Sports

Former UConn Basketball Player Arrested in Alleged Ponzi Scheme

Former UConn basketball star C. Tate George faces a maximum potential penalty of 20 years in prison and a $250,000 fine.

Former basketball player C. Tate George, surrendered to federal authorities Friday morning for allegedly orchestrating a more than $2 million investment fraud scheme. 

U.S. Attorney Paul J. Fishman says a criminal complaint charges George, 43, of Newark, with one count of wire fraud while acting as chief executive officer (CEO) of real estate development firm, The George Group. 

Among the allegations are that George told prospective investors that their money would be used to fund the Group’s development of real estate development projects, but instead used the money to pay existing investors in a “Ponzi scheme fashion,” according to authorities.

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George is also accused of using some of the money for “home improvement projects, meals at restaurants, clothing and gas,” according to Fishman. 

Prosecutors say that investors invested more than $2 million in The George Group between 2005 and March 2011.

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If convicted, George faces a maximum potential penalty of 20 years in prison and a $250,000 fine.

George is best known for his part in UConn’s “Dream Season” in 1990, when he hit the game winning shot to defeat the Clemson Tigers in an NCAA third round game. George went on to play in the NBA for the New Jersey Nets and Milwaukee Bucks.


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