A former Circle board member is being sued by the US Securities and Exchange Commission (SEC) over alleged investment fraud, it has been revealed.
Two companies said to be under the control of Ahmed, Iftikar Ali Ahmed Sole Prop and I-Cubed Domains LLC, were named as relief defendants in the complaint. $55m in assets were frozen per an emergency court order.
The new SEC complaint outlined a series of transactions during which Ahmed is said to have accrued roughly $27.5m. This total includes $18m that was unlawfully directed toward a bank account alleged to be under Ahmed's control following the use of $20m to purchase $2m-worth of shares in an e-commerce venture.
Ahmed is also said to have steered Oak funds into other investments in which he had an ownership interest that he did not disclose.
The agency is also pursuing a broader court order against the investor, which includes additional fines and damage payments, it said:
The full complaint can be read below.
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