Brad Purdy Plead not Guilty in a $1 Billion fraud

Brad Purdy along with three other employees of Outcome Health have been charged for their involvement in a $1 billion fraud.
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Brad Purdy, the former Chief Financial Officer of Outcome Health pleaded not guilty to charges of his involvement in an alleged scheme that was accomplished to scam the Chicago company’s clients as well as the investors out of nearly $1 billion.

As per the records from the Chicago Tribune, the court appearance of Brad Purdy got into action just after few hours when Ashik Desai who was the former Outcome Health executive pleaded guilty for the same scam.

Matthew Madden, the Assistant U.S. Attorney deemed that the Ashik who was previously appointed as the executive vice president of Outcome Health’s business operations and Outcome’s chief growth officer has consented for cooperating with the investigation. Assistant Attorney, Matthew told this to the Judge in the federal court in Chicago named Thomas Durkin.

According to the reports published by the Chicago Tribune, Desai who is 26, was released on bond on Monday after he made the guilty plea. The man claimed, “When I was at Outcome Health, there were practices going on there that were wrong. I participated in those practices that ended up defrauding Outcome’s customers.”

Desai and Purdy were handling different and various job roles at Outcome Health which included but not limited to CFO and chief operating officer. However, Desai left the company in early 2018 after there were charges and allegations made against him. The indictment filed against Desai claimed his involvement in the fraud which was filed in the Northern District of Illinois last month. There were other two names in the indictment as well. It was of Rishi Shah and former President Shradha Agarwal.

Before October 2017, the company was doing pretty well and was succeeding through its involvement in medical offices through the installation of video screens that showed ads. However, after the company was accused of misleading advertisers and manipulating data, it suffered a huge downfall.

Later to which, in June 2018, the company informed everyone about the resignation by the co-founders from the company’s board. This took place when Shah and Agarwal backed out from their respective roles.

Brian Hayes, Assistant U.S. Attorney and chief of the criminal division for the Northern District of Illinois stated last month, “The deception alleged to have been committed by the defendants tricked clients into paying for advertising it failed to deliver and served to falsely inflate the value of Outcome Health.”

The allegations have been taken very seriously and SEC has filed the charges too against these four convicts.

Shah and Agarwal have been scheduled for their appearance in the court on Dec. 16.