NATIONAL NEWS – Startup founder of Frank financial aid company, convicted of defrauding JPMorgan Chase of $175 million

Laila Kirkpatrick, Staff Writer

Charlie Javice is the founder of a startup company that claimed to revolutionize the way that college students apply for financial aid. She was convicted Friday of defrauding JPMorgan Chase out of $175 million by exaggerating her customer base. A jury convicted Javice after a five-week trial in a federal court in Manhattan. Javice and her co-defendant Olivier Amar faced the possibility of decades in prison for their actions. The case has also drawn many comparisons to the legal proceedings surrounding Theranos founder Elizabeth Holmes. 

Throughout the trial, Javice appeared sullen and consistently walked past reporters. Javice was in her mid-20s when she founded Frank, a company that promised to use new software to simplify the long process of filling out the Free Application for Federal Student Aid(FAFSA). JPMorgan executives testified that Javice said that she has over four million clients, but in reality only had 300,000 customers.