Football Coach’s Partner Pleads Guilty To Running Ponzi Scheme

Aug 26 2013 | 10:28am ET

The hedge-fund partner of prominent college football coach Tommy Tuberville has pleaded guilty to defrauding investors.

John David Stroud struck a plea deal with Alabama prosecutors that will see him pay $2.1 million in restitution to investors and spend between two and 20 years in prison. Tuberville, who was sued by the investors, was not charged criminally.

Alabama authorities say that Stroud ran a Ponzi scheme at TS Capital Partners from 2008 through 2011, stealing some $5.2 million from investors to cover his personal expenses. Stroud said that Tuberville, who was the head football coach at Auburn University when they established the hedge fund, had nothing to do with its operations.

Tuberville is now the head coach at the University of Cincinnati.


In Depth

Q&A: Rotation Capital's Rothfleisch On SPAC 2.0

Aug 11 2017 | 7:43pm ET

Corporate actions have long been a staple of event-driven investors, but activity...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Star Mountain: Private Lending in the Lower Middle-Market

Aug 14 2017 | 4:45pm ET

Private credit has become one of the most popular alternative asset classes in recent...

 

From the current issue of