WASHINGTON, April 18 (Reuters) - The chief executive of a Chicago-based investment advisory firm will pay a penalty to settle civil charges alleging he defrauded the California Public Employers' Retirement System, federal securities regulators said on Thursday.
Mesh Tandon, the head of Simran Capital Management, neither admitted nor denied the findings by the U.S. Securities and Exchange Commission. The SEC said he will pay $121,698 in penalties, interest and disgorgement of ill-gotten gains.
The SEC said that Tandon misled CalPERS when he told the pension fund that his firm satisfied its minimum assets under management requirements - a key metric used by CalPERS when screening for prospective advisers. He allegedly claimed to manage at least $200 million, but in fact was only managing $80 million.