Charlie Javice, the entrepreneur who sold her college financial aid startup Frank to JPMorgan Chase for $175 million, has been seeking a pardon from former President Donald Trump. Javice was sentenced in September to over seven years in prison for defrauding the bank.
The fraud case centered on Javice inflating Frank’s customer numbers to secure the acquisition. Prosecutors revealed she falsely claimed the startup had millions of users when it only had a fraction of that figure.
JPMorgan discovered the discrepancy after the purchase and filed a lawsuit. The bank argued it was misled about Frank’s subscriber base, leading to the criminal charges against Javice.
Javice’s legal team has reportedly approached Trump’s circle to explore a possible pardon. Such requests often involve lobbying for clemency before a potential change in administration.
The former president has a history of granting pardons to high-profile individuals, but the timing of Javice’s request remains unclear. No decision has been announced regarding her case.
Javice’s conviction follows a broader crackdown on startup fraud in the financial sector. Her sentence serves as a warning to entrepreneurs who misrepresent data to secure deals.
The case highlights the risks banks face when acquiring technology startups. JPMorgan has since tightened its due diligence processes for future acquisitions.
