Rishi Shah (born 1986) is an American businessman convicted of fraud and a former chairman and CEO of

Outcome Health Outcome Health is a Chicago-based healthcare technology company founded by Rishi Shah. Its registered name is ContextMedia Health LLC. It is majority owned by Littlejohn & Co., a private equity firm. Its founders were indicted and convicted by a ...

, which he co-founded.

Early life

Rishi Shah was born in 1986 in Oak Brook, Illinois, the son of Sonal Shah and her husband Dr Upendra Shah, an

endocrinologist Endocrinology (from ''endocrine'' + '' -ology'') is a branch of biology and medicine dealing with the endocrine system, its diseases, and its specific secretions known as hormones. It is also concerned with the integration of developmental events ...

. He was educated at

Hinsdale Central High School Hinsdale Central High School, or HCHS (locally referred to as simply "Central") is a public four-year high school located at the corner of W. 55th St. and S. Grant St. in Hinsdale, Illinois, a western suburb of Chicago, Illinois, in the United ...

and

Northwestern University Northwestern University is a private research university in Evanston, Illinois. Founded in 1851, Northwestern is the oldest chartered university in Illinois and is ranked among the most prestigious academic institutions in the world. Charte ...

, but dropped out to start a business career.

Career

Shah developed a business plan for ContextMedia at Northwestern with classmates Derek Moeller and Shradha Agarwal in 2006 to distribute health educational content to doctors' offices and waiting rooms monetized by ad revenue from pharmaceutical companies. ContextMedia grew revenues 2,965% from 2010 to 2015 to $63.5 million with Shah as CEO, ranking it as the 6th fastest-growing private company in Chicago in 2016. In 2017, ContextMedia rebranded itself as

. In May 2017, Outcome Health raised over $500 million from investors led by Goldman Sachs,

CapitalG CapitalG (formerly Google Capital) is the independent growth fund under Alphabet Inc. Alphabet Inc. is an American multinational technology conglomerate holding company headquartered in Mountain View, California. It was created through a r ...

, and

Pritzker Group The Pritzker family is an American family engaged in entrepreneurship and philanthropy, and one of the wealthiest families in the United States of America (staying in the top 10 of ''Forbes'' magazine's "America's Richest Families" list since the ...

at a $5.6 billion valuation. This is the largest single funding round since

Groupon Groupon is an American global e-commerce marketplace connecting subscribers with local merchants by offering activities, travel, goods and services in 13 countries. Based in Chicago, Groupon was launched there in November 2008, launching soon af ...

in 2011, when it raised $950 million in its fifth funding round. In 2017, ''

Forbes ''Forbes'' () is an American business magazine owned by Integrated Whale Media Investments and the Forbes family. Published eight times a year, it features articles on finance, industry, investing, and marketing topics. ''Forbes'' also r ...

'' estimated Shah's net worth at $3.6 billion based on his 80% stake in Outcome Health. Investors in Outcome Health sued the company, Shah, and Agarwal in November 2017, claiming fraud and breach of contract. This followed a

Wall Street Journal ''The Wall Street Journal'' is an American business-focused, international daily newspaper based in New York City, with international editions also available in Chinese and Japanese. The ''Journal'', along with its Asian editions, is published ...

investigation published in October 2017 alleging that Outcome Health misled advertisers with manipulated information. In January 2018, Outcome Health announced that the lawsuit has been settled, with the founders reinvesting $159 million of their $225 million investment dividends back into the company. Shah resigned as Chairman and CEO as part of the settlement.

Legal

In November 2019, Shah and coworkers were charged for their alleged roles in a fraud scheme that targeted the company’s clients, lenders and investors, and involved approximately $1 billion in fraudulently obtained funds. On April 11, 2023, Shah and two other Outcome Health executives were convicted and found guilty of multiple counts of committing fraud. Shah was found guilty of five counts of mail fraud, 10 counts of wire fraud, two counts of bank fraud, and two counts of money laundering.

Early life

Career

Legal

References

See also