The panels are made by a select few manufacturers, however the guts otherwise are not. I had a 21" monitor with a top line Samsung IPS panel, a gorgeous screen, only to die because of a crap PSU with cheap capacitors (thanks, Gateway). Keep in mind that this was an extremely favorably reviewed monitor at the time of purchase, but almost all died by the 3 yr mark.
The reviews were professional, too...
You will be getting a low end samsung or other name brand panel, but the housing, PSU and controls well most likely be junk.
Stuff isn't built to last anymore, but the cheaper you go the more issues you'll have. I wonder what the timing is on a $250 40+" TV. Ghosting is probable. Those looking for a cheap upgrade for consoles would be best suited to get a high quality PC monitor when you are sub $500.
Every brand will have a good stuff and bad stuff. Just shop as smart as you can. This just sends up red flags.
Edit: Disclosure, I have a 46" Samsung LED LCD I got for $900 two years ago, a fantastic price on a then $1600+ TV. Probably cheaper now.