British billionaire Joe Louis pleads guilty to US insider trading charges By Reuters
© Reuters. British billionaire and Tottenham Hotspur owner Joe Louis leaves a U.S. court in Manhattan after appearing on insider trading charges in New York, U.S., July 26, 2023. REUTERS/Amr Alfiky
Jody Godoy
NEW YORK (Reuters) – British billionaire Joe Lewis pleaded guilty to U.S. insider trading charges on Wednesday and apologized to a judge for his actions.
Lewis, 86, pleaded guilty to one count of conspiracy to commit securities fraud and two counts of securities fraud as part of an agreement with the U.S. Attorney’s Office in Manhattan. As part of the plea agreement, Lewis has the right to appeal if he is sentenced to prison, his attorney David Jonow said.
Lewis, who controls the majority of the Tottenham Hotspur football team through a family trust, was accused in July 2023 of enabling it by passing inside information about his portfolio companies to two private pilots, as well as a friend, personal assistant and romantic partner. . Prosecutors gain millions of dollars.
Addressing U.S. District Judge Jessica Clarke, Lewis said he knew at the time that what he was doing was wrong.
“I am so embarrassed and I apologize to the court for my actions,” Lewis said.
Pilots Patrick O’Connor and Bryan Waugh were also charged. All three pleaded not guilty last July.
Lewis has been indicted by federal prosecutors on 16 counts of securities fraud and three counts of conspiracy from 2013 to 2021.
Lewis will not plead guilty to any of the other charges under the terms of the deal, but Clark said he may consider them for sentencing purposes.
Clark set a sentencing date for March 28.
Lewis founded the investment firm Tavistock Group, which is valued at $6.2 billion, according to Forbes. Lewis was able to enjoy his freedom thanks to a $300 million bond secured by his yacht. Aviva (LON:) and private aircraft.
Under the terms of his bail, Lewis is restricted from traveling outside the United States, on board yachts or on private aircraft, unless he attends a court hearing. Lewis is limited to travel between New York, Florida and Georgia, where he owns real estate.
Prosecutors said Lewis gathered inside information about four companies he invested in through his hedge fund and provided the information to friends and associates between 2019 and 2021.
According to prosecutors, the companies included BCTG Acquisition Corp, a blank check company founded by Mirati Therapeutics (NASDAQ:) and its hedge fund and which took Tango Therapeutics public through a merger in 2021.
According to prosecutors, Lewis hid the size of his stake in Mirati by investing through paper companies and trusts registered in the names of his granddaughter and employees.
Manhattan U.S. Attorney Damian Williams called the actions taken by Lewis “classic corporate corruption.”
