A federal judge in St. Louis sentenced Siddharth Jawahar, 38, to 11 years in prison Tuesday for operating a $35 million Ponzi scheme that defrauded investors, many of them in Missouri. The judge also ordered Jawahar to pay $31.35 million in restitution.
The case drew wider attention after a 2021 Forbes report revealed that Kansas City Chiefs tight end Travis Kelce and other professional athletes had invested in a ventures fund tied to Jawahar’s Texas-based firm, Swiftarc Capital LLC. FOX 2 could not independently verify the extent of Kelce’s investment or how much he may have lost.
How the Swiftarc Capital Fraud Unfolded
According to the U.S. Department of Justice, Jawahar ran Swiftarc Capital from roughly July 2016 through December 2023, collecting more than $35 million from investors while only putting about $10 million to work in actual investments. He funneled nearly all client funds into Philip Morris Pakistan, an overseas tobacco company, starting in 2015, until that single position represented 99 percent of client assets.
When the value of Philip Morris Pakistan fell, Jawahar concealed the losses and falsely told investors they were earning profits. He used money from new investors to repay earlier ones, a hallmark of Ponzi fraud. Prosecutors say he also funded a lavish personal lifestyle that included private jet travel, luxury hotels, high-end apartments in Austin and New York City, memberships at private clubs, and frequent visits to expensive restaurants. the Swiftarc Capital fraud case
Jawahar’s Attempts to Tamper With Witnesses and the Judge
Assistant Federal Prosecutor Derek Wiseman told the court that Jawahar showed no remorse and actively tried to subvert the justice system. In jail calls played during the hearing, Jawahar said,
