Jordanian officials apprehend a relative of the King of Jordan and three individuals for involvement in a $1M insider-trading scheme

Authorities have accused four individuals, including a relative of the King of Jordan, of collaborating to engage in insider trading regarding a company acquired by one of South Florida’s prominent publicly traded companies, MasTec. The individuals charged are Federico Nannini, 26 years old; his father Mauro Nannini, 63 years old; along with their friends Alejandro Thermiotis, 26 years old; and Francisco Tonarely, 25 years old. They were arrested on Friday and are facing charges of conspiracy to commit securities fraud and 24 related offenses, as reported by The Miami Herald.

Thermiotis, a relative of the King of Jordan, is known for being the brother of Jameel, who married Princess Iman, the daughter of King Abdulla, last year. The Jordanian Royal Palace did not provide any comment on the situation. The defendants allegedly shared confidential information within their close circle of family and friends to buy shares at a lower price. They were able to make a profit of $1 million after the information became public.

The U.S. Attorney’s Office for the Southern District of Florida issued an indictment outlining the scheme. Federico Nannini, a consultant for MasTec, began sharing confidential information about MasTec’s acquisition of Infrastructure and Energy Alternatives, a company based in Indiana, with his father Mauro Nannini and friend Thermiotis. MasTec is an engineering and construction company in Coral Gables, Florida, offering infrastructure services for energy, utility, and communications industries.

The close relationship between Federico Nannini, Thermiotis, and Tonarely, who attended school together in Florida, led to the sharing of insider information. Mauro Nannini reportedly purchased shares in Infrastructure and Energy Alternatives after his son gained access to financial details of the proposed MasTec acquisition. Thermiotis also shared the confidential information with Tonarely as the acquisition progressed.

Federico Nannini continued updating his father and Thermiotis throughout the acquisition process. In response, Thermiotis informed Tonarely about the insider information. The indictment revealed that Mauro Nannini sold his IEA stock when doubts about the acquisition arose, only to repurchase the shares once confirmation of the acquisition surfaced. When MasTec’s acquisition of IEA was made public, the defendants sold their shares and options for a profit.

The accused are facing severe penalties if convicted, with a conspiracy to commit securities fraud carrying a sentence of up to five years in prison, while the related securities fraud charges carry maximum penalties of 20 to 25 years of imprisonment.