- Joined
- Dec 5, 2011
- Points
- 175
You couldn't make it up!
http://www.dailymail.co.uk/news/article ... lions.html
Millionaire players 'promised 20%-a-month return on their capital'
Dozens of top Premiership footballers are said to have lost millions of pounds after the collapse of an investment scheme associated with a former star.
Millionaire players, including several household names, are said to have handed over cash after being promised a return of 20 per cent a month on their capital.
However, the scheme collapsed late last year and the players are now anxiously awaiting news of their money.
One international star invested £1million in the scheme, according to a source.
It is claimed that former Wolverhampton Wanderers and Coventry City star Michael McIndoe approached potential investors on behalf of the scheme, but there is no suggestion of any wrongdoing on his part.
Mr McIndoe previously dated glamour model Helena Fletcher, who appeared as a contestant on BBC gameshow Total Wipeout in 2009.
Companies House records show Mr McIndoe, 32, became director of a number of businesses last year, including one business aimed at footballers which promised exclusive access to nightclubs and private jets.
A source revealed that Mr McIndoe began approaching stars in the Midlands at the start of last year, claiming it was a ‘guaranteed-return investment scheme’.
In April, an invitation-only party was held at a country house hotel in Warwickshire featuring a performance by X Factor winner Alexandra Burke. There is no suggestion she had any involvement in the scheme.
As part of the scheme, syndicates were set up in different areas of the country, including the North-West and London.
Players did not ask questions as most knew another who had invested and was getting regular returns.
‘The investors received regular monthly payments up until November but since then they have not been paid. Now, players are falling out with each other. They’re blaming each other for giving them bad advice.’
The source added that Mr McIndoe had recently contacted all of those demanding their money back and promised to repay the cash.
There are now fears the investments were made in a Ponzi-style scheme, similar to the one run by US fraudster Bernie Madoff.
In a Ponzi scheme, money from new investors is simply redistributed to existing members, rather than being invested to generate returns. That means such schemes eventually collapse.
A football agent, who represents a number of Premiership players, said: ‘Some got into the scheme early and did very well and got their money back and the interest.
‘There’s a player with £1 million in that scheme, a player with £500,000, a player with £300,000, and there’s some with £5,000 and £10,000.
‘It’s nothing more than greed. I’ve heard this guy has got to walk around with protection. People have been to Scotland to find his family.
‘The players can’t go to the police. What player is going to stand up in court and say, “Excuse me, Your Honour, I’ve just lost £50,000 of my savings”?
‘They’re going to look like idiots and the club could ask them what they’re doing.’
A financial expert who advises footballers said: ‘We have known about it for a while and have kept our clients well away from it.’
Born in the tough Sighthill district of Edinburgh, Mr McIndoe spoke openly as a young player about his battle to overcome drink and gambling problems.
Nevertheless, he went on to enjoy a successful career, scoring 80 league and cup goals for ten clubs.
Sources say Mr McIndoe was a charismatic and popular figure among other players. He left Coventry last summer and retired to concentrate on his business career.
Fans reported seeing him driving his Bentley around Leamington Spa, Warwickshire, where he and a girlfriend shared an upmarket flat in a large townhouse.
However, other residents told The Mail On Sunday Mr McIndoe appeared to have left the property last year in a hurry.
Yesterday, Mr McIndoe’s mother and brother declined to comment. Mr McIndoe did not respond to messages left on his mobile.
http://www.dailymail.co.uk/news/article ... lions.html
Millionaire players 'promised 20%-a-month return on their capital'
Dozens of top Premiership footballers are said to have lost millions of pounds after the collapse of an investment scheme associated with a former star.
Millionaire players, including several household names, are said to have handed over cash after being promised a return of 20 per cent a month on their capital.
However, the scheme collapsed late last year and the players are now anxiously awaiting news of their money.
One international star invested £1million in the scheme, according to a source.
It is claimed that former Wolverhampton Wanderers and Coventry City star Michael McIndoe approached potential investors on behalf of the scheme, but there is no suggestion of any wrongdoing on his part.
Mr McIndoe previously dated glamour model Helena Fletcher, who appeared as a contestant on BBC gameshow Total Wipeout in 2009.
Companies House records show Mr McIndoe, 32, became director of a number of businesses last year, including one business aimed at footballers which promised exclusive access to nightclubs and private jets.
A source revealed that Mr McIndoe began approaching stars in the Midlands at the start of last year, claiming it was a ‘guaranteed-return investment scheme’.
In April, an invitation-only party was held at a country house hotel in Warwickshire featuring a performance by X Factor winner Alexandra Burke. There is no suggestion she had any involvement in the scheme.
As part of the scheme, syndicates were set up in different areas of the country, including the North-West and London.
Players did not ask questions as most knew another who had invested and was getting regular returns.
‘The investors received regular monthly payments up until November but since then they have not been paid. Now, players are falling out with each other. They’re blaming each other for giving them bad advice.’
The source added that Mr McIndoe had recently contacted all of those demanding their money back and promised to repay the cash.
There are now fears the investments were made in a Ponzi-style scheme, similar to the one run by US fraudster Bernie Madoff.
In a Ponzi scheme, money from new investors is simply redistributed to existing members, rather than being invested to generate returns. That means such schemes eventually collapse.
A football agent, who represents a number of Premiership players, said: ‘Some got into the scheme early and did very well and got their money back and the interest.
‘There’s a player with £1 million in that scheme, a player with £500,000, a player with £300,000, and there’s some with £5,000 and £10,000.
‘It’s nothing more than greed. I’ve heard this guy has got to walk around with protection. People have been to Scotland to find his family.
‘The players can’t go to the police. What player is going to stand up in court and say, “Excuse me, Your Honour, I’ve just lost £50,000 of my savings”?
‘They’re going to look like idiots and the club could ask them what they’re doing.’
A financial expert who advises footballers said: ‘We have known about it for a while and have kept our clients well away from it.’
Born in the tough Sighthill district of Edinburgh, Mr McIndoe spoke openly as a young player about his battle to overcome drink and gambling problems.
Nevertheless, he went on to enjoy a successful career, scoring 80 league and cup goals for ten clubs.
Sources say Mr McIndoe was a charismatic and popular figure among other players. He left Coventry last summer and retired to concentrate on his business career.
Fans reported seeing him driving his Bentley around Leamington Spa, Warwickshire, where he and a girlfriend shared an upmarket flat in a large townhouse.
However, other residents told The Mail On Sunday Mr McIndoe appeared to have left the property last year in a hurry.
Yesterday, Mr McIndoe’s mother and brother declined to comment. Mr McIndoe did not respond to messages left on his mobile.
