A 44-year-old Indian-American former CEO has been charged with two separate fraud schemes totalling more than $30 million and faces a maximum statutory sentence of twenty years in prison for each count.
Navin Shankar Subramaniam Xavier, who has been charged by Indictment with 15 counts of wire fraud. He was CEO of Essex Holdings Inc.
According to the Indictment, from September 2010 through May 2014, Xavier operated Essex Holdings, raised more than $29 million from nearly 100 investors for supposed investments in sugar transportation and shipping, as well as iron ore mining in Chile.
Xavier used a false financial statement, forged documents, and false promises of fixed rates of return, to induce investors to invest with Essex Holdings, federal prosecutors alleged.
“Most of the money was used for purposes other than what was promised, including to support lavish spending by Xavier and his wife for expensive jewelry, luxury vehicles, wedding expenses, and cosmetic surgery,” the Justice Department said.
