Miami Heat’s ticketing executive is the subject of an FBI investigation due to an alleged money laundering scheme that reportedly occurred during his time at the Sacramento Kings, according to the Sacramento Bee.
Jeffrey R. David, who has been placed on leave by the NBA basketball team in wake of the investigation, is “suspected of siphoning off $13.4m from two of the team’s top sponsors and using the funds to purchase beachfront property in Southern California.”
The chief revenue officer for the Heat is in charge of local, regional, national and international business opportunities while overseeing the corporate sales and service, premium seating and service, and the ticket sales departments.
David held a similar position with the Kings prior to joining the Miami franchise.
David was allegedly operating a money-laundering scheme that diverted $9m from the Golden 1 Credit Union, which holds a multimillion-dollar naming rights agreement for the Kings arena, and another $4.4m from a team advertising partner, Kaiser Permanente Foundation, that should have gone to the Kings organisation.
The money was reportedly instead used to purchase a beachfront home in California worth $8m and another worth $3.4m, as well as renovations on the first property.
The allegedly misappropriated funds were unrelated to any ticketing operations for the franchise, but rather directed directly from business partners.
Image: Lisa Nottingham