Ballplayers at the top of a ponzi scheme

Leave a comment

Here’s Scott Boras’ comment back in February when it was revealed that several baseball players were among the clients of suspected fraudster Robert Allen Stanford:

“The broker dealers the players have chosen have advised our
personal management auditors the players are not in jeopardy of losing
money.”

Here’s the news from yesterday:

The lawyer trying to recover the money from R. Allen Stanford’s
purported Ponzi scheme wants seven current and former Major League
Baseball stars who had invested with the accused swindler to turn over
millions of dollars, mostly of the players’ own money.

Ralph S. Janvey, whom the Securities and Exchange Commission
appointed as the “receiver” in the case, wants to take $9.5 million
from the players, an amount that mostly consists of their initial
investments, so that the athletes’ money can be split up among all of
Mr. Stanford’s purported victims.

“The fact that the [ballplayers] are innocent investors and
committed no wrongdoing does not entitle them to retain proceeds
received from the fraudulent” scheme, lawyers for Mr. Janvey wrote in a
filing last week with the U.S. District Court in Dallas.

Oops.

The players who, if the motion is granted, stand to lose millions
include Greg Maddux, Johnny Damon, J.D. Drew, Andruw Jones, Carlos
Pena, and Jay Bell.

The question I asked back in February and for which I’d still like
an answer is whether Scott Boras — who makes a big deal about how he’s
a full-service representative — steered these guys to Stanford. Maybe
someone in a position to should ask him.

Report: Padres trade Matt Kemp to the Braves for Hector Olivera

SAN DIEGO, CA - JUNE 06:  Matt Kemp #27 of the San Diego Padres talks in the dugout prior to the start of the game against the Atlanta Braves at PETCO Park on June 6, 2016 in San Diego, California.  (Photo by Kent Horner/Getty Images)
Kent Horner/Getty Images
23 Comments

Update (7:01 PM EDT): David O’Brien of the Atlanta Journal-Constitution reports the deal has been completed.

*

ESPN’s Keith Law reported on Saturday evening that a bad contract swap involving the Braves’ Hector Olivera and the Padres’ Matt Kemp was “getting close.” Olivera has been pulled off the field, per Bob Nightengale of USA TODAY. Joel Sherman of the New York Post reports that only a last-second medical would kill the deal at this point, and that the Padres will be sending money to the Braves.

Kemp, 31, will have $64.5 million remaining on his contract through 2019 after this season, but the Dodgers will pay $3.5 million annually over those remaining three years, so the $64.5 million is really $54 million. The veteran has compiled a .262/.285/.489 triple-slash line with 23 home runs and 69 RBI in 431 plate appearances for the Padres this season.

Olivera, 31, will have $28.5 million remaining on his contract through 2020 after this season. The outfielder was handed an 82-game suspension, beginning on May 26, for his involvement in a domestic dispute on April 13. The suspension is up on August 2. He has a .501 OPS in 21 major league at-bats this season and a .278 OPS in 37 PA at Triple-A.

Dennis Lin of the San Diego Union-Tribune reports that the Padres will consider designating Olivera for assignment. The trade is all about the salary dump for the Padres, as they’d rather give outfield playing time to prospects Hunter Renfroe and Manuel Margot.

Athletics trade Billy Burns to the Royals for Brett Eibner

ST. PETERSBURG, FL - MAY 13: Billy Burns #1 of the Oakland Athletics waits on deck to bat during the fourth inning of a game against the Tampa Bay Rays on May 13, 2016 at Tropicana Field in St. Petersburg, Florida. (Photo by Brian Blanco/Getty Images)
Brian Blanco/Getty Images
5 Comments

The Athletics and Royals swapped outfielders on Saturday. The Athletics sent Billy Burns to Kansas City and the Royals sent Brett Eibner to Oakland.

Burns, 26, doesn’t provide much in the way of offense, but he runs the bases well and plays solid defense. He was hitting .234/.270/.303 with 11 doubles, four triples, and 14 stolen bases in 274 plate appearances.

Eibner, 27, was batting .231/.286/.423 with three home runs and 10 RBI in 85 plate appearances. He has spent most of the season with Triple-A Omaha, where he’s put up a .902 OPS in 219 PA. Eibner played the outfield corners in the majors, but racked up a ton of time playing center in the minors, so his versatility will be valuable to the A’s.

Burns will become eligible for arbitration for the first time after the 2017 season while Eibner has hardly accrued any service time, which might explain part of the motivation behind the trade for the small-market Athletics.