US files complaint against fintech app Dave and its CEO

Business and Finance Business and Finance

Wed, January 1, 2025

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[ Tue, Dec 31st 2024 ] - Reuters

US files complaint against fintech app Dave and its CEO

^{Published on 2024-12-31 20:01:04 - Reuters}

The U.S. Justice Department filed a complaint and announced a civil enforcement action on Monday against financial technology company Dave and its CEO Jason Wilk for alleged violations of federal law.

The U.S. Securities and Exchange Commission (SEC) has initiated a civil enforcement action against the fintech company Dave and its CEO, Jason Wilk, as reported by Reuters on December 30, 2024. The allegations include misleading investors about the company's financial health and user growth metrics during its initial public offering (IPO) in 2021. Specifically, the SEC claims that Dave and Wilk overstated the number of active users and the company's revenue projections, which were used to inflate the company's valuation. The enforcement action seeks penalties, disgorgement of ill-gotten gains, and an injunction against further violations of securities laws. This case highlights ongoing concerns about transparency and accuracy in financial reporting by fintech startups, particularly those leveraging technology to disrupt traditional banking services.

Read the Full Reuters Article at:
[ https://www.reuters.com/legal/us-announces-civil-enforcement-action-against-fintech-app-dave-its-ceo-2024-12-30/ ]

N@N

US files complaint against fintech app Dave and its CEO