JPMorgan on Hook for $115 Million in Defense Costs for Charlie Javice

JPMorgan Was Billed $115 Million for Fraud Founders’ Legal Defense

JPMorgan Chase & Co. was hit with $115 million in lawyers’ bills for Charlie Javice and a second executive convicted of defrauding the bank, yet another twist in a years-long legal saga that’s captivated Wall Street.

The defense tab, revealed last week when Javice was sentenced to seven years in prison, is roughly two-thirds of the $175 million the bank paid for Javice’s student-finance company, Frank. A Delaware court previously ruled that the terms of that deal required the bank to cover Javice and co-defendant Olivier Amar’s legal costs.

The Antifraud Company: We Defend Your Tax Dollars

OUR MISSION

The Government Accountability Office estimates American taxpayers may be losing upwards of $500 billion a year to fraud. That’s nearly $1,500 per person. Our thesis is that much of this fraud is organized lawbreaking by giant corporations. We think this is unacceptable.

That’s why we raised over $5 million from Abstract Ventures, Browder Capital, and Dune Ventures to start The Antifraud Company.

The Antifraud Company operates as a new age journalism company, harnessing the power of AI enabled forensics, rigorous investigation, and public awareness to arrest corporate misconduct.

The Antifraud Company plans to investigate and publicize corporate fraud in critical government programs. Our business model is to additionally monetize our investigative work through a variety of government whistleblower programs.

Aerospace Company Sale Informant Sentenced to One Year in Prison

A man who pleaded guilty to receiving and passing along tips about an aerospace part maker’s acquisition must serve one year and one day in prison, a federal court said in a judgment Monday.

Jonathan Whitesides is also subject to two years’ probation and a $100 assessment, the US District Court for the Southern District of New York said in the judgment, which followed a sentencing hearing Oct. 3. Whitesides consented in May to the forfeiture of $922,635 in proceeds traceable to his securities fraud offense.

Justices to Skip SEC Whistleblower Awards Over Insurance Fraud

The Securities and Exchange Commission will avoid Supreme Court scrutiny over its payments to insurance fraud whistleblowers who alleged the agency awarded them a fraction of what they were owed.

The justices on Monday declined to review an August 2024 ruling in the US Court of Appeals for the Fifth Circuit siding with the SEC over the tipsters, who had argued the agency’s narrow payments would damage the whistleblower program.