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Software Engineer 15 days ago

JPMorgan Defrauded with 4 Million Fake Users for a $175M Acquisition 🤯

This whole story is absolutely insane.


The lawsuit, which was filed late last year in U.S. District Court in Delaware, claims that Javice pitched JP Morgan in 2021 on the “lie” that more than 4 million users had signed up to use Frank’s tools to apply for federal aid. When JP Morgan asked for proof during due diligence, Javice allegedly created an enormous roster of “fake customers – a list of names, addresses, dates of birth, and other personal information for 4.265 million ‘students’ who did not actually exist.” In reality, according to the suit, Frank had fewer than 300,000 customer accounts at that time.


Upon the devs at the company refusing to create these fake users, the CEO of Frank, Charlie Javis told employees that they shouldn't worry about ending up in an "orange jumpsuit" over this project.


https://www.forbes.com/sites/alexandralevine/2023/01/11/jp-morgan-fake-customers-frank-charlie-javice/?sh=73cd8db414d4

JP Morgan Says Startup Founder Used Millions Of Fake Customers To Dupe It Into An Acquisition

JP Morgan Says Startup Founder Used Millions Of Fake Customers To Dupe It Into An Acquisition

JP Morgan is suing the founder of a Mark Rowan-backed startup it acquired, claiming the fintech, Frank, had sold the financial giant on a “lie.”

forbes.com
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madscienceSoftware Engineer 15 days ago
Good on the initial engineer to refuse to create this fake list. If your boss ever asks you to do something sketchy, tell them to send it to you in writing. "It alleges that Javice and Amar first asked a top engineer at Frank to create the fake customer list; when he refused, Javice approached “a data science professor at a New York City area college” to help. Using data from some individuals who’d already started using Frank, he created 4.265 million fake customer accounts—for which Javice paid him $18,000"
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