KU named in college hoops investigation


The U.S. Attorney’s office has named the University of Kansas, and three other division one schools, in an alleged wire fraud conspiracy involving Adidas. KU, Louisville, Miami, and North Carolina State have been named. The investigation is currently ongoing.

The short version of the release can be found below and the full 36-page document can be found here

(Courtesy: Department of Justice, U.S. Attorney’s Office, Southern District of New York)

Robert S. Khuzami, the Attorney for the United States, Acting Under Authority Conferred by 28 U.S.C. § 515, announced the filing of a Superseding Indictment against defendants JAMES GATTO, a/k/a “Jim,” MERL CODE, and CHRISTIAN DAWKINS in United States v. Gatto, 17 Cr. 686 (LAK).  The Superseding Indictment (“the Indictment”) expands the scope of the charged wire fraud conspiracy to include alleged payments to the families of six student-athletes in connection with those players’ decisions to attend four different NCAA Division I Universities – the University of Louisville, the University of Miami, the University of Kansas, and North Carolina State University – all of which were sponsored by the same major athletic apparel company (“Company-1”).[1]

The investigation remains ongoing.  The FBI strongly encourages anyone with information they believe to be relevant to contact the FBI by calling a special hotline established to receive tips in connection with this investigation: 212-384-2135.

The case is being handled by the Office’s Public Corruption Unit.  Assistant United States Attorneys Edward B. Diskant, Noah Solowiejczyk, Eli J. Mark, Robert L. Boone, and Aline Flodr are in charge of the prosecution.

The University of Kansas released an official statement on Tuesday evening: “Earlier today, we learned that the University of Kansas is named as a victim in a federal indictment. The indictment does not suggest any wrongdoing by the university, its coaches or its staff. We will cooperate fully with investigators in this matter. Because this is an active investigation, it is not appropriate for us to comment further at this time.”

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