"She is definitely upset with her parents. This wasn't her idea," a source tells PEOPLE about Olivia Jade

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March 29, 2019 03:00 PM

In the wake of the college admissions scandal, Lori Loughlin and Mossimo Giannulli‘s daughter Olivia Jade is lying low and leaning on her closest friends.

“Olivia is hanging out with longtime friends, but that’s it,” a source tells PEOPLE. “She doesn’t want to go out in public.”

“Her boyfriend lives in Malibu, so she is spending time there, too,” the source adds of Jackson Guthy, a model.

Olivia Jade and Jackson Guthy
Phillip Faraone/WireImage; Robin Marchant/Getty

Earlier this month, Loughlin, 54, and Giannulli, 55, were among dozens charged in an alleged college admissions cheating scam involving elite colleges and universities including Yale, Georgetown, the University of Southern California and Stanford.

The Fuller House star and the Mossimo clothing company founder allegedly gave $500,000 to say Olivia Jade was part of the USC rowing team when that was not true, the indictment states.

RELATED: Lori Loughlin Once Said She Never Wanted to Do Anything That ‘My Children Have to Pay the Price For’

The documents allege that Loughlin — best known for her role as Aunt Becky on the sitcom Full House — and her husband Giannulli, “agreed to pay bribes totaling $500,000 in exchange for having their two daughters designated as recruits to the USC crew team — despite the fact that they did not participate in crew — thereby facilitating their admission to USC.” (It is unclear whether or not Olivia Jade and her sister Isabella Rose knew about the scandal.)

Since the scandal broke, Loughlin, Gianulli and Olivia Jade have faced intense backlash, and the 19-year-old has no intention of returning to school.

“She is definitely upset with her parents. This wasn’t her idea,” the source says.

Olivia Jade and Lori Loughlin
Steve Granitz/WireImage

“She didn’t care if she got into USC. She just wanted to focus on her business,” the source adds about Olivia Jade, who is a popular YouTube blogger. “She feels that she worked very hard for something that she loves, and she has no idea what will happen with her business in the future.”

RELATED: Olivia Jade’s Trademark Application for Beauty Brand Wasn’t Accepted Due to Poor Punctuation

Currently, “her life is still very much upside down and it’s difficult for her,” the source says.

On March 13, Loughlin was arrested and made her first appearance in federal court in Los Angeles, where a judge set her bond at $1 million, according to the Associated Press, the Orange County Register and the San Gabriel Valley Tribune. The actress faces a felony charge of conspiracy to commit mail fraud and honest services mail fraud.

Loughlin is permitted to travel to British Columbia, where she has filming projects in Vancouver, but must surrender her passport in December, according to the O.C. Register.

RELATED: Inside Lori Loughlin and Husband’s Alleged ‘Game Plan’ to Scam Daughters into USC: ‘Keep Hush Hush’

Giannulli appeared in federal court a day prior and was released after posting a $1 million bond.

An attorney for Loughlin did not immediately respond to PEOPLE’s request for comment. A representative for Loughlin had no comment.

Now, as Olivia Jade looks to close friends to be an anchor of support, her parents are discovering who in their social circle is still in their corner.

A source told PEOPLE that “Lori and Mossimo are finding out quickly who their real friends are,” adding, “It’s not like they are the victims of a crime. They are the crime.”

“Many of their friends don’t want to be associated with them right now,” the source continued. “Their friends are shocked at the allegations.”

Loughlin and Giannulli are expected in Boston federal court on April 3.

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