Tottenham Hotspur: Joe Lewis's High-Stakes Court Showdown in New York Sends Shockwaves
Joe Lewis, owner of Tottenham Hotspur, faces indictment for an alleged insider trading scheme Accused of using insider information to reward employees and lavish gifts on friends and lovers, Lewis vigorously denies the charges
Joe Lewis, whose family trust holds ownership of Tottenham Hotspur, is anticipated to make an appearance in a New York court on Wednesday following charges of alleged insider trading. The US attorney in Manhattan levied accusations against Lewis, asserting that he masterminded a bold insider trading plot. Late on Tuesday night, Lewis submitted to US authorities.
On messaging platform X, formerly known as Twitter, Damian Williams announced in a video that the southern district of New York, where his office is located, has indicted Joe Lewis, the British billionaire. The indictment accuses Lewis of orchestrating a bold insider trading scheme.
According to our allegations, Lewis has been misusing access to corporate board rooms for years. He has repeatedly disclosed inside information to his romantic partners, personal assistants, pilots, and friends.
"Those folks then traded on that inside information and made millions of dollars on the stock market. Thanks to Lewis those bets were a sure thing.
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None of this was necessary. We assert that Joe Lewis, despite his wealth, employed insider information either to reward his employees or to lavish gifts on his friends and partners.
"This constitutes the epitome of corporate corruption. It involves deception and stands in violation of the law."
Lewis' attorney, David Zornow, argued that the government had committed a grave mistake by accusing Mr. Lewis, an 86-year-old individual with a flawless reputation and remarkable achievements. Zornow further stated that Mr. Lewis had willingly arrived in the United States to respond to these misguided allegations and assured that they would vigorously defend against them in court.
According to a spokesperson from Tottenham club, they have no comment on this legal matter as it is unrelated to the club. Last year, Lewis transferred his stake in the club, which he owned through the ENIC Group along with Daniel Levy, to a family trust. The trust still benefits Lewis' family members.
What does the indictment say?
Lewis and his associates allegedly amassed millions of dollars by employing pilfered information, leading to his indictment on charges of securities fraud (16 counts) and conspiracy (three counts).Between 2019 and 2021, Lewis stands accused of divulging critical information regarding various companies, such as Australian Agricultural Co., Mirati Therapeutics, and Solid Biosciences.
The indictment says Lewis used information he was given as a board member to tip off friends and associates about when to buy and sell shares.
Image:
Lewis (left) with Spurs chairman Daniel Levy
In 2019, Lewis's girlfriend purchased $700,000 worth of shares in Solid Biosciences following his disclosure of the clinical trial outcomes.
During that same year, Lewis allegedly instructed two of his pilots to sell their shares in Australian Agricultural Co. due to the flooding in Queensland. As mentioned in an email sent to a stockbroker, one of the pilots expressed, "I just wish the Boss had informed us a bit earlier."
In October 2019, according to the indictment, Lewis provided $1 million to two pilots he employed to purchase Mirati shares. Shortly after, the share price rose by 16.7% following the announcement of positive clinical trial results. As stated in the indictment, one of the pilots texted a friend, saying, "Our boss lent Marty and me $500,000 for this endeavor."
From 2013 to 2018, Lewis is alleged to have conspired to deceive Mirati, the US Securities and Exchange Commission, and investors by concealing his ownership in the company through the use of shell companies and other deceptive methods.
'Lewis not involved in day-to-day running of Spurs'
According to our chief reporter Kaveh Solhekol, Tottenham Hotspur supporters might be feeling a tad apprehensive today due to the attention-grabbing headlines. However, from Tottenham's perspective, this issue revolves around the personal affairs of Joe Lewis."The man who is in charge of running the club is the chairman Daniel Levy.
"Joe Lewis has only ever very rarely come and watched games at the Tottenham Hotspur Stadium.
He has been the club owner since purchasing a controlling stake from Alan Sugar in 2001 for approximately £22m. The charges he is currently facing in the US are of grave nature, including 16 counts of securities fraud and three counts of conspiracy. However, his lawyer, David Zornow, has confidently stated that these charges are baseless and will be vehemently defended in court.
In the event that you are convicted of such charges, typically, you would receive a maximum prison term of 25 years. However, it is important to remember that you are presumed innocent until proven guilty. Lewis and his legal team strongly assert his innocence and deny any wrongdoing.
Given that there will be a court case, resolving this matter is expected to take a considerable amount of time. Nonetheless, it is important to note that this situation will not impact Spurs or the club's operations. It is purely a personal matter concerning Joe Lewis.
