It’s nice when the bank gets scammed by a pretty girl…
Founded in 2016 by CEO Charlie Javice, the company, ‘Frank,’ offered software to help young Americans obtain financial aid in what Javice framed as “an Amazon for higher education,” and had the backing of billionaire Marc Rowan – the company’s lead investor. JPMorgan touted the Sept. 2021 deal as giving it the “fastest-growing college financial planning platform” used by over 5 million students at 6,000 institutions.
The 31-year-old Javice was charged by Manhattan federal prosecutors on Tuesday with one count of conspiracy to commit bank and wire fraud, one count of wire fraud, one count of wire fraud affecting a financial institution, and one count of bank fraud according to Bloomberg.
“As alleged, Javice engaged in a brazen scheme to defraud JPMC in the course of a $175 million acquisition deal. She lied directly to JPMC and fabricated data to support those lies—all in order to make over $45 million from the sale of her company,” said US Attorney Damian Williams in a Tuesday statement. “This arrest should warn entrepreneurs who lie to advance their businesses that their lies will catch up to them, and this Office will hold them accountable for putting their greed above the law.”