Charlie Javice, the founder of the Student Aid Frank Startup, was found guilty of having thrilled JP Morgan Chase by $ 175 million.
Javice was in mid-vings when she became the founder and CEO of Frank, a company that boasted of helping to simplify free demand for the federal student help process, the Associated Press reported.
Friday, March 28, a “unanimous jury” found Javice, now 32, and the former director of growth of Frank, Olivier Amar, guilty of orchestrating a “cheeky fraud”, wrongly affirming that the company had “millions of customers when, in reality, he had only the fraction of this issue”, according to a press release from the South District.
The pair made data to lie to major financial institutions to sell their business for $ 175 million.
“And although Javice and Amar may have thought they could lie and deceive their way to a huge day of pay, their lies have caught up with them, and they are now condemned by a jury of their peers before the Federal Court,” said the AD press statement.
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Javice was found guilty of three fraud chiefs and a conspiracy chief to commit fraud, The New York Times reported. She and Amar risk several decades in prison.
The Javice Frank startup, focused on simplifying the free process of demand for federal studies (FAFSA) for undergraduate students and graduates who seek to finance higher education. The service said they helped answer the long list of questions that potential students are invited to fill in in a few minutes.
In a 2018 interview with Initiate of BusinessJavice said they helped more than 300,000 students receive the financial aid they needed to go to college.
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The jury returned a verdict after a five -week trial held in Manhattan. Javice’s lawyer Jose Baez said JP Morgan Chase understood what they were taking in their agreement with Frank, The associated press reported.
The point of sale has also confirmed that judge Alvin K. Hellerstein would hear arguments in the coming weeks to find out if Javice and Amar should wear ankle monitors while waiting for the conviction. Javice has been free from a deposit of $ 2 million since her initial arrest in 2023. She lives in Florida.
The Javice fraud case has established comparisons with that of Elizabeth Holmes’ condemnation for fraud for the Theranos Health Company. Holmes was found guilty of four fraud chiefs after lying to Theranos investors about the reliability of her blood test technology and was then sentenced to 11 years in prison in 2022. The two were young startup founders in a technological space dominated by men.
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The Holmes affair received more national attention from the Hulu show in 2022 on the basis of the crime, The dropoutWith Amanda Seyfried in the titular role.
Javice’s conviction will take place in August, according to CNBC.
