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USA Today
2 days ago
- Business
- USA Today
ESPN report reveals how 'miserly' Lakers have been under Jeanie Buss
ESPN report reveals how 'miserly' Lakers have been under Jeanie Buss The ownership of the Los Angeles Lakers is changing hands. On Wednesday, the Buss family, which has owned the team since 1979, reportedly agreed to sell a majority share of it to Mark Walter, the CEO of Guggenheim Partners, for a valuation of $10 billion. While the Lakers have become one of the most prestigious sports franchises and brands under the Buss family's ownership, most of their success during that time came when the late Dr. Jerry Buss was their owner from 1979 to 2013. When Dr. Buss passed away in 2013, control was passed down to his children, and the Lakers have gone through many peaks and valleys since, with the valleys becoming more numerous than the peaks. A lot of the criticism of how the franchise has been run has centered around the perception that it has operated like a mom-and-pop small business, especially since the Buss family isn't particularly cash-rich. In fact, an ESPN report on Wednesday's sale outlined several concerning ways in which the team has pinched pennies. Many remember how it failed to hire Tyronn Lue to be its head coach in 2019 after Lue wanted a little more money and a longer contract. But the other examples of what ESPN called its "miserly traits" don't reflect well on how it has been run. One instance had to do with one of its assistant coaches. "An assistant coach was not approved to stay at the same hotel as the player he was traveling to work out with in the offseason because the room was too expensive," wrote Tim Bontemps and Dave McMenamin. Prior to the NBA lockout in 2011, a sizable number of team staffers and employees were laid off, including one longtime member of the front office. "Former assistant GM Ronnie Lester's contract was not renewed during the NBA lockout in 2011, a financial decision and one of many in a rash of layoffs or nonrenewals." Plus, in one move that resulted in lots of criticism, the Lakers asked for financial help from the government during the height of the COVID-19 pandemic through a program that was designed to help small businesses, not world-class sports franchises. "The team applied for federal relief through the Small Business Administration's Paycheck Protection Program during the COVID-19 hiatus. After considerable backlash, they later returned the $4.6 million to the government." As NBA teams started to utilize analytics more and more in recent years, the Lakers lagged behind. They were the only team in the league that wasn't represented at the Sloan Analytics Conference in 2013. That did start to change, however, last offseason, when they hired coach JJ Redick and Redick urged them to become more data-driven. Walter has owned a sizable chunk of the Los Angeles Dodgers since 2012. At the time, the Dodgers were a franchise that enjoyed plenty of success in the 1950s, 1960s, 1970s and 1980s but had fallen on hard times for roughly the previous 20 years. Under his ownership, they have won the National League West in 11 of the last 12 seasons, and they have won the World Series championship in 2020 and 2024. Walter built up the team's analytics department, hired standout front office people such as Andrew Friedman and spared no expense in acquiring former MVPs in their primes, such as Mookie Betts, Freddie Freeman and Shohei Ohtani. Lakers fans, by and large, are now optimistic that similar results could lie ahead for the Purple and Gold.
Miami Herald
5 days ago
- Business
- Miami Herald
Ex-Small Business Administration employee sentenced to 4.5 years for PPP fraud
A former Small Business Administration employee who learned the system from the inside and cashed in on pandemic loans for herself and others was sentenced Friday to over four years in prison for committing fraud. Malaina Chapman was also ordered to pay back about $1.3 million to her former employer by U.S. District Judge Rodolfo Ruiz in Miami federal court. Chapman, 38, of Hialeah, pleaded guilty in March to conspiracy to commit wire fraud, including submitting COVID-19 loan applications and advising a half-dozen others on filing similar requests for emergency benefits that were managed by the Small Business Administration. In that scheme, her associate, Raisha Kelly, 44, of Palm Beach County, was sentenced in May to five years in prison after being found guilty by a Miami federal jury of multiple counts of wire fraud for submitting falsified tax returns on loan applications. She was also ordered to reimburse about $445,000 to the SBA, which guaranteed pandemic loans through the agency's Paycheck Protection Program. As the coronavirus swept across the country, the two South Florida women teamed up to steal more than $1 million in federal government loans that were meant to help small businesses survive the economic collapse during the public health crisis, according to prosecutors in the U.S. Attorney's Office. Assistant U.S. Attorney Dan Bernstein noted that Chapman was making about $57,000 a year as an SBA employee when she stole not only from the agency's PPP loan program but also from other relief programs at the federal, state and local levels. Bernstein pointed out that Chapman spent the ill-gotten funds at luxury stores such as Louis Vuitton and Chanel and leased a BMW for more than $2,300 a month — not on her side businesses or employee payroll, as was required by law. In a sentencing memo, Bernstein said Chapman 'never met a trust-based government program that she didn't steal from,' calling her 'a financial predator who views government relief programs as her personal piggy bank that existed to fund her dreams of living in the luxury she felt entitled to.' Since Congress adopted the pandemic relief program run by the SBA, South Florida has been a hotbed of PPP loan fraud. Business people, law enforcement officers and hundreds of others have been convicted of stealing millions from the government program by fabricating loan applications for their companies. Several used their emergency loans to buy Lamborghinis, Teslas, Porsches and other expensive cars. READ MORE: Lambos. Jewels. How 'easy money' from Uncle Sam made Miami a feast for PPP fraudsters First ex-SBA employee charged Chapman was employed as a disaster relief specialist with the Small Business Administration from Sept. 28, 2020, through her resignation on March 18, 2021, according to court records. During her employment, Chapman fleeced the PPP and Economic Injury Disaster loan programs, as well as credit unions and pandemic-related rental programs, according to federal court records. Chapman was the first ex-SBA employee in the country to be charged with bilking the agency responsible for doling out $800 billion in PPP and other pandemic loans, according to federal authorities. Chapman advertised her side businesses in real estate and credit services on her Instagram account under the handle upscale_yourhomegirl. Chapman was accused of helping Kelly and five other members in a South Florida ring with their bogus PPP loan applications, leading to disbursements of hundreds of thousands of dollars in 2021 by private lenders backed by the SBA. With the exception of Kelly, five members of the ring agreed to plead guilty to charges of fraudulently receiving more than $800,000 in PPP loans, court records show. Chapman and Kelly received kickbacks from loan applicants, according to prosecutors. In addition, on Feb. 10, 2021, Chapman submitted a PPP loan application in the name of her company, Upscale Credit Lounge, which included a falsified tax document that reported revenue of $103,674 and a profit of $81,860. Eleven days later, a private lender approved another loan for $17,052, according to court records. On Feb. 19, 2021, Chapman, again while still employed by the SBA, submitted another PPP loan application for her business, DA TRAP. Chapman claimed that she had four employees and an average monthly payroll of $14,191. As backup material, Chapman submitted four IRS Employers Quarterly Tax Return forms, which documented the wages paid by DA TRAP. A week later, a private lender approved a loan for $35,477. All of the information in her application was fabricated, prosecutors said. In a similar manner, on April 10, 2021, Chapman submitted another PPP loan application for a property management business, falsely claiming on a tax form that it generated revenue of $123,950, with profits of $78,187, court records show. Five days later, a private lender approved that loan for $20,833. In addition to defrauding the PPP program, Chapman was also accused of exploiting the state of Florida and the city of Miami's COVID-19 Emergency Rental Assistance programs. On Oct. 13, 2021, Chapman began the process of applying for benefits under Florida's Emergency Rental Assistance program. Chapman pretended to be a tenant at a residence in Miami, according to court records. She submitted information and documents through an online portal set up to distribute benefits. On Jan. 20, 2022, Chapman submitted a written document titled '3-day notice to pay rent or quit.' The document was dated Dec. 7, 2021, showing it was signed by Chapman's mother. But her mother had died the previous year on May 25, 2020. Nonetheless, the state accepted Chapman's misrepresentations and approved payments totaling $15,000. They were made into her bank account, according to authorities. The PPP fraud cases, investigated by the U.S. Postal Service Office of Inspector General and other federal agencies, were handled by prosecutors Bernstein, Eduardo Gardea Jr. and Gabrielle Charest-Turken.
Yahoo
13-06-2025
- Business
- Yahoo
CT business owner admits to using $1.1M in COVID relief funds for travel, jewelry, cars
An East Granby woman has pleaded guilty to federal charges and has agreed to pay restitution in connection with a scheme in which authorities said she defrauded COVID-19 pandemic relief programs of more than $1.1 million. Karen Gaston, 44, appeared in federal court in New Haven on Thursday and waived her right to be indicted, according to the U.S. Attorney's Office for the District of Connecticut. She pleaded guilty to wire fraud and making illegal monetary transactions. According to federal authorities, Gaston in 2020 controlled a number of businesses, some of which were active while one was not and another had only one client. These included LNK, Elegant Clinical, Ruby Red LLC and Diamond Shine LLC. LNK and Diamond Shine LLC were operational but shared resources and employees, officials said. Ruby Red LLC had only one client and Gaston was its sole employee, according to authorities. Elegant Clinical was no longer operational. Beginning around April 2020, Gaston submitted loan applications to the Paycheck Protection Program (PPP) and for Economic Injury Disaster Loans (EIDL) — both of which provided emergency funds under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The applications Gaston filed 'falsely represented the status of the operations, resources and employees' of the businesses she controlled, according to federal officials. She also reportedly filed loan applications at separate financial institutions 'in order to disguise the true nature of her criminal activity,' officials said. The loan applications falsely represented that her businesses were all active and operating, authorities said. They also falsely represented the number of employees and the amount of wages purportedly paid to them, which were outlined in fraudulent tax returns and tax related documents, according to officials. Authorities said Gaston also falsely represented that a family member — who was used as an applicant on an application — was a part owner of one of the businesses. Gaston reportedly received a little more than $1.1 million in PPP and EIDL loan funds through the scheme, according to officials. Instead of using the funds for payroll or other operating expenses, she reportedly spent the money on 'personal expenditures, including travel, food, luxury home goods, expensive jewelry, cars and paying off her home mortgage,' the U.S. Attorney's office said. As part of the plea deal, Gaston has agreed to pay full restitution. She also agreed to forfeit a $39,521 ring she purchased in July 2020 from the jeweler Harry Winston. Gaston is free on a $100,000 bond while she awaits sentencing, which has not yet been scheduled. She faces a maximum of 30 years in prison.
Yahoo
12-06-2025
- Yahoo
East Granby woman pleads guilty to $1.1M pandemic relief fraud
EAST GRANBY, Conn. (WTNH) — An East Granby woman pleaded guilty Thursday to defrauding COVID-19 pandemic relief programs of more than $1.1 million, according to the department of justice. Shelton man pleads guilty to fraudulently filing for COVID-19 relief funds Karen Gaston, 44, controlled entities including LNK, Elegant Clinical, Ruby Red LLC and Diamond Shine LLC. LNK and Diamond Shine LLC were operational, but shared resources and employees. Ruby Red LLC had only one client and Gaston was its sole employee and Elegant Clinical was no longer operational. Beginning in April 2020, Gaston allegedly submitted loan applications to the Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDLs), two pandemic-era resources, that falsely represented the status of the operations, resources and employees of these entities. She also filed loan applications at separate financial institutions in order to disguise the true nature of her criminal activity. She received over $1.1 million in PPP and EIDL loan funds through this scheme, spending the money on personal expenditures, including travel, food, luxury home goods, expensive jewelry, cars and paying off her mortgage. She's facing a maximum 30 years in prison and has agreed to pay full restitution. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
10-06-2025
- Politics
- Yahoo
Charlotte council member accused of fraud sends email over reelection as ‘test'
Charlotte City Councilmember Tiawana Brown says an email that was reportedly sent with her plans to not seek reelection was actually a test. Channel 9 obtained the email, which was sent to some supporters and colleagues, and it said Brown wouldn't seek re-election for her District 3 seat later this year. The email referenced her recent federal indictment for fraud. Brown now says she is still planning to run for reelection. Brown and her daughters were federally charged for alleged fraud involving the Paycheck Protection Program. Channel 9 reported extensively on her indictment in late May. PREVIOUS COVERAGE: City councilmember, daughters indicted on PPP fraud charges Embattled Charlotte Councilwoman Tiawana Brown hosts town hall City councilmember calls for investigation after repeated closed session leaks Brown previously told Channel 9 she believes she is innocent, and she insisted she paid back the money for the PPP loan. This is the statement that was sent on Tuesday: 'Hello, Family, Colleagues Constituents and Faithful Supporters of District 3, It is with a humble and heavy heart that I share this message with you today. On Thursday, May 21st, my life changed forever. After much prayer, reflection, and deep conversations with my family, I have made the difficult decision not to seek re-election. The past three weeks have been overwhelmingly painful—for me, for my family, and for those who love and support me. The media smear campaigns, the hate, the silence of some I once called friends—all of it has been a storm. But through it all, we stood. We survived. We fought. If there's one thing you know about the woman you elected, it's this: I am a truth-teller and a fierce defender of justice. I have never backed down from a fight rooted in love and truth. I was born into struggle—and I have risen through it, again and again. It's easy for people to pass judgment when they don't understand how the criminal legal system works. That's exactly why I've chosen to live my life as an open book—and why I've dedicated myself to fighting against a system that was never designed for us. As of now, two individuals—Mr. Montravias King and Ms. Joi Mayo—are seeking the District 3 seat. I want to be clear: I will not be endorsing anyone in this race. I will stay in the seat that you put me in until my term ends in December 2025. Many of you have sent cards, flowers, messages, and made personal visits encouraging me to run again. Please know: this decision was not made lightly. I carry your love with me as I take the next steps. I look forward to what the future holds. I will remain present, active, and deeply rooted in the community that raised and supported me. I am committed to continuing to serve, to heal, and to walk through this legal battle with my head held high and my faith unwavering. All my life I've had to fight. And when we fight, we win. Until the next chapter—thank you, from the bottom of my heart. With love and patience, Councilwoman Dr. Tiawana Brown District 3, Charlotte City Council" After Channel 9 reported on the email, Brown called and said that the email wasn't true, and that it was sent to see if she could trust someone. Brown acknowledged that she wrote the email, but she says she does plan to run for reelection. This is a developing news story. Check back for updates. (VIDEO: 'Part of the fabric': Charlotte council eyes rules for NoDa street vendors)
