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India

Two Indian-origin executives sentenced for $1b fraud scheme in Chicago

July 2, 2024Last Updated: July 2, 2024

0 158 1 minute read

New Delhi: Two Indian-American former executives of a Chicago-based health technology startup, Outcome, have been sentenced for their roles in a $1 billion fraud scheme.

According to Kashmir Media Service, Rishi Shah, co-founder and former CEO, received a 7.5-year prison sentence, while Shradha Agarwal, co-founder and former president, was sentenced to three years in a halfway house. The scheme involved overbilling clients and falsifying advertising metrics, impacting investors and lenders.

In April 2023, a federal jury convicted Shah, Agarwal, and Purdy.

While Shah was convicted of five counts of mail fraud, 10 counts of wire fraud, two counts of bank fraud, and two counts of money laundering, Agarwal was convicted of five counts of mail fraud, eight counts of wire fraud, and two counts of bank fraud.

Three other former Outcome employees also pleaded guilty prior to trial.

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July 2, 2024Last Updated: July 2, 2024

0 158 1 minute read

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