Frank founder Charlie Javice, who allegedly defrauded JPMorgan out of $175 million, hit with federal charges
that Javice disputes the bank's claims. Javice filed her own suit against the bank asking it to advance her legal fees, and alleging JPMorgan fired her"in bad faith" to avoid having to pay a $20 million retention bonus.. As a teenager, the young entrepreneur rose to acclaim as the founder of a microfinance startup that raised $300,000 but never disbursed a loan.
It's also unclear how Frank could have accomplished some of what it claimed to do on behalf of students. The startup has said its users received an average of $28,000 in financial aid, roughly twice the average amount of aid awarded to college students, and that Frank could get students"thousands off their tuition." A college-aid expert who spoke to Insider said those claims were dubious.
An internal investigation revealed that Javice and Frank chief growth officer Olivier Amar — referred to as"CC-1" in the federal charges — paid a New York data science professor $18,000 to create nearly 4 million fake accounts in order to juice Frank's user numbers, . Amar later bought a list of student email addresses from a marketing firm for $105,000 in order to make those accounts seem more credible, JPMorgan alleged.Contact reporter Katherine Long via phone or the encrypted messaging app Signal , or at
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