Feb 3, 2013; New Orleans, LA, USA; San Francisco 49ers tight end Vernon Davis (85) speaks to the media after losing Super Bowl XLVII against Baltimore Ravens at the Mercedes-Benz Superdome. Mandatory Credit: Kirby Lee-USA TODAY Sports

Report: Federal investigators probing alleged $18 million scam that involves NFL and NBA players

A report surfaced on Wednesday night that federal investigators are looking to speak with a number of athletes in the NFL and NBA that may have been caught up in an $18 million scam. According to Yahoo! Sports, the U.S. Department of Justice, the FBI and the U.S. Securities and Exchange Commission are urging athletes to contact them because of some potentially fraudulent high interest investments from Jade Management.

Jade Management came under fire from the Financial Industry Regulatory Authority (FINRA) last week after the fraudulent and unregistered promissory notes were sold.

Per the Yahoo! Sports report:

During an 18-month investigation, Yahoo! Sports identified multiple athletes that purchased promissory notes from Success Trade. Among them were Detroit Pistons guard Brandon Knight, Cleveland Browns cornerback Joe Haden, San Francisco 49ers tight end Vernon Davis, former Washington Redskins running back Clinton Portis and former Chicago Bears defensive end Adewale Ogunleye.

It is Jade Management’s involvement with Success Trade that sparked the interest and fraudulent activity, so we will have to see what comes of these allegations. This is certainly just the beginning of the story and the athletes who were caught up in the scam should speak with authorities so that they can get to the bottom of the scam.

Tags: NBA NFL

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