Acting U.S. Attorney Patrick D. Robbins called it “science fiction” after a federal jury convicted Ramesh Kris Nathan for orchestrating a fraudulent scheme involving a fake space technology company. Nathan, 43, was found guilty of six counts of wire fraud and two counts of money laundering following an eight-day trial.
Nathan founded Relativity Research Fund, Inc., a company that purportedly focused on advanced technologies such as prototype spacecraft, space propulsion systems, and robotics. Despite having a San Francisco bank account, the company had very little else. However, Nathan convinced investors that their funds would drive future developments and trading on the Nasdaq Private Market.
“Ramesh Nathan spun fantastic tales about space travel technology and advanced robotics to entice investors into funding his company, but all he had to offer was science fiction,” Robbins said. “He deceived his investors, many of whom were veterans, about a nonexistent business.”
The scheme began when Nathan made exaggerated claims on the company’s website, in promotional materials, and through emails. He misled investors with stories of vast capital investments, thousands of employees worldwide, and billions of dollars in projected profits. Nathan used the money raised to finance personal expenses and transfer funds to his mother and then-girlfriend.
The fraudulent operation was carried out with the help of an intermediary who helped spread Nathan’s lies to unsuspecting investors, many of whom were veterans.
Nathan faces up to 20 years in prison for each count of wire fraud and up to 10 years for each count of money laundering. His sentencing is scheduled for June 13.
