The U.S. government is asking that
Billy Crafton, financial adviser to high-profile athletes and other individuals in sports, be sentenced to more than five years in prison and pay $700,000 in restitution.
Crafton is set to be sentenced before U.S. District Court Judge Barry Ted Moskowitz on Nov. 25 in San Diego.
“Defendant Billy Crafton defrauded his clients by misappropriating a total of $700,000 from two of his clients’ accounts and by failing to disclose the kickbacks he was receiving for investing numerous clients in high risk alternative investments that ended up being a Ponzi-like investment scheme,” the U.S. attorney’s office said in a court filing. “For Crafton’s repeated acts of deception, this court should impose a sentence of 63 months in custody, full restitution to victims and three years of supervised release.”
Crafton did not return a phone call or a text. His attorney, John Gordon of law firm Quinn Emanuel, did not return a phone call.
Multiple current and former athletes and sports executives have filed lawsuits or arbitrations against Crafton, including Texas Rangers pitcher Cole Hamels, Houston Rockets guard Jason Terry, Philadelphia Eagles tight end Brent Celek and former NFL quarterback A.J. Feeley and his wife, former professional soccer player Heather Mitts.
Many of the lawsuits against Crafton involve claims that the clients lost money in the private equity firm Westmoore Management, which was shut down by the U.S. Securities and Exchange Commission in 2010. Crafton has previously said, and his attorney stated in court papers, that Crafton himself lost money in Westmoore. Crafton declared Chapter 7 bankruptcy in 2013.
Crafton pleaded guilty to conspiracy to commit wire fraud in October 2014, but his sentencing hearing has been rescheduled three times this year, based on joint motions by Crafton and the U.S. attorney’s office. In early October, Crafton made a motion to continue his sentencing hearing to March, but the U.S. attorney’s office opposed the motion at a hearing Oct. 23. Moskowitz said the Nov. 25 hearing will be the last in the case, according to Kelly Thornton, spokeswoman for the U.S. attorney’s office in San Diego.
Andrew Smith, a Philadelphia attorney who represents 11 athletes or sports executives who filed lawsuits against Crafton, said he and some of his clients may attend the hearing.
“Many of my clients would like to testify against Billy and tell their story of what Billy has done to them and how he impacted their lives,” Smith said. “But as lawyers get paid to do, Billy’s have made it difficult for anyone to appear in court because he keeps getting his sentencing continued time and time again.”
> 1 DEGREE SIGNS GOLFER: 1 Degree Sports Management has signed former Vanderbilt University golfer Hunter Stewart and negotiated a multiyear deal with Nike.
Stewart, who was the No. 4 amateur in the world, will be represented by Alan Bullington, president and founder of Nashville-based 1 Degree.
Stewart’s deal with Nike is “head-to-toe,” Bullington said. “It’s clubs, apparel, shoes; it’s all-in.” Bullington would not give financial details.
> NFL AGENT SWITCHES: Minnesota running back Matt Asiata has signed with Kenny Zuckerman, Priority Sports & Entertainment president of athlete management. He was represented by Ken Vierra. Asiata will be an unrestricted free agent after this season.
Green Bay Packers offensive tackle Don Barclay signed with Vantage Management Group’s Mike Simon, Greg Diulus and Adam Heller. He was represented by JL Sports. Barclay will be an unrestricted free agent after the season.
Liz Mullen can be reached at lmullen@sportsbusinessjournal.com. Follow her on Twitter @SBJLizMullen.
