Finance
JPMorgan Set to Relive ‘Huge Mistake’ at Javice Fraud Trial
- Trial starts this week centered on 2021 purchase of fintech
- Prosecutors say Frank executives committed criminal fraud
Charlie Javice, founder of Frank, arrives at federal court in New York on Feb. 18.
Photographer: Michael Nagle/BloombergThis article is for subscribers only.
JPMorgan executives are expected to take the stand in coming days to testify about how the lender was allegedly defrauded out of $175 million by a 29-year-old entrepreneur, drawing fresh attention to how the biggest US bank vets its acquisitions.
At a trial that starts this week in Manhattan, federal prosecutors will seek to prove that Charlie Javice, the founder of college financial-planning startup Frank, and chief growth officer Olivier Amar committed fraud in order to get JPMorgan Chase & Co. to go through with the 2021 transaction — a deal Chief Executive Officer Jamie Dimon would later call a “huge mistake.”