Federal regulators and New York prosecutors have closed in on a Manhattan investment adviser they say ran a bogus pre‑IPO play built around defense contractor Anduril, leaving local investors out more than $10.5 million. The Securities and Exchange Commission this month filed a settled civil case against Giovanni Pennetta, who had already pleaded guilty in a related criminal prosecution and was sentenced in June.
SEC files civil complaint
On June 22, 2026, the SEC lodged a complaint in the U.S. District Court for the Southern District of New York, alleging that Pennetta persuaded at least six investors to put more than $10.5 million into NextGenTech Investments LLC, which he managed through Sestante Capital LLC, for what he pitched as pre‑IPO access to Anduril shares. According to the SEC, the fund never actually purchased the stock, and Pennetta agreed to the complaint being filed and to be permanently enjoined from violating the securities laws.
Criminal case and sentence
In a parallel criminal case, Pennetta pleaded guilty on March 5 to a single count of wire fraud and, on June 9, was handed a four‑year prison term, the U.S. Attorney’s Office for the Southern District of New York said. Prosecutors said he diverted more than $10 million of investor funds to cover personal expenses. The court also ordered roughly $11.9 million in restitution and about $12.5 million in forfeiture. “Falsely promising access to sought‑after pre‑IPO shares is fraud,” U.S. Attorney Jay Clayton said in the office’s release.
What the SEC complaint alleges
The SEC’s civil filing describes conduct from February 2021 through December 2025, alleging that Pennetta told investors he, or entities he controlled, owned or could tap private Anduril shares and then sold interests in NextGenTech tied to that story. Instead, regulators say none of the money went toward buying the promised stock and that he misappropriated more than $6.2 million for personal use and to pay back an investor from a separate deal, as laid out in the SEC complaint.
The civil settlement and remedies
Pennetta has agreed to the entry of a judgment that would permanently bar him from violating federal securities laws and from taking part in future securities offerings. The court will decide later whether to impose disgorgement, prejudgment interest, or a civil monetary penalty. For additional context on the settlement, see reporting from Barron's.
Why this matters for pre‑IPO investors
Regulators have long warned that pre‑IPO deals are ripe territory for scams, especially when investments are unregistered or land in an inbox out of the blue. The SEC’s investor education office flags “guaranteed” returns and supposed “exclusive access” as classic trouble signs and urges investors to conduct their own research before wiring a dollar, according to Investor.gov.
What victims can do
People who believe they were caught up in the scheme may qualify for restitution through the criminal case and can also consider filing complaints with the U.S. Attorney’s Office in Manhattan or through the SEC’s enforcement tip lines. The Justice Department’s press release includes contact information and instructions for victims, according to the U.S. Attorney’s Office.
Hoodline first reported on Pennetta’s arrest in December 2025; this update reflects both the SEC’s civil action and the June criminal sentencing. See our earlier coverage on Pennetta's December 2025 arrest.
