In July, the U.S. Department of Justice (DOJ) conveyed concerns about potential disruption of the criminal case if JPMorgan’s discovery proceeded.
They, however, clarified their stance – while discovery stands frozen in time, the defense is free to contest motions to dismiss the civil lawsuit.
Javice and Amar, joined at the hip in their legal struggle, argued against this pause. In their eyes, this was a prosecutorial maneuver to mount pressure.
Interestingly, JPMorgan remained neutral, refraining from voicing any stance on the motion to stay.
The Allegations: A Web of Deception
The drama doesn’t stop there.
The protagonists, the Frank executives, currently face a barrage of charges ranging from wire fraud to securities fraud in New York.
Furthermore, a parallel civil lawsuit, spearheaded by the U.S. Securities and Exchange Commission, looms over them.
Founded in 2017, Frank was an online beacon for students navigating the complexities of FAFSA applications.
Come 2021, Javice courted potential buyers, with JPMorgan, among other major banks, showing keen interest. The bone of contention? Alleged deceptive tactics Javice employed to lock in the $175 million deal.
