Former Fry’s Electronics executive files for bankruptcy

SAN JOSE, Calif. (AP) -- A former Fry's Electronics executive accused of embezzling millions of dollars to cover gambling debts has filed for bankruptcy, listing nearly $137 million in debt.

Ausaf Umar Siddiqui owes about $20 million to Las Vegas casinos and also has outstanding debts at casinos in Connecticut and Britain, according to his July 13 bankruptcy filing in San Jose, Calif. The amount of money he owes to the casinos in Connecticut and Britain are listed as unknown.

He was once considered a Vegas high-roller who reportedly demanded casino employees leave golden raisins and bottles of Dom Perignon in his room.

The Internal Revenue Service charged him in 2008 with embezzling $65 million dollars by forcing vendors to pay kickbacks in order to ensure their products were stocked on Fry's shelves. A revised indictment charged him with nine felony counts of wire fraud and money laundering totaling $6 million. He has pleaded not guilty.

Siddiqui also owes money to at least five Fry's vendors, according to the bankruptcy filing. He also faces $15 million in state tax liens.

"We're not surprised that he would have filed for bankruptcy," said attorney Robert Rivas, who represents two of the creditors with claims against Siddiqui,