Ganesh H. Betanabattla, formerly managed private equity funds through his now-defunct Houston-based company, Ramas Capital Management, LLC. He has agreed to settle charges brought by the U.S. Securities and Exchange Commission (SEC).

The SEC alleges that Betanabattla defrauded three issuers by promising to purchase $263.5 million worth of securities on behalf of investment funds he managed, despite neither he nor the funds having the necessary capital for the investments.

According to the SEC's complaint filed in a Nebraska federal court, Betanabattla concealed the fact that the funds he claimed to manage lacked the capital for investments by falsifying key documents and emails he provided to issuers, falsely telling one issuer there was $500 million ready to invest.

The $263.5 million Betanabattla promised was not funded, leaving the issuers to cover the shortfall they thought had been secured. As alleged, the two defrauded issuers were special purpose acquisition companies (SPACs), and the third was a private company.

Betanabattla neither admitted nor denied the SEC's allegations but agreed to entry of a final judgment, subject to court approval, permanently enjoining him from violating the antifraud provisions of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, ordering him to pay a civil penalty of $250,000, and imposing a five-year officer and director bar.