Kansas

New federal fraud indictment lists KU as victim in athletic apparel case

NEW YORK (KSNW) - The U.S. Attorney for the Southern District of New York has announced additional charges against four people that accuses them and an athletic company of defrauding four NCAA Division 1 universities. One of those universities is the University of Kansas.

The superseding indictment lists the defendants as James Gatto, Merl Code, Christian Dawkins and an unnamed person as being involved in a scheme to defraud KU, the University of Louisville, the University of Miami and North Carolina State University. 

The additional charges against the defendants expand the scope of a wire fraud conspiracy to include alleged payments to the families of six student athletes in connection with those players' decisions to attend the universities. The payments made the athletes ineligible to play Division 1 sports.

KU and the other universities are not accused of wrong-doing. Rather, the defendants are accused of defrauding the universities in several ways.

Joe Monaco, KU's director of strategic communications, issued the following statement about the case:

“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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