Georgia Businessman sentenced to 12+ Years for Defrauding NBA Stars Dwight Howard and Chandler Parsons
Calvin Darden Jr., a 50-year-old Atlanta businessman, has been sentenced to more than 12 years in federal prison for defrauding former NBA players Dwight Howard and Chandler Parsons out of millions of dollars. A Manhattan jury in October found Darden guilty of wire fraud, bank fraud, and money laundering. The case highlights the vulnerabilities of even high-profile individuals to sophisticated financial scams and serves as a cautionary tale for investors.
The U.S. Attorney for the Southern District of New York confirmed that Darden was not present for the sentencing after waiving his right to attend, citing a concussion sustained while in custody the previous week.
Darden was allowed to leave the proceedings after waiving his right to be present and telling the judge he had suffered a concussion last week while in custody.
U.S. Attorney for the Southern District of New york
The Atlanta Dream Scam: howard’s $7 Million Loss
Dwight Howard, an eight-time All-Star and former NBA Defensive Player of the Year, testified that Darden convinced him to invest $7 million under the false pretense that it would secure him an ownership stake in the WNBA’s Atlanta Dream. Howard only discovered the deception in 2021 when ESPN reported the team’s sale to a diffrent investor group led by former Dream player Renee Montgomery.
Howard testified during the trial that Darden fooled him into giving him $7 million by convincing him that it was an investment toward the purchase of the Dream.
This incident underscores the importance of due diligence, even when dealing with seemingly reputable individuals. High-profile athletes, often targeted due to their wealth, must rigorously verify investment opportunities and seek independent financial counsel. Consider the cautionary tale of numerous athletes who have lost fortunes due to trusting the wrong advisors and investment schemes, underscoring the necessity for robust safeguards and unbiased financial oversight.
Parsons’ $1 Million Ruse: The James Wiseman Connection
In a separate scheme, Darden and a sports agent defrauded chandler Parsons out of $1 million. The money was purportedly intended to support the advancement of then-NBA prospect James Wiseman.Though, prosecutors revealed that Darden and the agent had no connection to Wiseman and that the player had never agreed to be represented by the agent.
James Wiseman was eventually drafted by the Golden State Warriors as the second overall pick in the 2020 NBA draft. He last played for the Indiana Pacers before being traded to the Toronto Raptors, who waived him earlier this year.
This case highlights the exploitative nature of some sports agents and advisors who prey on the dreams and aspirations of young athletes.The NCAA has implemented stricter regulations regarding agent conduct and financial advising,but these measures are constantly evolving to combat increasingly sophisticated schemes.
Forfeiture and Prior Convictions
In addition to the prison sentence,the Manhattan federal court judge ordered Darden to forfeit $8 million in assets,including a $3.7 million mansion in Atlanta, $600,000 worth of Jean-Michel Basquiat artwork, a Lamborghini, and a Rolls-Royce. These assets represent the fruits of his fraudulent activities and will be seized to provide restitution to the victims.
This isn’t Darden’s first brush with the law. He was previously sentenced to a year in federal prison for impersonating his father, Cal Darden, a former executive at United parcel Service (UPS), in a failed attempt to purchase maxim magazine. This prior conviction demonstrates a pattern of deceptive behavior and a willingness to engage in fraudulent schemes.
| Asset | Estimated Value | Notes |
|---|---|---|
| Atlanta Mansion | $3.7 Million | Luxury property acquired with defrauded funds. |
| Jean-Michel Basquiat Artwork | $600,000 | Part of a collection seized by authorities. |
| Lamborghini | Varies; approx. $200,000+ | Luxury sports car purchased with illicit gains. |
| Rolls-Royce | Varies; approx. $300,000+ | Another high-end vehicle acquired through fraud. |
The Victims: Howard and Parsons’ NBA Careers
Dwight Howard, drafted number one overall in 2004 by the Orlando Magic, enjoyed a long and prosperous NBA career, playing for seven different franchises and winning a championship with the Los Angeles Lakers in 2020.
Chandler Parsons played nine seasons in the NBA, representing teams like Houston, Dallas, Memphis, and Atlanta. His career was marked by flashes of brilliance but also hampered by injuries.
The Atlanta Dream, the team Howard thought he was investing in, was previously co-owned by former Republican U.S. Sen.Kelly Loeffler. She faced pressure to sell the team after clashing with players over her opposition to the league’s racial justice initiatives. This political dimension added another layer of complexity to the team’s history.
Implications and Lessons Learned
This case offers valuable lessons for athletes, investors, and anyone vulnerable to financial fraud.Key takeaways include:
- due Diligence is Crucial: Always thoroughly vet investment opportunities and individuals, irrespective of their apparent reputation.
- Seek Independent Advice: Consult with unbiased financial advisors who can provide objective guidance.
- Understand the Risks: Be fully aware of the potential risks involved in any investment.
- Don’t Be Afraid to Ask Questions: Request detailed information and seek clarification on any aspects of an investment that are unclear.
- Report Suspicious Activity: If you suspect fraud,report it to the authorities immediately.
The conviction and sentencing of Calvin Darden Jr. serve as a reminder that financial fraud carries meaningful consequences. It also underscores the importance of vigilance and a commitment to protecting oneself from unscrupulous individuals who seek to exploit others for personal gain.
