| US
Sued Javice For Fooling JPMC So
She Subpoenaed Chase Now Rulings
on Privileges
by
Matthew Russell Lee, Patreon Book
Substack
SDNY COURTHOUSE,
Aug 6 – JPMorgan
Chase bought a
start-up
called Frank,
which claimed
to have 4
million
students
signed up to
file their
FAFSA forms,
for $175
million. Then
Chase learned
Frank had only
300,000
customers.
On
April 4, 2023,
Frank founder
Ms. Charlie
Javice was
brought before
U.S. District
Court for the
Southern
District of
New York
Magistrate
Judge Barbara
C. Moses,
represented by
Quinn
Emanuel.
The
complaint
quotes Javice
messages with
the engineers
she hired to
create the
false data,
and to enter
in data she
bought on the
open market.
To one of
them, she is
quoted, "We
don't want to
end up in
orange
jumpsuits."
In
the tri-state,
it is
Westchester
County
Department of
Corrections in
Valhalla that
dresses its
inmates in
orange. MDC
Brooklyn uses
beige; Essex
County
Corrections
Facility in
New Jersey
uses yellow.
In any event,
white collar
defendant
Javice, who
took on an
appropriately
or
strategically
contrite look
on Worth
Street still
barricaded for
the nearby
state court
arraignment of
former
President
Donald Trump,
was freed on
$2 million
bond, travel
restricted to
SDNY and EDNY
and the
Southern
District of
Florida, where
she lives.
On May
18,
Javice was
indicted on
bank, wire and
securities
fraud counts,
and the case
assigned to District
Judge Alvin K.
Hellerstein.
In June
the US
prosecutors
sought to intervene in
and stay the
SEC's case
against
Javice. Inner
City Press
attended and
covered the oral
argument and
now first
reports that
Judge Lewis
J. Liman has
granted the
motions to
intervene and
stay, noting
among other
things that "Javice
will have
access to a
vast amount of
material
usable in the
civil case
through the
means of Rule
16 discovery
in the
criminal case.
That discovery
will include
virtually all
of the SEC’s
investigative
file. And it
will include
documents from
at least 30
different
third parties.
She has not
made a
convincing
case that she
needs more
document
discovery to
be prepared to
move quickly
in this case
when the
criminal case
is resolved
and the stay
is lifted."
The
(stayed) civil
case is
Securities and
Exchange
Commission v.
Javice et al,
23-cv-2795
(Liman)
On July
13, Javice and
her co-defendant
were arraigned,
and Judge
Hellerstein
asked why JPMC
didn't find
the fraud in
due diligence.
Inner
City Press was
there, thread:
All
rise!
Judge:
How do you
plead? Javice:
Not guilty.
Judge: How do
you pronounce
your name?
Javace?
Javice:
"Jah-veese."
Judge:
And Mr Amar?
Amar
(takes off
COVID mask
still required
in this
courtroom) Not
guilty
Judge
Hellerstein:
I'm puzzled,
why didn't JP
Morgan Chase
figure this
out during due
diligence?
AUSA: They
created fake
data. [Javice
is shaking her
head No, pink
cardigan tied
over her
shoulders]
Judge:
Defense wants
a delay?
Spiro: The US
is just
regurgitating
JPM Chase's
civil case.
AUSA: Mr Spiro
is confused
about Rule 16.
Judge: Can you
subpoena JPMC?
AUSA: We'd
have to see if
that complies
with Rule 17.
Judge to AUSA:
Why don't
*you* subpoena
JPMC?
AUSA:
We'll be
getting it.
Judge: We'll
meet in 30
days. August
15 at 11
am. I'll
sent a motion
schedule at
that time.
Adjourned.
On July
27, the
prosecutors
wrote it to
say they are
unavailable
on August
15, and that
the Court said
it would be
available
on September
20. But Javice
will not consent to exclude
Speedy Trial
Act time
until then.
Letter on
Patreon here.
On
August 23,
Inner City
Press was
there. Thread.
On September
26, Judge
Hellerstein held a
conference and
ordered:
"Briefing
schedule:
Deft's by
10/13; Govt's
by 10/27;
Hearing set
for 11/2/23 at
2:30 p.m.;
Time excluded
until 11/2/23;
in the
interest of
justice; Stat.
conf.
previously set
for 10/24/23
is adjourned;
Defts. cont'd.
on bail."
On November
7 Judge
Hellerstein
set a trial
date of
October 15,
2024.
On
November 10 -
Veteran's
Day -
Javice's
lawyers filed
"On November
9, 2023, I
served a
subpoena to
JPMorgan Chase
Bank, N.A.
(“JPMC”),
issued
pursuant to
Federal Rule
of Criminal
Procedure
17(c) (the
“JPMC
Subpoena”), by
email to Ms.
Kristy
Greenberg,
partner at
Hogan Lovells
US LLP, and
counsel for
JPMC. 3. Also
on November 9,
2023, Ms.
Greenberg
responded
confirming
that she was
willing and
authorized to
accept service
of the JPMC
Subpoena by
email on
behalf of JPMC."
On
August 6 there
was a hearing,
or a series of
Judge
Hellerstein
rulings, on
privilege
claims. Inner
City Press was
there. Thread:
Judge
Hellerstein: I
will read and
rule on these
messages
chronologically...
Setting up a
call, not
privileged.
Next, about
options, it's
advice, it's
privileged.
Judge:
Counsel, how
do I pronounce
your name? A:
There are at
least 2 ways...
Judge:
This one
involves
lawyers, but
it is not
advice. It is
not
privileged.
And so
on.
This case is
US v. Javice,
et al., 23-cr-251
(Hellerstein)
***
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