Venture plan fix12/26/2023 In addition to the $64 million disgorgement, Ahmed was also ordered to pay $21 million in civil penalties, more than $17 million in interest and appreciation on ill-gotten assets. The SEC was granted summary judgment against Ahmed in 2018 in Connecticut federal court. Two criminal cases remain pending against Ahmed in federal court in Boston, one for his fraud at Oak Partners and the other over his trading on inside information about Cooper Tire & Rubber Co.’s planned 2013 announcement of a $2.5 billion acquisition of India’s Apollo Tyres Ltd. In 2013, he negotiated his firm’s investment in one company, adding a condition that the company redeem shares in an entity that he actually controlled. He diverted funds into those accounts and submitted fraudulent invoices and other documents to try to cover his tracks. Iftikar Ahmed, who joined Oak Partners in 2004, opened bank accounts in the name of the firm and the companies that he actually personally controlled, according to the court. Lawyers for the Ahmeds and the SEC didn’t immediately respond to requests for comment on Wednesday. Shalini Ahmed, who remains in the US with their three children, hasn’t been charged with any crime. Ahmed’s subsequent flight to India led Oak Partners to conduct an internal investigation that found he embezzled around $65 million from the firm and its portfolio companies. alums, since his 2015 arrest on insider trading charges. The decision is the latest twist in a long-running and wide-ranging legal saga that’s embroiled the couple, both Harvard Business School and Goldman Sachs Group Inc. But the three-judge panel said the SEC needed to conduct an asset-by-asset inquiry to determine whether the couple’s two Park Avenue apartments, Harry Winston jewelry and other luxury goods were actually owned by Iftikar Ahmed, even if they were nominally owned by his wife. The Manhattan federal appeals court on Wednesday ruled that the increase in the disgorgement order was permissible. Iftikar Ahmed, a former Oak Investment Partners executive, and his wife, Shalini Ahmed, have been fighting the Securities and Exchange Commission disgorgement order, claiming it was improperly enlarged from the original $42 million after a 2021 change in the law and that many of their assets can’t be seized because they belong to her and not him. (Bloomberg) - A former venture capital fund manager who fled to India to avoid fraud charges was ordered by a US appeals court to surrender $64 million to the SEC, though the regulator will need to determine if assets like real estate, jewelry and a Hermès handbag are actually owned by him or his wife.
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