There’s a very bizarre story coming out of Ohio this week as former Georgia coach Jim Donnan has been accused of making millions of dollars off a Ponzi scheme stemming from a company by the name of GLC Ltd. (known as GLC Enterprises upon its foundation in 2004).
Court documents obtained by ESPN state that Donnan and his wife “solicited investments from more than 50 individuals and entities to GLC”, which Donnan reportedly “pitched” as a retail liquidation company and a re-seller of consumer products. In all, Donnan and his family — including Donnan’s children and their spouses — reportedly made roughly $14.5 million from GLC in the form of several “fraudulent transfers” to “James and Mary Donnan or their immediate family members.”
The company, however, filed for Chapter 11 bankruptcy in an Ohio federal court in February. Donnan and his wife then filed for bankruptcy earlier this month. The current operators of GLC filed a lawsuit against Donnan’s children and their spouses Thursday (Donnan’s lawyer, Edward Tolley, claims a suit against Donnan and his wife would be a direct violation of federal bankruptcy law).
Donnan’s role in GLC is currently being disputed in the suit. Tolley confirms that Donnan was an investor of over $5 million in GLC, but denies that his client was ever an officer in the company. Tolley also denies that Donnan knew he was involved in a Ponzi scheme.
Surprisingly, a few high-profile coaches were also mentioned as investors in GLC — Oklahoma coach Barry Switzer, Virginia Tech coach Frank Beamer, Texas State coach Dennis Franchione and Texas Tech coach Tommy Tuberville.
According to the ESPN report, “investors sank nearly $82 million dollars into GLC Enterprises but less than $12 million was spent on inventory and at least $13 million in investor money remains unaccounted for. With dwindling revenues, GLC eventually used money from new investors to pay old investors, which, according to the court documents, constituted a Ponzi scheme.”
Donnan, who is an ex-ESPN analyst, also coached under Switzer at Oklahoma and was the head coach of Marshall from 1990-95 before moving on to Georgia.
A very disturbing story has emerged out of Dallas, where former Texas A&M wide receiver Thomas Johnson sits in a Dallas County jail cell after allegedly admitting to hacking an unsuspecting jogger to death with a machete.
Just before 8 a.m. Monday, authorities say Johnson went to White Rock Creek Trail, a popular jogging trail in northeast Dallas, and randomly slashed a jogger to death. “It appears Mr. Johnson picked this victim at random. Absolutely random,” Deputy Chief Rob Sherwin told the Dallas Morning News. “He just attacked him. … It’s just very unusual. It’s quite shocking.”
Johnson then walked away from the scene in search of a cell phone. An onlooker had already dialed 911, and when police arrived Johnson allegedly told them there was a man “laying down with a sword in his head and not moving.”
“I just committed capital murder,” Johnson said and then repeated, according to his arrest affidavit. The only motive police reported was that Johnson was angry at his situation in life at the time of the slaying.
The victim, an unidentified male between the age of 25 and 35, passed away at a nearby hospital.
Johnson, meanwhile, remains in a Dallas County jail in lieu of $500,000 bail.
Johnson was a highly-regarded member of Kevin Sumlin‘s first recruiting class at Texas A&M. As a true freshman in 2012, the Dallas native caught 30 passes for 339 yards and one touchdown through the Aggies’ upset of then-No. 1 Alabama and then simply… disappeared. He went missing for three days in November 2012 before turning up back home in Dallas. His mother told the San Antonio Express-News last April Johnson would like to return to college football, but a return to the game never materialized.
Arkansas head coach Bret Bielema will not be disciplined by the SEC office for his brief interaction with Alabama offensive lineman Cam Robinson last weekend. A video showing Bielema exaggerating his interaction with Robinson at the end of a play was reviewed by SEC commissioner Greg Sankey, and the commissioner has discussed the situation with the Razorbacks coach.
“I visited with Bret over the phone on Monday and we discussed the play that has now become widely reviewed through a brief video clip,” Sankey said in a released statement. “Football is played in an intense competitive environment and I reminded him of the need for head coaches to resolve with their own players issues that may arise, which was his intent. The unsportsmanlike penalty assessed on the play was not directly associated with Bret’s efforts to intervene at the end of the play and we are moving forward in a positive manner.”
That appears to be the end of the discussion regarding Bielema’s act. I personally think there should have been some more done here by the league’s commissioner, but we will see if Bielema avoids putting himself in a similar position moving forward.