Mobileum Execs Charged With Securities Fraud

Former CFO Andrew Warner and CDO Kishore Vangipuram accused of inflating company's value to secure lucrative PE sale

Published on Feb. 22, 2026

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Two former executives of private equity-backed telecom firm Mobileum Inc. have been charged with conspiracy to commit securities and wire fraud. The U.S. Attorney for the Southern District of New York alleges that ex-CFO Andrew Warner and former Chief of Delivery Kishore Vangipuram inflated Mobileum's financial metrics in 2021 to deceive an investment firm into overpaying for the business in a $915 million private equity transaction.

Why it matters

This case highlights the risks of fraud and misrepresentation in private equity deals, where information asymmetry and lack of transparency can enable executives to artificially inflate a company's value. The alleged scheme at Mobileum resulted in the investment firm H.I.G. Capital overpaying, and the company eventually declaring bankruptcy in 2024 after the fraud was uncovered.

The details

According to the indictment, Warner and Vangipuram falsified Mobileum's financial data, including inflating billable hours and creating fake invoices, in order to portray the company as experiencing robust growth and operational efficiency. This allowed them to secure a lucrative sale price from Audax Group to H.I.G. Capital in 2021. After the sale, the executives continued their alleged fraud by instructing employees to reduce their work efforts to make projects appear closer to completion than they actually were.

  • In 2021, Warner and Vangipuram allegedly inflated Mobileum's financials to secure a $915 million sale to H.I.G. Capital.
  • Following the sale, the executives continued the fraud by creating fake invoices and telling employees to reduce their work efforts.
  • In 2024, Mobileum declared bankruptcy after H.I.G. Capital discovered the fraud scheme.

The players

Andrew Warner

Former Chief Financial Officer of Mobileum Inc. who is accused of conspiring to commit securities and wire fraud.

Kishore Vangipuram

Former Chief of Delivery at Mobileum Inc. who is accused of conspiring with Andrew Warner to commit securities and wire fraud.

Mobileum Inc.

A private equity-backed telecom firm that was the target of an alleged fraud scheme by its former executives.

Audax Group

The private equity firm that sold Mobileum to H.I.G. Capital in 2021 for $915 million.

H.I.G. Capital

The private equity firm that acquired Mobileum in 2021 and later discovered the alleged fraud scheme, leading to Mobileum's bankruptcy in 2024.

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What they’re saying

“We must hold accountable those who seek to defraud investors and enrich themselves through lies and deceit.”

— Damian Williams, U.S. Attorney for the Southern District of New York (Press Release)

What’s next

The case against Andrew Warner and Kishore Vangipuram will proceed in the U.S. District Court for the Southern District of New York, where a judge will determine their sentencing if they are found guilty.

The takeaway

This case underscores the importance of rigorous due diligence and transparency in private equity transactions, as well as the need for strong oversight and accountability to prevent corporate fraud and protect investors.