Charlie Javice scammed JPMorgan out of $175M now the bank must keep paying for her first-class tickets and gummy bears Dave Smith Fri, July 3, 2026 at 9:30 AM PDT 7 min read JPM Spencer Platt/Getty Images A Delaware judge ruled Thursday that JPMorgan Chase (NYSE: JPM) must keep paying the legal bills of Charlie Javice, the startup founder convicted of defrauding the bank into buying her fintech startup, Frank, for $175 million. Magistrate Christian Wright of the Delaware Court of Chancery found the bank had wrongly stopped paying (1), in violation of an earlier order. He ordered it to resume covering her defense costs, with interest. Must Read Jeff Bezos backs a platform that lets anyone invest in rental homes for as little as $100 6 ways to build wealth like a landlord without actually being one Robert Kiyosaki says this 1 asset will surge 400% in a year and begs investors not to miss this 'explosion' Millionaires under 43 hold only 25% of their wealth in stocks. Here's where their money is actually going The decision comes more than a year after a Manhattan jury found Javice, 33, guilty on all counts. JPMorgan spent months arguing that her defense tab, which ran well into nine figures, had spiraled into the absurd. According to Business Insider (2), which first reported Thursday's ruling, Javice's lavish expenses have included $530 for gummy bears and a $581 dinner for two with a $161 seafood tower. Court filings reviewed by Fortune (3) in December found even more ridiculous items she was billing to JPMorgan, including a $347 "afternoon snack" of three charcuterie boards, roughly $3,000 in first-class flights between Boston and New York, and $13.57 for one attorney's monthly Spotify charge. The judge was unmoved by the theater. So was JPMorgan but in the other direction. "We respectfully disagree with the Delaware decision about the bounds of reasonableness and are considering next steps," a JPMorgan spokesperson told Business Insider. A spokesperson for Javice, on the other hand, said the ruling was "a reminder that public narratives don't override contractual obligations." Why a convicted fraudster's bills land on the victim's desk To be clear: Javice was convicted of scamming JPMorgan, and now JPMorgan is now legally required to pay her lawyers. What's going on here is something in corporate law called "advancement." When JPMorgan bought Javice's startup, Frank, in 2021, the deal made her a corporate officer. The agreement carried the kind of indemnification and advancement clause that appears in a huge share of merger contracts. Delaware where most big U.S. companies incorporate outlines the concept in Section 145 of its General Corporation Law (4). A company can pay an officer's legal expenses "in advance of the final disposition" of a case, so long as that person promises to repay the money if a court later finds they weren't entitled to it. Story Continues The logic behind all of this is that companies want the right people to take executive jobs without worrying about...
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