Synapse Financial Technologies controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
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2024
Bankruptcy and customer-funds reconciliation crisis
Synapse’s April 2024 Chapter 11 filing disrupted fintech services and raised questions about customer funds. The bankruptcy trustee later reported a $65 million to $96 million discrepancy between Synapse’s records and partner-bank records. Yotta subsequently reported losses affecting 13,725 former customers.
2023
Reported management and operational concerns
Former employees described Sankaet Pathak’s management style as autocratic and volatile and alleged that inexperienced staffing and unreliable technology contributed to workplace and customer problems. Reports also described board-level concern about ledger discrepancies and a proposed leadership change.