Boras: Clients to access funds soon
Agent Scott Boras says players he represents who had their assets frozen in the federal probe of the Stanford financial scandal should have access to their money soon, The New York Times reported.
Players including Johnny Damon, Xavier Nady, Mike Pelfrey and Carlos Pena have had some of their assets frozen while federal regulators investigate the dealings of financier Robert Allen Stanford, who has been accused of orchestrating $8 billion worth of fraud.
"There's no risk of loss in their funds, but the government, in an attempt to protect everyone involved, put a wide net over the funds," Boras said, according to the Times. "Then, of course, in a short period of time that net will shrink."
Boras declined to say how many of his clients were affected by the situation, the newspaper reported. His client list includes some of the game's biggest superstars, including Alex Rodriguez, Manny Ramirez and Mark Teixeira.
Boras said his company, Scott Boras Corporation, is assisting players with "any cash-flow issues" as a result of their accounts being frozen, according to the report. He said his company did not invest any of his clients' money, but that one of its subsidiaries audits the investment advisers chosen by players and tracks his clients' financial matters.
Damon, a New York Yankees outfielder, said he would direct his paychecks to a new account so he could have access to the money, according to the Times. He said he had been told that he had not lost any money because of the association with Stanford, a billionaire with links to golf, tennis, cricket and other sports.
Last week, a federal court in Texas appointed a receiver to sort through the Stanford group companies' accounts. In a statement issued Monday, the receiver said he understood that the asset freeze could cause hardship for people with money in Stanford accounts and were making best efforts to determine which accounts could be unfrozen.