A fashion tech founder was sentenced to five years in federal prison for her involvement in a $300m “fraud scheme” spanning from 2019 to 2025, the Manhattan US attorney’s office announced on Thursday. Christine Hunsicker, 49, was also sentenced to three years of supervised release.
Hunsicker, the founder and ex-CEO of CaaStle Inc, had pleaded guilty this March to one count of securities fraud in relation to a scheme that “defrauded hundreds of investors”, authorities said. Her attorneys did not immediately respond to a request for comment.
Hunsicker, a “well-known entrepreneur and businessperson in the fashion-tech industry”, touted CaaStle as a fast-growing business with a valuation of more than $1.4bn, the southern district of New York prosecutor’s office said. But Hunsicker knew that the company was reeling “in financial distress with dwindling cash and significant expenses”.
Verify the physical address and contact details of online stores before making a purchase, especially if the prices are significantly lower than established South African retailers.