CEO Rishi Kapoor Sentenced in $89 Million Fraud
The former head of Location Ventures received a 136-month prison sentence for money laundering and tax conspiracy.
Updated on Oct. 1, 2026 in Financial Crime
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Rishi Kapoor, the former CEO of Location Ventures, was sentenced to 136 months in federal prison for defrauding investors of approximately $89 million. Kapoor pleaded guilty to charges including money laundering and conspiracy to fail to pay $1.3 million in payroll taxes.
Why it matters
Kapoor diverted millions in investor funds to finance a lavish personal lifestyle while misleading escrow agents to access pre-construction deposits. The case highlights significant oversight failures regarding investor protections in the Miami development market.
Kapoor received a 136-month federal prison sentence following his guilty plea. The SEC previously obtained an asset freeze against the former executive in January 2024.
The players
Rishi Kapoor
He is the former chief executive officer of the real estate firm Location Ventures.
K. Michael Moore
He is the federal judge who presided over the case and issued the sentence in Miami.
Location Ventures
This is a real estate development firm that operated projects across Miami and South Florida.
Securities and Exchange Commission
This federal agency is responsible for protecting investors and maintaining fair markets.
The details
Kapoor used fraudulent misrepresentations to secure the release of condominium deposits, diverting the cash to purchase a 68-foot yacht, a 2.8-carat diamond ring, and a $5.9 million residence in Cocoplum. He also falsified his own financial involvement, claiming to have invested $13 million into the business while secretly withdrawing over $6 million in company funds between 2018 and 2023.
Timeline
Between 2018 and 2023, Kapoor diverted more than $6 million from Location Ventures.
The SEC filed a civil action against Kapoor in December 2023.
An asset freeze was obtained by the SEC in January 2024.
On October 1, 2026, Kapoor was sentenced to 136 months in prison.
Legal Context
This case follows the precedent set by the SEC's 2024 asset freeze of Location Ventures, marking a transition from civil enforcement to criminal incarceration. The lengthy prison term reflects a hardening stance against executive-led financial schemes in the South Florida development market.
Local residents and investors impacted by the firm's projects in Coral Gables, Coconut Grove, and Miami Beach may now see the recovery process transition into court-ordered restitution. The case serves as a warning for those monitoring the integrity of pre-construction development deals in the Miami area.
The takeaway
Investors in development projects should verify the financial transparency and actual capital investment of project principals before committing funds. Thorough due diligence regarding escrow handling procedures can prevent the misuse of deposits in high-stakes real estate ventures.
Further reading
For more background on regional white-collar cases, see our coverage of Financial Crime.
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