Tuesday, June 9, 2026

Corporate fraud

Fashion tech startup CEO kept job for 3 months after $283M fraud scheme exposed: report

The board of flashy fashion tech startup CaaStle discovered its CEO had defrauded investors out of $283 million – and then allowed her to stay on as the top exec for three months, according to a report.

Christine Hunsicker was the co-founder and CEO of CaaStle, an online fashion rental company valued at $1.25 billion at its peak in 2018. The company raked in more than $600 million from big-name investors like Bill Ackman and Henry Kravis.

But in the spring of 2025, the company revealed that Hunsicker had been grossly overvaluing CaaStle’s financial earnings, and this March, she pleaded guilty to securities fraud.



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