JPMorgan Alleges Founder of Acquired Startup Faked Millions of Accounts

let's switch gears everyone today on shakers, we're discussing one example of when a startup deal doesn't work out an investment gone wrong for Jpmorgan Chase as the bank is now suing a founder alleging that she faked millions of user accounts before Jpmorgan acquired her company. Now Chase paid 100 and $75 million for the college financial aid platform called frank back in 2021. But now they're saying that their founder, Charlie Jarvis had faked nearly four million of those accounts and Jpmorgan has emails to back up their claim. They say they're actually fewer than 300,000 customers there and they realized that fake accounts when most of their marketing emails they sent out had bounced back. Jpmorgan now says Chloe that they shut down Frank Baker now Jpmorgan originally Wanted to buy Frank because it served college students and could help the country's largest bank start in deepen relationships with this valuable demographic. But after Jpmorgan began to press Davis about Frank's customer base and its due diligence process, Jpmorgan says the 30 year old founder asked her lead engineer to create fake accounts. And when that person refused allegedly turned to a data scientist at the college to complete the job in an alleged email to that unnamed professor job is apparently wrote quote will the fake emails look real with an eye check or better to use unique I. D. This is all according to Jpmorgan office, I would know Chloe and her lawyers are denying these accusations. They're saying the bank just trying to wiggle their way out of millions of dollars that they owe her and that they we're looking for a way to fire her after the deal went through. But if this wild story turns out to be true, it doesn't reflect well on Jpmorgan Chase, obviously because of their due diligence process for buying these startups, But then after they spent all of this money, then these allegations then start to trickle out here. It also kind of looks a little bit like a Theranos Part two that we're getting here as well.