Almost 20 former players find themselves at the center of new scandal
Former NBA players scammed the league out of $2.5 million in early October. The NBA found out 18 previous players conned the league by creating fake medical expenses.
The NBA offers players, coaches and all employees health care coverage at little to no expense, but can find out if you are cheating the system. As the former ballers were found to be scamming the NBA in a scheme dating back to 2017, the perpetrators of the fraud placed claims of almost $4 million. FBI agents have arrested 15 former players around the country.
U.S. Attorney Audrey Strauss said that the fraud was led by Terrence Williams. Strauss held a press conference in early October, highlighting the steps on how Williams was able to pull off the scheme.
“First, Williams obtained fraudulent medical and dental invoices.” said Strauss. “Second, he sent those invoices to his co-conspirators, other former NBA players.”
“Third, the co-conspirators submitted the fraudulent claims to the plan,” Strauss continued. “Unaware that the claims were fraudulent, the plan paid most of the defendants’ claims.”
Strauss also said Williams was paid kickback after tipping the other players forged information. In a U.S. Attorney’s Office of the Southern District of New York press release, he received an amount totaling approximately $230,000.
Williams, drafted in 2009 by the New Jersey Nets, played four seasons in the NBA. Williams moved around a lot during his NBA tenure playing on four different teams in his short time.
Williams was able to forge the fake invoices from a chiropractic office in Calif. The office was created by people who worked for Williams. Williams was able to get the invoices from medical facilities in Calif. and Wash.
New York City Police Department commissioner Dermot Shea said, “Today’s federal indictment represents the NYPD’s long-term commitment, working with its law enforcement partners, in making sure those accused of health care related fraud are held accountable.”
All those involved will receive one count of conspiracy to commit health care fraud and wire fraud. Williams will also receive one count of aggravated identity theft, which has a minimum sentence of two years.
The NBA said in a statement: “The benefit plans provided by the NBA and the National Basketball Players Association to our players are critically important to support their health and well-being throughout their playing careers and over the course of their lives, which makes these allegations particularly disheartening. We will cooperate fully with the U.S. Attorney’s Office in this matter.”
Amidst all of the legal chaos, the NBA regular season is set to begin on Tuesday. The case will continue to be investigated, as the former players await trial.