SEC CHARGES FOUNDER OF STUDENT LOAN ASSISTANCE CO. WITH MULTI-MILLION DOLLAR FRAUD IN SELLING COMPANY TO JP MORGAN CHASE
Dear Series 66 Test Candidates: Here's a good example of the powers of the SEC to file complaints about securities violations in federal district courts, to root out fraud by securities professionals, brokers, investment advisers, and to bring charges of fake representations and unfair business dealings in the securities industry. FOR IMMEDIATE RELEASE 2023-74 Washington D.C., April 4, 2023 — The Securities and Exchange Commission today charged Charlie Javice, the founder of the now shuttered student loan assistance company previously known as Frank, with fraud in connection with the $175 million sale of the company to JPMorgan Chase Bank, N.A., (JPMC) in 2021. The SEC’s complaint alleges that Javice orchestrated a scheme to deceive JPMC into believing that Frank had access to valuable data on 4.25 million students who used Frank’s service when in reality the number was less than 300,000. The SEC’s complaint alleges that Javice made numerous misrepresentations about Frank’s purpo