it is true that ICO and IEO are the same as Innitialing Coin which only distinguishes the person or company that handles it.
if the IEO will be handled by an exchange and ICO directly from the owner that allows fraud.
it just using different scheme in crowdfunding.the differences only on exchanges that held crowdfunding.in IEO, developers team directly sell their tokens/coins in market so exchanges as if as escrow in this part.
With such setup the investors followed and buy in to try their luck with this new venture, the moment the IEO finished then it will be decided whether the investors earned or such same fate happen same with investing with ICO's where value fell and nothing left but to sell out with loses and accept the mistakes of investing inside the projects.