Prosper ... lots of fraud recently?

I'm a light user of Prosper.com, the peer-to-peer lending, Web 2.0 startup. Lately, I've noticed there are a lot of loans that are going to funding, but then are getting shut down by the Propser review team. I don't know whether to marvel at all the fraud going on, or whether I should feel secure that the Prosper team is preventing these bad loans from being funded. All in all, my personal verdict is still out on Prosper. I currently have north of 50 loans, all of which are current. But, none of my loans are older than August, so time may tell here.