Frank founder Charlie Javice sentenced for JPMorgan fraud
3 days ago
- #start-up
- #JPMorgan
- #fraud
- Charlie Javice sentenced to over seven years in prison for defrauding JPMorgan.
- Jury found her guilty of bank, wire, and securities fraud related to fake customer lists.
- Frank, her student loan start-up, falsely claimed 4 million users; actual count was ~300,000.
- JPMorgan acquired Frank for $175m in 2021, later discovering the fraud.
- Judge ordered Javice to forfeit $22m and pay $287m in restitution.
- Javice founded Frank in 2017, gaining recognition in Forbes '30 Under 30'.
- JPMorgan CEO Jamie Dimon called the acquisition a 'huge mistake'.
- Javice accepted responsibility, stating 'no excuses, only regret'.