Federal authorities, specifically the FBI, have identified Izunna Okonkwo, the 30-year-old co-founder of the tech startup Pastel and a 2023 Forbes 30-under-30 recipient, as a person of interest in a significant financial crime operation. Court documents obtained by Peoples Gazette indicate the scheme involved insider trading and money laundering that generated at least $41 million in illegal profits over a five-year period.
Okonkwo, a Stanford graduate, is alleged to have profited from trading various stocks and securities using Material Non-Public Information (MNPI). This confidential data originated with Gyunho Justin Kim, an investment banker at Citibank, who reportedly passed it to his associate, Saad Shoukat (an American-Pakistani). Shoukat then allegedly supplied the information to Okonkwo and other co-conspirators.
The scheme allegedly operated through a network dating back to 2018, where Kim and Shoukat shared sensitive financial intelligence regarding upcoming corporate acquisitions. Okonkwo, who was reportedly aware of the illicit nature of the gains, is even accused of offering to help Kim find new employment to ensure the continuance of their scheme.
Kim gained access to this confidential information while working at Citibank’s San Francisco Investment Group, as the bank served as an advisor in these corporate transactions. FBI filings suggest Okonkwo used encrypted messaging applications to coordinate trades and communicate with both Kim and Shoukat.
Okonkwo and Shoukat formalized their illicit arrangement in writing, guaranteeing Okonkwo 50% of the profits derived from trades executed using his brokerage accounts and ensuring his continued access to the MNPI.
The scheme encompassed several major corporate takeovers, including Gilead’s $21 billion acquisition of Immunomedics in 2020, Amgen’s $1.9 billion purchase of Five Prime in 2022, Pfizer’s $5.4 billion takeover of GBT, and a separate purchase by AbbVie of Immunomedics. The conspirators repeatedly reaped rewards from these deals, with Okonkwo personally netting millions and his relatives also receiving financial benefits.
FBI tracking revealed that logins to Okonkwo’s brokerage accounts were traced to a London residence—the same location where Shoukat also executed trades. For instance, before Gilead announced its purchase of Immunomedics, Okonkwo had already secured $2.3 million, while a relative earned $465,299. Subsequent insider trades further increased Okonkwo’s overall illicit earnings.
Okonkwo co-founded Pastel (originally Sabi Cash) in 2021 with fellow Stanford graduates, Olamide Oladeji and Abuzar Royesh. The startup, which provides offline software for businesses, was hailed as a rising African tech venture, having raised over $6 million by 2023.
Federal prosecutors informed U.S. Magistrate Judge Michael A. Hammer that the total illicit profit generated by Okonkwo, Shoukat, and others is at least $41 million. Banker Kim is already facing multiple charges, including insider trading, wire fraud, and money laundering.
Okonkwo, a dual Nigerian-American citizen, operates Pastel from both Nigeria and Atlanta. As of now, it is unclear whether he has been apprehended. Both Pastel’s spokesperson and Okonkwo have declined to comment on the ongoing FBI investigation.
