The parade of investment advisors who target professional athletes for fraud has claimed another victim. Carlos Boozer, a starting forward for the Chicago Bulls NBA franchise, has filed a lawsuit alleging that he and his wife were "maliciously" induced to invest $1 million in a Florida company that was marketed as being in the business of constructing affordable housing for disaster victims.
According to Boozer's lawsuit, the owners of the company, InnoVida, represented that investors would receive returns of 1,000% while helping people in need who lost their homes. This combination of benefits proved too attractive for Boozer and others to pass up. Rather than use the investment funds as intended, the lawsuit alleges the owners of the company used the money to fund a lavish lifestyle.
Professional athletes are often targeted for investment fraud because they are young, inexperienced in investment matters, and place a premium on trust. Often, the schemes used to defraud them involve private placement investments that are not liquid and are represented to offer large returns. Whether or not you are a professional athlete, the effects of investment fraud can be devastating. Victims of fraud should consult with experienced investment fraud lawyers to learn their rights and pursue claims to recoup their losses.
