The FBI has named Izunna Okonkwo, a celebrated Nigerian tech entrepreneur and Forbes 30-under-30 honoree, as a key figure in a massive insider trading and money-laundering scheme that allegedly raked in $41 million over five years. According to filings reviewed by Peoples Gazette, the Pastel co-founder is now listed as a “person of interest” and alleged co-conspirator in a network that secretly traded on non-public corporate information.

How the Insider Network Was Formed

Okonkwo, who studied at Stanford University, reportedly got involved through information passed down from investment banker Gyunho Justin Kim to his college friend, Saad Shoukat. Kim and Shoukat met as interns in 2018 and later slipped into illegal collaboration when Kim began sharing confidential acquisition intel. Shoukat then allegedly passed those insider tips to Okonkwo and others. Okonkwo and Shoukat had also met in college, making the information pipeline easy and trusted.

By this time, Okonkwo knew exactly where the insider info was coming from and even suggested helping Kim secure a new job after years of benefiting from his leaks. Kim worked in Citibank’s Investment Group in San Francisco, giving him access to sensitive acquisition intelligence long before the information ever became public.

The Playbook: Encrypted Chats, Secret Agreements, and Big Profits

Court documents reveal that Okonkwo and Shoukat struck a written agreement giving Shoukat the right to trade through Okonkwo’s brokerage accounts. In return, Okonkwo would pocket 50% of all profits. Their conversations reportedly happened over encrypted messaging apps, especially around major deals like Reata, Immunomedics, and others.

One notable example: when Citibank began advising Gilead on acquiring Immunomedics in 2020, Kim allegedly leaked the info almost immediately. By early July 2020, Okonkwo, Shoukat, and other associates were already buying huge stock positions before the news went public. The FBI later traced logins to Okonkwo’s account back to a London residence he owned, where Shoukat was also staying during some of the trades.

When the Immunomedics deal was finally announced for $21 billion, the group collectively walked away with millions. Okonkwo alone made $2.3 million from that single deal, and even his relative gained nearly half a million dollars.

A Pattern Across Multiple Big-Money Buyouts

This wasn’t a one-off. The filings say Okonkwo repeatedly bought stocks right after Kim joined acquisition teams at Citibank. For example:

• Five Prime (2022): Okonkwo made about $166,000.

• Sierra (GSK deal): He gained around $370,000.

• GBT (Pfizer deal): He allegedly earned $3.5 million, one of his largest single hauls.

• Reata (Biogen deal, 2023): He received $4.7 million.

• Immunogen (AbbVie deal, 2023): Another $2.9 million landed in his account.

Meanwhile, Shoukat reportedly cleared $5 million from the GBT deal alone.

Interestingly, only days after Okonkwo’s $3.5 million profit from the GBT trade, his startup Pastel publicly announced raising $5.5 million in seed funding—an announcement that now puts the timing under scrutiny.

Pastel’s Rising Profile and Forbes Recognition

Okonkwo co-founded Pastel (formerly Sabi Cash) in 2021 alongside his Stanford colleagues Olamide Oladeji and Abuzar Royesh. The startup became known for building offline-friendly tools to help small businesses manage operations. Forbes spotlighted the founders in its 2023 “30 Under 30” list, celebrating their success after raising over $6 million and reaching 120 businesses.

However, the glowing reputation now clashes with federal court allegations positioning Okonkwo at the center of a multi-year illicit trading scheme.

Where Things Stand Now

Federal prosecutors told U.S. Magistrate Judge Michael A. Hammer that the insider ring—including Okonkwo, Shoukat, Kim, and others—generated at least $41 million in total illegal profit. Kim is already facing six counts, including insider trading, wire fraud, and money laundering.

It remains unclear whether Okonkwo has been arrested. The indictment describes him as a dual Nigerian-American citizen operating between Lagos and Atlanta. His Pastel office listing shows activity in Yaba, Lagos, while he also maintained a workspace in Atlanta during his startup’s early days.

Attempts to reach Okonkwo for comment were unsuccessful, and a spokesperson for Pastel declined to speak on the matter.