Four people were arrested Thursday and charged with collectively defrauding four professional men’s basketball players out of more than $13 million, according to Damian Williams, the United States Attorney for the Southern District of New York.
In one scheme, three players were allegedly persuaded to purchase more than $5 million worth of life insurance policies at an enormous markup. In another, a fourth player spent $7 million to buy a women’s professional basketball team, but prosecutors said the money never went toward a purchase. In the third scheme, a player spent $1 million to fund a player representation agency that never existed, according to the indictment.
“These defendants believed that defrauding their professional athlete clients of millions of dollars would be a layup,” Williams said in a statement. “That was a huge mistake, and they now face serious criminal charges for their alleged crimes.”
Darryl Cohen, Brian Gilder, Charles Briscoe and Calvin Darden Jr. were each charged with one count of wire fraud and one count of conspiracy to commit wire fraud. Each charge carries a maximum sentence of 20 years in prison.
Cohen, who was formerly a broker at Morgan Stanley, was also charged with one count of investment adviser fraud. Briscoe, who was formerly a…
