Billionaire Joe Lewis' habit of tipping off staff and lover lands him in court
On the edge of Lago Escondido in Argentina’s northern Patagonia, at the foot of snow-capped mountains, lies British billionaire Joe Lewis’ sprawling property. He frequently uses the luxurious estate to entertain public officials and employees handpicked from the top ranks of Lewis’ investment firm and other companies that the 86-year-old has an interest in.
During one visit in 2006, more than a dozen businessmen went horseback riding and fishing and admired what appeared to be Picasso’s Le Reve and two versions of the Women of Algiers on the walls of Lewis’ villa, photos obtained by Bloomberg show. Trips like these, where Lewis’ generosity and wealth are on display, are partly how the prolific investor has cultivated loyalty and respect among his closest advisers, trusted employees and powerful figures over decades.
But more than 15 years after that Argentina jaunt, Lewis’ habit of giving lavish perks to employees and associates has landed him in legal turmoil. He pleaded guilty in federal court in Manhattan Wednesday to charges that he gave his longtime private pilots and a romantic partner non-public inside information for stock trades.
“While I possessed material non public information about certain publicly traded companies, I agreed to make recommendations” to other people to purchase stock, Lewis told U.S. District Judge Jessica Clarke at a hearing. “I knew at the time what I was doing was wrong, and I’m so embarrassed.”
The plea deal will likely drastically reduce any sentence for Lewis, who faced as long as 45 years in prison. His lawyer, David Zornow, said that Lewis waived his right to appeal unless he is sentenced to jail time.
Lewis, who was indicted last year, admitted he passed on market-moving information
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