On Thursday, the U.S. Securities and Exchange Commission announced that it was charging former Georgia head football coach Jim Donnan for his role in an $80 million Ponzi scheme.
According to the Wall Street Journal Donnan helped orchestrate a plot with his partner, Gregory L. Crabtree, that ultimately resulted in a lot of coaches and former players losing millions upon millions of dollars.
A West Virginia-based company called GLC Limited was at the center of this fraud.
Donnan’s little operation reportedly began in August 2007 and ran all the way through October 2010. By all accounts, he seemingly used his status as a former coach and later sports commentator to reassure investors that his proposals were legitimate, and that he had plenty of other big-time athletic partners.
Per WSJ: “Mr. Donnan had actually siphoned more than $7 million away from GLC, and Mr. Crabtree had misappropriated about $1.1 million in investor funds.”
Back in June of this year, ESPN reported that Donnan struck a deal as part of his bankruptcy proceedings which required him to repay $7.35 million to GLC Limited.