Ex-Celtics, Grizzlies guard avoids prison time in scheme to defraud NBA benefits plan

 

Ex-Celtics, Grizzlies guard Tony Allen avoids prison time in scheme to defraud NBA benefits plan: Report

DALLAS, TX - MARCH 03:  Tony Allen #9 of the Memphis Grizzlies at American Airlines Center on March 3, 2017 in Dallas, Texas.  NOTE TO USER: User expressly acknowledges and agrees that, by downloading and/or using this photograph, user is consenting to the terms and conditions of the Getty Images License Agreement.  (Photo by Ronald Martinez/Getty Images)

Former Boston Celtics and Memphis Grizzlies guard Tony Allen was sentenced to community service and supervision Tuesday for his role in a scheme to defraud the NBA’s health and welfare benefits plan, according to reporter Pete Brush. Here’s what you need to know:

  • Allen, who pleaded guilty to conspiracy to commit health care fraud and wire fraud in April, is among the 18 former NBA players accused of submitting $5 million in fraudulent medical and dental claims from 2017 to 2020, according to court documents. Allen paid back most of the $420,000 he illegally obtained before he was charged, per Brush.
  • Terrence Williams, a first-round draft pick in 2009, was sentenced to 10 years in prison and ordered to forfeit more than $650,000 and pay $2.5 million in restitution last week for leading the scam, the U.S. Attorney’s Office for the Southern District of New York announced. He pleaded guilty to conspiracy to commit health care and wire fraud and aggravated identity theft.
  • Charges were also filed against Allen’s wife, Desiree; another former Celtic, Glen Davis; Shannon Brown, a two-time champion with the Lakers; Melvin Ely, who won a title with the Spurs in 2007; Sebastian Telfair, one of the most celebrated high school players in history and 12 other former players. Keyon Dooling and Alan Anderson were sentenced to 30 and 24 months in prison in connection with the case earlier this year.

Backstory

According to court documents, Williams recruited other benefits plan participants to the scheme “by offering to provide them with false invoices to support their fraudulent claims,” and medical professionals — including a dentist in California and doctors in California and Washington — provided Williams with the invoices, among other tactics. He submitted the fraudulent claims in exchange for kickbacks totaling at least $300,000.

He also “impersonated others in furtherance of the scheme,” including posing as the benefits plan’s administrative manager through a fake email address.

Williams was charged and arrested in April 2022, and while on pretrial release, texted threats to a witness, the court said.

Allen, 41, was a six-time All-Defensive team player and member of the 2008 NBA champion Celtics. He played for the Grizzlies from 2010 to 2017.

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