Wall Street bigshot who hired SBF ‘defrauded’ into – Business News
Robert Granieri — the co-founder of trading firm Jane Street Group, which as soon as gave jailed crypto titan Sam Bankman-Fried his huge break in finance — was allegedly deceived into funding a plot to buy AK-47s, Stinger missiles, and grenades for a coup in South Sudan, in keeping with court docket papers.
Federal prosecutors in Arizona first charged Harvard Fellow Peter Ajak and Abraham Keech in March 2024 with conspiring to illegally export arms to South Sudan, their home nation, to overthrow its authorities.
Both have pleaded not guilty.
Abraham Keech (left) and Peter Ajak (proper) are accused of conspiring to illegally export arms to South Sudan. Both males deny the allegations. US District Court of Arizona
Granieri, 53, allegedly offered $7 million in two funds after assembly Ajak in February 2024 at a Midtown Manhattan condominium, prosecutors mentioned. Ajak’s legal professionals said in a May court docket submitting, which was reviewed by The Post and first reported by Bloomberg, that Granieri’s financing was “vital to the plan.”
They claimed within the May 29 court docket doc that with out his help, the alleged conspiracy would have been unimaginable.
The legal professional for the Jane Street founder, whose firm hired now-convicted fraudster and former FTX CEO Bankman-Fried in 2013, claimed he was misled by Ajak, whom he believed was a human rights activist.
“Granieri is a longtime supporter of human rights causes,” his lawyer was quoted by Bloomberg as saying. “In this case, the person Rob thought was a human rights activist defrauded Rob and lied about his intentions.”
Jailed fraudster Sam Bankman-Fried obtained his huge break on Wall Street in 2013 with Granieri’s firm, Jane Street. REUTERS
The case additionally references chess champion Garry Kasparov, although he’s not named as a defendant nor accused of any wrongdoing, for allegedly connecting Ajak with Granieri by way of their shared work with the Human Rights Foundation.
Ajak, a former baby soldier who resettled within the US, studied at Harvard’s Kennedy School and labored as a World Bank economist earlier than changing into a South Sudanese opposition activist.
He and Keech allegedly met with an secret agent and inspected weapons in a Phoenix warehouse earlier than their arrest, the May 29 movement mentioned.
South Sudan, barely bigger than France, grew to become the world’s youngest nation in 2011 after seceding from Sudan following more than 20 years of civil battle. SOPA Images/LightRocket by way of Getty Images
A DOJ handout that exhibits some of the weapons that had been allegedly set to be despatched to the fledging, war-torn African nation. US District Court of Arizona
Defense attorneys allege US authorities had been conscious of the plan, citing a “public authority” protection and claiming that the State Department informed Ajak in October 2023 it might not help non-democratic regime change.
They additionally accused prosecutors of selectively concentrating on Ajak and Keech, each black males, whereas sparing Granieri and Kasparov.
The financing was allegedly organized by way of conferences, together with some on the law firm Paul Hastings, the place Ajak’s former professional bono legal professional, Renata Parras, labored, in keeping with the May submitting.
The court docket paperwork allege that Garry Kasparov, who is just not accused of any wrongdoing, helped facilitate introductions on Granieri’s behalf. REUTERS
PR guru Michael Holtzman, who beforehand suggested the State Department, additionally attended some conferences, the submitting claims. Prosecutors haven’t accused Parras or Holtzman of any wrongdoing.
The Post has approached Holtzman and Parras for remark.
South Sudan, barely bigger than France, grew to become the world’s youngest nation in 2011 after seceding from Sudan following more than 20 years of civil battle.
The battle displaced tens of millions of people and drew consideration from human rights activists throughout the globe, together with actor George Clooney.
An estimated 400,000 people have died within the battle in South Sudan since 2013, in keeping with human rights teams. AP
Despite its independence, South Sudan has struggled with continued violence between rival forces over the previous 15 years.
Jane Street, recognized for its $20.5 billion in internet trading income final 12 months, has drawn consideration for its success and Granieri’s philanthropy, together with help for human rights causes and Republican presidential candidate Nikki Haley.
Granieri, one of the firm’s 4 founders and the one one nonetheless working there, additionally supported causes backed by Kasparov.
Despite the company’s prominence, he maintains a low profile and isn’t featured on its web site.
Jane Street is a quantitative trading firm, which means its merchants use arithmetic and statistics to find out how to wager on sure belongings or financial markets.
It boasts to be “a firm of puzzle solvers on and off the clock” and has even seen its earnings surpass these of main banks comparable to Bank of America or Citigroup, permitting Granieri to fund ventures just like the Scarlet Pearl on line casino resort in Mississippi.
