California man of Indian origin sentenced in securities fraud scheme  

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The U.S. Attorney’s Office, Northern District of California announced Feb. 20, 2024, that Dileep Kumar Reddy Kamujula was sentence to prison for six months and ordered to forfeit more than $130,000 for committing securities fraud.

Kamujula admitted to using confidential customer usage data provided by an employee to trade securities for more than $550,000 in profits. The sentence was handed down by U.S. District Judge Jon S. Tigar. Kamujula earlier pleaded guilty to the charge on November 3, 2023.

According to his plea agreement, Kamujula admitted that between April 9 and April 30, 2020, he used confidential Twilio customer usage data when purchasing approximately 167 Twilio call options that he sold on May 7 and May 8, 2020. Kamujula obtained the confidential information from a relative who worked at Twilio and made a profit of more than $550,000 on the transactions.

A federal grand jury indicted Kamujula on March 24, 2022, charging him with securities fraud, in violation of 18 U.S.C. §§ 1348 and 2 (Count One), and 15 U.S.C. §§78j(b) and 78ff, 17 C.F.R. §§ 240.10b-5, 240.10b5-1 (Count Two). Kamujula pleaded guilty to Count Two and Judge Tigar dismissed Count One on the government’s motion at the sentencing hearing.

In addition to the prison term, Judge Tigar also sentenced the defendant to serve a three-year period of supervised release, to begin after the prison term, and ordered the defendant to forfeit $130,369.28. Judge Tigar ordered the defendant to surrender to begin serving his prison term on April 15, 2024.