Charles Banks, 49, originally faced up to 20 years in jail after he pleaded guilty in April of this year to one count of wire fraud regarding an investment he asked Duncan to make in a firm he headed called Gameday Entertainment.
In the ruling this week, Banks was also ordered by a judge to pay the former Spurs legend $7.5 million in restitution.
So how did Mr. Banks get caught with his hands in Duncan’s cookie jar?
Well, after going through a bitter public divorce back in 2013, Duncan’s current financial adviser noticed several financial discrepancies his past balance sheet.
With his ex-coach, a trusted team executive and a couple of his former teammates by his side, retired Spurs star Tim Duncan took to a different court Tuesday and spoke directly at the financial adviser he blames for defrauding him out of millions of dollars.
“I just wanted you to own up, pay up and we’d move on,” Duncan told Charles A. Banks IV during a victim impact statement at Banks’ sentencing in federal court. “You wouldn’t, so now we’re here with this in front of a judge.”
In a separate four-page statement, Duncan said he never wanted to see his name in the papers again after his 19-year NBA career ended, taking pride in being a private individual who spent time in the spotlight only because he had to, to make a living that would last him for the rest of his life.
“I also prided myself on not being the stereotypical dumb athlete that can easily be taken advantage of,” the statement said, adding he put together a team “to keep eyes on each other to make sure I wouldn’t be another athlete sitting in this exact predicament at some point.”
But he trusted Banks, perhaps too much. “He earned my trust as my financial adviser and friend, so I felt comfortable moving forward without replacing the checks and balances as he moved on to running his own thing,” the statement said. “Unfortunately, I was wrong about that decision.” Banks pleaded guilty to wire fraud earlier this year for defrauding Duncan in a $6 million financing investment deal.
Testimony indicates Duncan lost most of the $24.1 million he invested with Banks.
Banks had been his adviser since Duncan was a rookie entering the NBA in 1997, and Duncan continued making investments in Banks’ business ventures after Banks left CSI in 2007.
Also in court was another retired NBA star, Kevin Garnett, Duncan’s former on-court rival. He also invested in Banks’ business ventures, and was an equal partner in an entity called Hammer Holdings that Banks reportedly used to funnel money through.
In pleading guilty, Banks, 49, of Atlanta, admitted he bamboozled Duncan into guaranteeing a $6 million loan used as part of an investment in a sports-merchandise company, Gameday Entertainment LLC that Banks was chairman of.
But Banks denies defrauding Duncan on any other investments Duncan made with Banks that Duncan’s current advisers say they found problems with.
WOW! That’s a lot of money lost!!