Silver Law Group Investigates – Former NFL Player Charged in $32 Million Ponzi Scheme Involving Loans to Professional Athletes
Boca Raton, Florida – April 9, 2015 (GLOBE NEWSWIRE) – Silver Law Group (www.silverlaw.com) is investigating claims against a former professional football player and his business partner for allegedly defrauding investors out of millions of dollars in a $32 million Ponzi scheme that bilked investors who were promised profits from loans to professional athletes.
According to charges filed by the Securities and Exchange Commission (SEC), former professional football player William (“Will”) D. Allen — who played in the NFL with the New York Giants, Miami Dolphins, and New England Patriots and who now resides in Davie, Florida — and his business partner, Susan C. Daub — a financial professional formerly of Acton, Massachusetts who now lives in Coral Springs, Florida — claimed to make loans to professional athletes who were short of cash in the off-season or early in the season. Allen and Daub allegedly told investors that they could profit by funding the loans and receive interest of up to 18 percent paid by the athletes. Under that framework, Allen and Daub raised nearly $32 million from investors while advancing only $18 million in loans to athletes. Allen and Daub used money from some investors to pay other investors — the hallmark of a Ponzi scheme — while purportedly using some investor funds to pay for their own personal expenses, such as charges at casinos, nightclubs, and pawn shops; or to fund other business ventures including Florida-based Capital Financial Partners Enterprises LLC; and Boston-based Capital Financial Partners LLC and Capital Financial Holdings LLC.
As alleged by the SEC, Allen and Daub misled investors about the terms of some of the loans through the use of false paperwork and, in one instance, purportedly falsified the existence of one of the loans. According to the SEC, 24 of Allen and Daub’s investors collectively contributed nearly $6 million toward a purported loan to a National Hockey League player. Although the player is real and the money was collected from the investors, no documentation corroborates that any such loan in that amount ever existed.
If you have been the victim of investment fraud or have been misled by a financial professional trusted with an investment of yours, you might have the grounds upon which to assert a claim to recover your losses. Silver Law Group is a nationally-recognized securities law firm headquartered in South Florida, with satellite offices in New York and Washington, DC, representing investors worldwide with their claims for losses due to financial misconduct and consumer fraud. Scott L. Silver and David C. Silver both have Martindale-Hubbell® Peer Review Ratings™ of “AV” Preeminent for achieving the highest ethical and legal standards. The firm has successfully recovered multi-million dollar awards for its clients through arbitration and the courts. To contact Scott L. Silver to discuss your legal matter, call toll-free (800) 975-4345 or e-mail him at SSilver@silverlaw.com.