Their first try didn't go well, so they decided to ask Coleco (an Atari rival back in the '80s) if they could slap their name on the product. This probably wasn't a very good idea, since we just had to tell you what "Coleco" even was. Still, they showed off their brand-new Coleco Chameleon prototype at the New York Toy Fair to prove it was real. It even played Super Nintendo games! And used Super Nintendo controllers, and a Super Nintendo power supply, and a Super Nintendo video cable ...
Wait, was their "prototype" a Super Nintendo duct-taped inside an Atari Jaguar case? No, of course not. They used electrical tape.
To silence the haters and doubters, the team then posted a photo of their prototype with a real (non-cardboard, non-SNES) circuit board visible inside. It took the enterprising nerds at Atari Age only three days to prove that this board was definitely an old DVR capture card. Minutes after they pointed this out, the photo mysteriously vanished.
The Coleco brand then ended up disavowing the project, effectively killing it. In hindsight, it's gutsy to name an obvious scam after the animal kingdom's master of disguise.