Harry Karonis, the founder and CEO of Viva Wallet, has filed a lawsuit against the Wall Street bank, according to the Financial Times, alleging that the bank is using techniques to impede the expansion of his company.

According to court documents obtained by the Financial Times, Karonis claims JPMorgan is attempting to lower the value of his company by preventing it from entering new US and European markets.

JPMorgan may acquire complete control of Viva under the conditions of the bank's investment if, in June 2025, the fintech's valuation is less than €5 billion.

According to individuals briefed on the matter, JPMorgan has counterclaimed against Karonis for allegedly making attempts to “limit or circumvent our contractual and legal rights as an investor”.

This is not JPMorgan's first failed fintech acquisition. JPMorgan lost $175 million on the student financial aid support business Frank towards the end of 2021. Since then, the bank has brought charges against its founder Charlie Javice and other prominent officials, claiming that in order to close the sale, they had fabricated a list of millions of fictitious subscribers.

In response to JPMorgan's claims that she fabricated her accounts, Javice has filed a counterclaim charging the bank with damaging her reputation.