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Startup founder Charlie Javice reportedly sentenced to 7 years in prison for defrauding JPMorgan Chase
Charlie Javice exaggerated Frank's user count by over 3.7 million, causing JPMorgan Chase to overpay $175 million in 2021, leading to a notable white-collar fraud conviction.
- On September 29, 2025, U.S. District Judge Alvin K. Hellerstein sentenced Charlie Javice to an 85-month prison sentence for cheating JPMorgan Chase of $175 million in Manhattan federal court.
- Evidence shows Javice paid $18,000 to a data scientist to create synthetic user data claiming over 4.25 million users, though Frank had about 300,000, before the 2021 sale.
- A 12-person jury convicted Javice of three fraud counts and one conspiracy, with prosecutors arguing JPMorgan `did not get a functioning business`, Fergenson said.
- The court also imposed three years of supervision and left Javice free on $2 million bail pending appeal, ordering forfeiture $22.4 million and restitution $287 million.
- This outcome highlights how sentencing in white-collar cases hinges on `loss` calculations, and the case spurred JPMorgan to tighten acquisition protocols after the embarrassment of the deal.
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Charlie Javice gets 7 years in jail $175-million JPMorgan fraud case: Who is the millennial startup founder?
Charlie Javice, founder of student financial aid startup Frank, was found guilty of fraud after exaggerating user data during JPMorgan Chase’s $175-million acquisition of the company. Prosecutors revealed she fabricated over 4 million fake customer accounts
·Mumbai, India
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This is Charlie Javice, 32 years old. In addition to spending 7 years in prison, Javice will have to return USD 287.5 million
·Buenos Aires, Argentina
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Fox 10 PhoenixReposted by 
livenowfox.com
livenowfox.comTech fraud fallout: Charlie Javice is latest young startup founder going to prison
Charlie Javice found herself in a legal dispute with JPMorgan Chase after they bought her student financial aid company, Frank, for $175 million. Here’s what the court says happened.
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Leaning Left26Leaning Right11Center65Last UpdatedBias Distribution64% Center
Bias Distribution
- 64% of the sources are Center
64% Center
L 25%
C 64%
11%
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