Co-founder of a green banking startup that has attracted celebrities such as Steve Ballmer And Leonardo DiCaprio pleaded guilty Monday to two counts of wire fraud.
Joseph Sanberg, 46, filed the lawsuit in Los Angeles federal court about six months after prosecutors accused him of participating in a scheme that they say defrauded investors of $248 million.
Sanberg, an early investor in Blue Apron, faces up to 40 years in prison. Sentencing is scheduled for February 23, 2026.
His company, Aspiration Partners, offered environmentally-focused financial services, including tree-planting services, designed to help clients reduce their carbon footprint. In 2021, the company announced plans to publish through a SPAC deal that was expected to be valued at $2.3 billion. The deal was terminated in 2022.
The feds said Sanberg took steps to make Aspiration Partners appear more financially successful than it actually was, including a letter from Aspiration's audit committee that falsely suggested the company had $250 million in cash and cash equivalents. In fact, he had less than $1 million in cash.
Sanberg used these fraudulent financial materials to obtain millions of dollars in loans and investments, prosecutors said.
Sanberg is also being sued by the Securities and Exchange Commission, which said the fintech founder recruited friends, business associates and others to help him artificially boost the company's financial prospects.
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The SEC's civil complaint alleges that he did this by getting people to sign “letters of intent” – or contracts, saying they would regularly pay Aspiration between $25,000 and $750,000 for tree planting and other environmental services. According to the SEC, Sanberg told these clients that they would not have to pay for these services.
A government watchdog suggested that Aspiration's financial woes took a toll on Sanberg back in 2020, when he wrote to his co-founder and Aspiration CEO about his concerns about a default.
“Figure out how to get me money tomorrow, otherwise I will be in default,” he wrote. “Now it’s your turn to do what needs to be done… But if you don’t bring me the money tomorrow, we’ll all be full.”
“This will give you a good idea of what I go through every day,” Sanberg wrote, adding: “I hate you, I hate this company and I don’t want to work with you anymore. [ ]. You're so oblivious to what you made me do. “
