Bloomberg is reporting that the Securities And Exchange Commission has filed a fraud lawsuit against former cornerback Will Allen for allegedly running a Ponzi scheme. The suit alleges that Allen promised investors returns of as much as 18%. Allen reportedly raised $31 million dollars from investors that was to be used to make loans to professional athletes. The suit claims that Allen and his partners began using money from new investors to pay back early investors, and that millions were diverted for personal expenses. Allen's assets were frozen by the government when the suit was unsealed this week.
Allen played in the NFL from 2001 to 2012.