Tim Duncan's divorce may be costing him more than he ever imagined.
The five-time NBA champion and 15-time All-Star with the San Antonio Spurs is suing his former financial adviser in Texas state court, Bloomberg News reported.
Tom Brady's restructured contract in stark contrast to that of Kobe Bryant
Duncan is claiming he lost more than $20 million in bad investments made by Charles Banks, according to Bloomberg. The suit alleges that Banks coerced him into investments that caused him "substantial loss."
Banks hid his own interest in investment opportunities that he recommended to Duncan, according to a copy of the complaint filed in San Antonio.
San Antonio Spurs eying Marc Gasol as free-agent replacement for Tim Duncan
"Over the course of 17 years, I invested in a series of opportunities presented by Charles Banks, on his assurance that we were working together for my family's long-term financial security," Duncan said in a statement, reported by Bloomberg. "Banks exploited my good intentions and our relationship for his personal gain and my substantial loss. I'm saddened that my name will join the list of athletes to fall victim to this sort of misconduct."
Duncan learned of his losses - that occurred between 2005 and 2013 - during a review of his finances as he was going through a divorce, a source close to the situation told Reuters.
The 38-year-old Duncan said he met Banks during his rookie season in the NBA. Banks persuaded Duncan to invest "several million dollars in hotels, beauty products, sports merchandising and wineries" that Banks owned or had financial stakes in," Bloomberg reported.
The biggest investment was a $7.5 million loan to Gameday Entertainment LLC, a company allegedly controlled by Banks. Duncan alleged that Banks obtained a $6 million bank loan by forging Duncan's signature.
Radio station WOAI confirmed that Duncan reported losses of more than $20 million and that Banks retained 20 percent of Duncan's $7.5 million investment as a "fee." Duncan, however, is suing only for "over $1 million," according to court documents.
In the summer of 2012, Duncan agreed to a pay cut of $11.5 million with the Spurs. He had made $21.5 million in 2011-12 but agreed to a $9.65 million deal for 2012-13. The salary would increase to $10.35 million in 2013-14 and settle at $10 million this season.
Banks told Bloomberg that he has not acted as Duncan's financial adviser since 2007 and that Duncan's lawsuit is an attempt to leverage to get out of financial partnerships the two have.
But if Duncan's allegations prove true, they give merit to Kobe Bryant's insistence to earn as much money as possible before the end of a career, rather than sacrificing for the team.
Why would Tim Duncan only seek $1 million in compensation of losses of more than $20 million in a suit filed against a former financial adviser? Comment below or tell us @SportsWN.
© 2023 Sportsworldnews.com All rights reserved. Do not reproduce without permission.
