In a new year in which several new third-party sources for recovery have already emerged in the multi-billion dollar civil fraud case against R. Allen Stanford, the court-appointed receiver* has filed suit against the highest profile target so far: The Miami Heat.
The Heat, a marquee franchise in the National Basketball Association, accepted $1.3 million in payments from Stanford that were "related to Stanford’s sponsorship, advertising and promotional activities," according to a complaint filed by receiver* Ralph Janvey in a Dallas federal court.
Calls to the Heat's public relations office were not returned Wednesday.
Stanford, 60, is being held without bail in a federal prison in Houston while he awaits criminal trial for allegedly masterminding a $7 billion Ponzi scheme* that stretched from Texas to South Florida and internationally to London and Antigua, among other jurisdictions. He has denied the charges. A hearing set for Jan. 24 was postponed after a judge ruled the indicted financier must be weaned off the prescribed anti-anxiety medication he had been taking.
The receiver’s complaint against the Heat, filed Tuesday in US District Court for the Northern District of Texas, comes days after Janvey sued other third-party targets, including golf pro David Toms ($905,087), management company IMG Worldwide Inc. ($10.5 million), and the University of Miami ($6.4 million).
The suits do not accuse the Heat or the other third parties of wrongdoing. Janvey's claims describe Stanford’s donations and payments as funds that originated in the conveyance of the fraud and are therefore eligible to be recovered for the victims' compensation fund.
Janvey has not commented publicly on the recent actions, but during an American Bar Association conference in February 2010 he said: "In this case, following the money's path will be the key to getting anything back. Whoever is on the other end of those payments will be a potential source." Janvey was appointed receiver* in the case in February 2009.
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