British billionaire Joe Lewis, the owner of Tottenham Hotspur soccer club, pleaded guilty on Wednesday to insider trading and conspiracy charges in a New York court. This comes six months after Lewis was initially charged in the case. The 86-year-old businessman had been released on $300 million bail, with his yacht and private plane serving as collateral.
Lewis, who did not make any statements as he left court, was shielded from photographers by his aides, a lawyer, and an umbrella. The plea deal, according to U.S. Attorney Damian Williams, includes the largest financial penalty for insider trading in the past decade. As part of the agreement, Lewis's company, Broad Bay Limited, will pay over $50 million in financial penalties.
Williams emphasized that today's guilty pleas highlight the fact that the law applies to everyone, regardless of their wealth or status. Lewis was found to have abused confidential information obtained from corporate boardrooms to provide tips to his friends, employees, and romantic interests.
Under the federal sentencing guidelines, Lewis could face a prison sentence ranging from 18 to 24 months. However, he has the opportunity to seek a lesser sentence. His sentencing hearing has been scheduled for March 28.
In addition to the financial penalties, Lewis and Broad Bay Limited have agreed to resign from board seats and withdraw from participating in board meetings for publicly traded corporations in the United States. They have also committed to divesting certain investments over the course of a five-year probationary period. Furthermore, Lewis and his companies have agreed to cooperate fully with the ongoing investigation and prosecution by the U.S. government.
Joe Lewis is estimated to have a fortune of $6.1 billion, according to Forbes, with investments spanning various industries such as real estate, biotechnology, energy, and agriculture. In 2001, Lewis acquired an interest in Tottenham Hotspur, a renowned English soccer club. During his ownership, the club constructed a state-of-the-art stadium at a cost exceeding $1 billion.
At present, a trust benefiting Lewis's family members holds the majority ownership of ENIC, the holding company that owns Tottenham Hotspur. Lewis himself is not a beneficiary of this trust and relinquished operational control of the club in October 2022, as stated in corporate filings.
Through his Tavistock Group, Lewis owns either all or a portion of over 200 companies globally. Additionally, he boasts an impressive art collection featuring works by renowned artists such as Picasso, Matisse, and Degas. Lewis has notable business connections with figures like Tiger Woods, Ernie Els, and Justin Timberlake. Together with Timberlake, he played a part in developing a luxurious oceanside resort in the Bahamas, which opened its doors in 2010.
The indictment against Lewis revealed that his investments in various companies granted him control of board seats, allowing him to place associates who would provide him with confidential information. Prosecutors alleged that Lewis illicitly disseminated this classified information between 2019 and 2021 to his chosen recipients, encouraging them to profit from the tips.
The guilty pleas entered by Joe Lewis mark a significant development in this high-profile case. As the legal proceedings progress, the focus will now shift to the forthcoming sentencing hearing, where the court will determine the outcome for the billionaire businessman and his company, Broad Bay Limited.
--- Associated Press Writer Jennifer Peltz contributed to this report.
