Billionaire Joe Lewis, the founder of the company that owns the Tottenham Hotspur English soccer team, admitted guilt to securities fraud charges in federal court in Manhattan.
Charges and Allegations
Prosecutors revealed that Lewis had provided insider information from publicly traded companies where he held substantial investments to his acquaintances, including pilots, assistants, and romantic partners. This privileged information allowed them to profit by trading securities before the details became public knowledge.
Admission of Guilt
During his plea to three counts of securities fraud, Lewis expressed deep embarrassment, acknowledging that he knew his actions were unlawful.
Response and Apology
Mark Herr, a spokesman for Lewis, stated that while Lewis admitted to his associates’ trading activities, he did not engage in improper trading in his personal accounts. Herr emphasized Lewis’s lifetime of achievements and integrity, noting his remorse and apology to the court, his family, and those who have relied on him.
Potential Sentencing
Lewis faces a maximum sentence of 25 years in federal prison for each count of securities fraud. However, a sentencing date has yet to be determined.
Previous Denial
The guilty plea contrasts sharply with Lewis’s previous stance. Just six months ago, Lewis vehemently denied any wrongdoing through his lawyer, David M. Zornow. Zornow described the charges against Lewis as an “egregious error in judgment,” emphasizing Lewis’s integrity and accomplishments.
Background and Holdings
Lewis is the owner of the Bahamas-based holding company Tavistock Group, with investments spanning over 200 companies, including country clubs, real estate developments, and a UK pub chain.
