Ex UGA FB Coach Donnan Indicted In Ponzi Scheme

Former UGA head football coach Jim Donnan and a business associate have been indicted on an 85-count grand jury decision over a Ponzi scheme. Donnan and Gregory Crabtree of have been charged with conspiracy, mail fraud and wire fraud, unlawful transportation of interstate securities, and money laundering.

Donnan was supposed to appear in court today to answer the indictment.

Donnan and Crabtree ran a West Virginia-base company called GLC Holdings that dealt, mainly, in closeout merchandise. Crabtree operated the business and Donnan recruited investors that he allegedly told would get a return on their investment of somewhere from 50-to-200 percent (or, in some reports upwards of 380-percent). Donnan used his star power to recruit sports figures to invest. Some of them included Dennis Franchione, Barry Switzer, Frank Beamer, and Tommy Tuberville.

Between September 2007 and October 2010, the indictment claims the two raised more than $81 million from 94 investors.

In February 2011, GLC was forced to file a voluntary bankruptcy petition. Donnan his wife had to file a personal bankruptcy claim with a reported $40-million debt given to creditors. A bankruptcy court approved a plan for the Donnans to address their debt repayment.

Here's how it was talked about at the time of the indictment...
((HT: 11Alive.com))

Miami On Notice With NCAA

((HT: WSVN-TV))

Miami's athletics program is now on the clock with the NCAA and they now have 90 days to respond to the letter of allegation set forth by the NCAA in their investigation in and around Nevin Shapiro...

Those words "lack of institutional control" are being bandied about...

And President Donna Shalala thinks the school has been punished enough and punished itself enough...

Thanks for that thought, Madame President...

You can't punish yourself... unless you really wanted your football team to go to the Belk Bowl...

In addition to the alleged 72 athletes Shapiro claims benefited in the football program, former head men's basketball coach Frank Haith has been named as part of the deal. He did address the letter after his win over Virginia:

"There was no unethical conduct in my notice of allegation," Haith said. "And it is just an allegation, so we get a chance to defend ourselves."

Haith is alleged of failing "to promote an atmosphere for compliance," a charge specific to how he handled things when Shapiro allegedly wanted money in exchange for not going public with accusations that he paid to help the Hurricanes recruit a player.

So, there's that...

Here's Steve Shapiro...with that and highlights...
WSVN-TV -

President Shalala wrote a rather lengthy rebuttal to the NCAA's allegations, saying in part:

"Despite their efforts over two and a half years, the NCAA enforcement staff could not find evidence of prostitution, expensive cars for players, expensive dinners paid for by boosters, player bounty payments, rampant alcohol and drug use, or the alleged hundreds of thousands of dollars in cash and gifts given to student-athletes, as reported in the media. The fabricated story played well -- the facts did not."

The whole response can be found hyah, thanks again to WSVN...

Former UGA Coach now facing Federal Fraud Charges

Jim Donnan

((ht: ajc.com))

Jim Donnan, apparently everyone hardly new ya.

The former University of Georgia head coach and briefly ESPN analyst who actually made it to the College Football  Hall of Fame (who knew?) is now facing a slew of Federal Fraud Charges after being officially tied to a Ponzi scheme. The charges were announced by the SEC (No, not the football conference) in an announcement Thursday.

He is accused of trying to bring multiple coaches and players he had ties to into the scheme, some of whom did and some who lost a lot of money.

Read more from AJC.com RIGHT HERE

In June, we reported Donnan had settled bankruptcy claims with the company he appears to have helped create to start the scheme in the first place.

You can read that story RIGHT HERE

The whole issue came to light back in 2011 when Donnan filed for bankruptcy. It was then, auditors discovered he owed a ton of money to the GLC Corporation. Investigators would later find out that he was a partner in that business and had sunk money in thinking he could create profitable returns for he and other investors.

Read the initial story we filed RIGHT HERE

Needless to say and without judging Donnan's innocence or guilt, you won't be seeing him on a coaching sideline...probably ever again. And if the allegations are proven to be true, he stands a chance of ending up in jail.

Certainly a turn nobody could predict for a guy who had a pretty decent run as a coach before his firing at UGA. But...as the saying always goes, "You never really know about someone...until you know".

Donnan Settles Ponzi Scheme

((HT: CFT/AP))

We've talked about the alleged Ponzi scheme that former college football analyst Jim Donnan has been embroiled in since July of 2011...

As seen here from the state of Ohio, the settlement in the state of Ohio, and how it seemed to travel (or trickle) down to the state of Georgia.

Donnan, the former UGA coach, has agreed to a bankruptcy settlement with GLC Limited- which used to be known as GLC Entertprises wehn this whole thing started.

If the deal is signed off on, Donnan repays a little over US$7-million to GLC, which says it’s owed almost twice that. Donnan has agreed to repay 80 percent of the losses of investors he recruited for GLC- which included coaches, both current and retired like Barry Switzer, Dennis Franchione, Frank Beamer and Tommy Tuberville. Investors, both known and unknown claim Donnan owed them about $27 million.

A hearing is scheduled for July 19th to see if all parties and a judge will sign off on all of this.

Here's a refresher from Joyce Oscar and the Southern Free Press...

DEVELOPING: R Allen Stanford Found Guilty in 13 of 14 Charges

((HT: MyFoxHouston))

Financier R. Allen Stanford has been convicted on 13 of 14 charges in the alleged Ponzi scheme where he bilked investors out of as much as US$7-billion over a 20 year period.

He was once regarded as one of the most wealthy people in the country, but had to have court-appointed attorneys argue his case since his assets are seized.

Here's the breaker from Fox...

R. Allen Stanford Convicted in $7 Billion Ponzi Scheme: MyFoxHOUSTON.com

And the early results from KTRK-ABC13...


What's the connection with sports...???
He once offered US$20-million for one game of cricket...
Maybe where some of the money went...???
((HT: SkySports))


Now, comes the civil suit...

R Allen Stanford Competent To Stand Trial

((HT: CBS News))

Billionaire bilker R. Allen Stanford is competent to stand trial, according to a Houston judge.

There was an investigation ongoing as to whether or not Stanford was considered to be suicidal. That was found not to be the case, but Stanford will continue to be monitored.

Stanford is said to have taken the money in a Ponzi scheme and turned into a lifestyle that was wrapped up in not only cricket and yachting, but philanthropy.

Here's your recap on Stanford's shenanigans...
All $8-billion of it...


And here's the details from our friends at MyFoxHouston...

Stanford Ruled Competent for Trial: MyFoxHOUSTON.com

The trial starts in late January...

Nevin Shapiro Speaks...

((HT: WFOR-TV Miami))

Sports Director Jim Berry caught up with wannabe-mogul and currently-busted Miami booster and Ponzi scheme accusee Nevin Shapiro to get his opinions on the explosive Yahoo!Sports article- which details "Little Luke" being in touch with six doxen athletes and/or coaches...

Here's the conversation...


Now, we all know that Shapiro has an axe-and-a-half to grind since he received no assistance from the guys he helped out when they were coming out at Da U...

But, we all know that if the death penalty isn't in play here, something is definitely wrong with the NCAA...

More when we know more...

Donnan Settles Ohio Lawsuit

((HT: AJC.com/Boone))

Former University of Georgia head football coach Jim Donnan is settling his lawsuit with an Ohio company that claimed Donnan and his wife had taken advantage of something referred to in court as a "Ponzi scheme."

He's transferring over US$5-million in liquid assets to GLC Limited in a scheme that brought in several big-named college coaches that cost investors $27-million by the time it was over with...

The motion still has to be approved by a federal judge...

More when we know more...