Fraud Alleged in Maxim Magazine Purchase

14225140_s

Calvin Darden Jr. is accused of fraud for pretending to be his father, Calvin Darden, Sr., into order to secure $8 million  to buy Maxim Magazine.  The scion of a wealthy family, Darden Jr. attempted to confuse investors by impersonating his father in business dealings.

 

According to Bloomberg, the scheme to buy struggling men’s magazine, Maxim, relied on Darden Jr. impersonating his father, Chairman of Darden Media Group, to investors, and tricking them into providing him with more than $8 million for the magazine’s acquisition.  He had attempted to line up funding from other sources in amounts as much as $20 million , allegedly for the same purchase.  Darden Jr. allegedly showed the lenders fabricated statements that had allegedly come from his father’s bank accounts, forged his father’s signature on legal documents, and sent emails under his father’s name.  Darden Jr. also allegedly sent fraudulent emails from a fake employee at a major financial institution to other investors, to supposedly verify details of Darden Sr.’s stock portfolio.

 

Darden is also alleged to have defrauded investors in Taiwan, when he allegedly promised to arrange an NBA exhibition game in Taiwan in exchange for $500,000.  That game has yet to take place, and the Taiwanese investors are crying fowl.

 

According to the New York Times, this is not the first time Darden Jr. has defrauded investors by pretending to be his father. Darden Jr. served prison time from 2006 to 2008, and then again in 2010, after being convicted on fraud charges.  Those convictions stem from schemes where Darden Jr. allegedly swindled a former client and bilked three financial institutions, Smith Barney, Wachovia, and AIC, Ltd., out of more than $4 million  by pretending to be his father.  Other prominent celebrities were defrauded, including hip hop legend Nelly and former NBA star Latrell Sprewell.

 

While astute busness people attempt to protect themselves against fraudulent business dealings by customers, vendors, or other third parties, from time to time the con artist is clever enough to slip through net of protection..   If you are the victim of fraud, or are unjustly accused of fraud, you need an experienced Georgia business litigator.  Attorney James J. (“Jim”) Thomas II has more than 35 years of courtroom experience in the Atlanta area, and has represented professional athletes, teams, and leagues, as well as many other individuals and businesses. Jim is a business litigation expert who can handle complex business litigation as well as analysis, evaluation, and resolution of existing and potential litigation including trademark infringement claims.  Give Jim a call at 404-869-5248 or visit www.litigationatlanta.com online.

Leave a Reply

Your email address will not be published. Required fields are marked *

This blog is kept spam free by WP-SpamFree.