British billionaire Joe Lewis, whose family trust holds a majority stake in the Tottenham Hotspur soccer club appeared in a Manhattan federal court to plead not guilty to allegations of orchestrating a “brazen” insider trading scheme. The prosecutor requested a 300 million bond for his release.
Two of British billionaire Joe Lewis’s pilots, Patrick O’Connor and Bryan Waugh, who were accused of making illegal profits from the insider tips, also pleaded not guilty. (Photo: This is Futbol)
British Billionaire Joe Lewis Pleads Not Guilty
According to the U.S. News, prosecutors claim that British billionaire Joe Lewis provided insider tips about companies he had invested in friends, private pilots, and even a former girlfriend.
At the arraignment before U.S. Magistrate Judge Valerie Figueredo, British billionaire Joe Lewis firmly denied the charges. In response, the prosecutor, Nicolas Roos, requested a $300 million bond for his release, which would be secured by Lewis’s valuable assets, namely his luxury yacht named the Aviva and his private aircraft.
Two of British billionaire Joe Lewis’s pilots, Patrick O’Connor and Bryan Waugh, who were accused of making illegal profits from the insider tips, also pleaded not guilty. Their bail was set at $250,000 each.
The allegations against him carry serious implications, with 16 counts of securities fraud and three counts of conspiracy, potentially resulting in several decades in prison.
According to the prosecutors, British billionaire Joe Lewis had a strategic network in place to gain access to valuable insider information. He allegedly controlled board seats in various companies and deputized employees to serve on these boards, providing him with critical inside knowledge that he then passed on to others for personal gain.
One specific incident cited in the indictment involves British billionaire Joe Lewis lending $500,000 to each of his pilots, O’Connor and Waugh, in 2019 and encouraging them to invest in Mirati Therapeutics, an oncology company.
The pilots texted messages implying they had insider information.
When the positive clinical results were announced, the stock price of Mirati surged by 16.7%, resulting in both pilots repaying Lewis for the loans.
Response to British Billionaire Joe Lewis’s Allegations
The legal proceedings have garnered significant attention, given British billionaire Joe Lewis’s high profile and the serious nature of the charges.
According to ABC Net, his lawyer, David Zornow, vehemently refuted the allegations, stating that his client voluntarily traveled to the United States to defend himself against the charges.
In response to the legal situation, a spokesperson for Tottenham Hotspur released a statement clarifying that the matter was unrelated to the club and, therefore, had no comment on it.
Apart from the criminal charges, the U.S. Securities and Exchange Commission (SEC) also filed a civil insider trading case against Lewis, O’Connor, Waugh, and Lewis’s former girlfriend, Carolyn Carter.
The SEC alleged that British billionaire Joe Lewis revealed confidential information to Carter about a biotechnology company’s private investment plans, allowing her to make significant profits from buying stock in that company.
Insider trading has been a longstanding focus of the U.S. Attorney’s office in Manhattan, reflecting their commitment to preserving market integrity and public trust. The legal proceedings are likely to be closely watched by financial and legal communities as they develop further.
As the case progresses, British billionaire Joe Lewis, O’Connor, and Waugh are required to remain in the United States.
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