Kansas City Chiefs tight end Travis Kelce was among the investors defrauded in a multimillion-dollar Ponzi scheme, according to statements made during a federal sentencing hearing on Tuesday.
Sentencing and Restitution
Siddharth Jawahar, 38, was sentenced to 11 years in prison by U.S. District Judge Zachary Bluestone. The judge also ordered Jawahar to repay $31 million in restitution to victims he defrauded between 2016 and 2023, according to the U.S. Attorney’s Office for the Eastern District of Missouri.
Jawahar, whom federal prosecutors described as undocumented, pleaded guilty to three counts of wire fraud in January.
Kelce’s Connection Revealed in Court
During the sentencing hearing, a prosecutor briefly mentioned that Kelce was one of Jawahar’s many high-profile victims, a court reporter present in the courtroom told NBC News. No further details about how Kelce was victimized were discussed.
Representatives for Kelce did not immediately respond to a request for comment on Wednesday. An attorney for Jawahar declined to comment on the connection to Kelce, but called his client a “very good man” who “made some very serious mistakes and is taking ownership of all of it.”
How the Scheme Operated
Jawahar ran a Texas-based investment company called Swiftarc Capital LLC. Prosecutors said he carried out a classic Ponzi scheme, using money from new investors to repay older investors and to fund an extravagant lifestyle.
According to the U.S. attorney’s office, Jawahar traveled on private jets, stayed at luxury hotels, went on spending sprees, and held memberships at private clubs across the United States.
From July 2016 to December 2023, his company took in more than $35 million but invested only about $10 million, the prosecutor’s office said.
Obstruction and Sentencing Considerations
After his indictment, the prosecutor’s office said, Jawahar tried to coach a victim to give a favorable statement to authorities and sought to have his sister wipe his iPhone.
Rep. Sam Graves, R-Mo., asked Bluestone to sentence Jawahar to a maximum of 48 months. In a Sept. 10 letter, Graves cited educational programs that Jawahar helped establish at the jail where he has been in custody and said he “chose accountability, actively cooperating with authorities to streamline and maximize the financial recovery of restitution.”
According to the U.S. attorney’s office, Jawahar’s failure to begin repaying his victims was a “major factor” Bluestone cited at Tuesday’s sentencing hearing.