Charlie Javice Sentenced to 7 years in Prison for Defrauding J.P Morgan Chase of $175 Million

Charlie Javice, the 33-year-old founder of the startup Frank, was sentenced Monday to more than seven years in prison after being convicted of defrauding JPMorgan Chase out of $175 million.

JPMorgan Chase bank bought her student loan start-up, but later discovered the numbers were falsified.

A Manhattan federal court jury found in March that Javice had grossly inflated the company’s customer numbers, creating fake records that claimed Frank had over 4 million users when the real figure was fewer than 300,000. 

Judge Alvin K. Hellerstein, who handed down the sentence, described her actions in the summer of 2021 as “a large fraud” aimed at deceiving the banking giant.