Mariah of involvement in drug dealing. 

Olivia said her forthcoming YouTube video would provide a detailed timeline of the fallout, including the mediation, negotiations, workplace relationships and disputed financial transaction.

She also urged supporters not to target her former friends and colleagues.

'I do not want anyone to send hate or abuse to Ebany, Mariah or anyone else involved,' she said.