Indian-Origin Man Charged in $900K U.S. Stock Fraud Case

The U.S. Securities and Exchange Commission (SEC) has filed fraud charges against India-origin Vinay Kumar Nevatia for unlawfully selling nearly $900,000 worth of shares that he falsely claimed to own.

According to the SEC, Kumar sold stocks from a privately-held IT company, CSS Corp Technologies (Mauritius) Ltd., deceiving buyers by asserting ownership of shares he did not possess. He is linked to several defunct investment firms.

The complaint states that Kumar misled investors, orchestrated secret wire transfers, and manipulated the stock transfer agent into processing the false transactions. He reportedly used the investor funds for personal purposes.

Kumar, who has never been registered with the SEC or licensed to trade in securities, continued to provide fabricated updates to the actual shareholders for over a year, even after he had already sold their shares in 2011 and 2012.