Report: Real Estate Scam Bilked Several Major Leaguers
May 5, 2010 at 9:14 PM by AHN · Leave a Comment
Trenton, NJ, United States (AHN) – A suit reportedly filed Tuesday, on behalf of former Minnesota Twins outfielders Rondell White and Cliff Floyd against New Jersey-based Kolinsky Hill Financial Group, alleges federal securities fraud, misrepresentation, breach of fiduciary duty and other complaints.
According to a report by SI.com, the lawsuit was filed in the federal district court in New Jersey.
The suit also alleges that th financial company bilked them out of a total investment of $2.25 million in a failed real estate deal in Hackensack, NJ.
Damages amounting to $12.25 million are being sought by the former MLB All-Star players.
White reportedly infused $1 million in November 2007, and Floyd, who last played in San Diego, lost $1.25 million in the alleged multi-million-dollar securities fraud and real estate scam.
The New Jersey Office of the Attorney General is also investigating the case, according to SI.com.
Former star catcher Todd Hundley, current Nationals pitcher Jason Marquis, former star infielder Gregg Jeffries and current Mets star third baseman David Wright also lost money in their investment with said New Jersey-based company, but were not included in the lawsuit.
In a report by the New York Daily News, Wright indicated that he does not intend to file a suit against Kolinsky and Hill, whom he met when he was 18.
The two men became the financial advisers of Wright before they were dismissed due to “a difference of opinion,” the Daily News reported.
