NEW YORK: Seven Indians have been sued by US Federal Authorities with trafficking in people in a scheme where they produce more than a million dollars in illegal profits.
Hari Prasad Sure, 34, Lagudu Lagudu, 31 and Chotu Prabhu Tej Pulisgam, 29, friends and work as software engineers in Twilio, a Cloud Computing Communication Company based in San Francisco, Effect Word and Exchange Commiss Monday.

The complaint said Mr must have tipped close friends Dileep Kumar Reddy Kamujula, 35, who managed to trade in the choice of Twilio. Mr Lagudu is similar to his girlfriend Sai Nekkalapudi, 30 with whom he lives, and he also tells his former roommate and a close friend of Abhishek Dharmapurikar, 33. Mr. Pulses talk about his brother Chetan Prabhu Pulses, 31. All seven defendants live in California.

The SEC announced the allegations of trafficking in the trafficking of seven individuals for allegedly producing more than USD 1 million in collective profit by trafficking in trafficking ahead of the positive announcement of the Twilio 2020 quarter on May 6 2020.

According to SEC complaints, TN. Of course, Mr. Lagudu and Mr. Chotu Pulses have access to various databases that are relevant to the revenue reporting of Twilio.

As a guess, around March 2020, they studied through a database that Twilio customers have increased the use of company products and services in response to health measures taken considering the Covid-19 pandemic, and concluded in a shared chat that the TWILIO share price will be “risen for sure. “

SEC complaints alleged that despite accepting company policies that prohibit them from trafficking in insiders, TN options and stock in advance May 6 2020 income announcements when having confidential information about customer use.

According to complaints, this scheme produces more than USD 1 million in illegal trade profits.

SEC complaints say that Mr. Sure, Mr. Lagudu and Mr. Chotu Pulsu “communicated at times in Telugu, a language that is often used in some parts of India.” From the end of March to the beginning of May 2020, they were involved in discussions about the upcoming income announcement in the personal chat channel they made in Twilio.

“On several occasions between the end of March and early May 2020, before the announcement of the Twilio public income, Mr. May 2020.”

The complaint said that “armed with information on valuable people”, they have been obtained from Twilio, Mr. 6 May 2020.

“We alleged that the inner trafficking ring utilizes valuable income information related to a pandemic in the San Francisco technology company,” said Monique C. Winkler, acted as regional director of the San Francisco Regional Office of the SEC.

“We hold the alleged Tipper and Tippe type responsible for their role in the scheme.” SEC complaints added that Mr Kamujula, MS Nekkalapudi, Mr. Dharmapurikar, and Chetan Puls itself were employees of other companies traded publicly, and they understood that it was inappropriate for people to tip to others based on material information, information non-public. TN. Of course, Mr. Lagudu and Mr. Chotu pulses using their friends and family to get private profits from the trafficking scheme of those in them and to avoid detection.

On May 4, 2020 (just two days before the scheduled Twilio earnings announcement), Mr Sure, Mr Pulagam, and Mr Chotu Pulagam discussed in the chat channel their anticipation that Twilio’s stock price, which was then trading around USD 110 per share, would dramatically increase following the earnings announcement and readied themselves to sell their own company restricted stock units post-announcement.

“Sure noted “[l]ooks like [the stock price] is going to be $150,” to which Chotu Pulagam responded “Miillionaireeeeee”,” the complaint said.

SEC complaints, submitted in the northern district of California, demanded each defendant by violating the provisions of anti-fraud from the Stock Exchange Act. The US lawyer office for the Northern District of California also announced criminal charges against Mr Kamujula.