Rishi Shah: Indian-origin American billionaire sentenced to seven and a half years for fraud of ₹ 8300 crore, know details
Rishi Shah and his close associates are accused of fraud of ₹ 8,300 crore i.e. about one billion dollars. His fraud shook high-profile investors like Goldman Sachs Group, Google's parent company Alphabet, and Illinois Governor JB Pritzker's venture capital firm.
Muskan Kumawat
Follow Us
A US court has sentenced Rishi Shah, the former billionaire co-founder of Outcome Health and Indian-origin American businessman, to seven and a half years in prison. Shah and his close associates are accused of fraud of ₹ 8,300 crore i.e. about one billion dollars. His fraud shook high-profile investors like Goldman Sachs Group, Google's parent company Alphabet, and Illinois Governor JB Pritzker's venture capital firm. US District Judge Thomas Durkin in his verdict called it one of the biggest corporate fraud cases in history.
Former executives of a Chicago-based health technology start-up and two Indian-origin individuals were convicted for their roles in a fraud operation that reportedly targeted the company's clients, lenders, and investors. According to the US Department of Justice, the criminally obtained funds total around $1 billion (Rs 8300 crore in Indian currency). The accused are Outcome co-founder and former CEO Rishi Shah (38), and Outcome co-founder and former president Shraddha Agarwal (38).
According to a Bloomberg report, Outcome Health was the brainchild of Shah during his university days. Originally known as Context Media Health, the company was founded in 2006 to innovate medical advertising by installing TVs in doctors' offices to stream health ads targeted at patients.
Prosecutors said Shah Agarwal, 38, along with another associate, Chief Financial Officer Brad Purdy, engaged in a major fraud scheme against investors, customers and lenders by misrepresenting the company's operational and financial health.
