Legal

Fashion Startup Founder Pleads Guilty in $300 Million Fraud

Christine Hunsicker, founder and former chief executive officer of CaaStle, left, leaves federal court in New York, US, on Friday, July 18, 2025.
Photographer: Michael Nagle/Bloomberg

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By Bob Van Voris

March 4, 2026 at 7:34 PM UTC

Updated on

March 4, 2026 at 10:44 PM UTC

The founder of fashion-rental and technology company CaaStle Inc. pleaded guilty to vastly inflating revenue figures to defraud investors who poured more than $300 million into her company.

Christine Hunsicker pleaded guilty to a single charge of securities fraud in Manhattan federal court Wednesday, admitting she falsified financial statements to promote CaaStle as a valuable, growing business when in reality it was struggling.