The attorney who represents the bankruptcy trustee overseeing incarcerated former Miami (Fla.) booster Nevin Shapiro's defunct investment company said Wednesday that athletes who received gifts and cash from Shapiro could be facing lawsuits if they don't volunteer to repay the trustee.
Money or gifts bestowed upon players as a result of the Ponzi scheme involving Shapiro's Capitol Investments USA are viewed as fraudulent under bankruptcy law.
"The trustee, Joel Tabas, was appointed by the Justice Department to oversee the case," Miami attorney Gary Freedman said. "We have fiduciary duties to investigate these claims and, if we think we have an obligation, to try to recover them. It's not our intention to cause these athletes any further tension or embarrassment. I would prefer they reach out to me to try to resolve the claims without a lawsuit."
Shapiro told Yahoo! Sports he provided impermissible benefits to at least 72 athletes from 2002 to '10. Among them are NFL players Willis McGahee, Vince Wilfork and Jonathan Vilma.
The Miami case is not the only one involving a Ponzi scheme affecting sports.
A Manhattan federal appeals court ruled this week that New York Mets owners Fred Wilpon and Saul Katz could have to turn over at least $300 million to Irving Picard, the trustee who is trying to recoup money from the Ponzi scheme orchestrated by Bernie Madoff. Wilpon and Katz have agreed to sell part of the team to raise the money.
Source: http://rssfeeds.usatoday.com/~r/UsatodaycomCollegeMensBasketball-TopStories/~3/npQaK1IMjSs/1
No comments:
Post a Comment