NEW YORK (AP) — A New York hedge fund founder has been arrested on charges that he exaggerated his company's performance by over $200 million to impress investors.

Anilesh Ahuja, of Manhattan, was arrested Wednesday. He is the founder, chief executive officer and chief investment officer of the investment firm Premium Point Investments LP.

A former portfolio manager and former trader at the firm were also charged. A lawyer for Ahuja did not immediately comment.

Federal prosecutor Audrey Strauss says Ahuja inflated the value of the firm's securities holdings to improve his company's position against competitors. She said it enabled the firm to appear more attractive to potential investors and to dissuade current investors from going elsewhere.

Authorities say the fraud occurred from 2014 through 2016.