Boras: Clients will have access to funds

A group of players, including Johnny Damon, Xavier Nady and Mike Pelfrey, who have a link to a company affiliated with financier Robert Allen Stanford, should have access to their money in the near future, the players’ agent Scott Boras told the New York Times.

The players are among those who have had their assets frozen by the government as part of an investigation into the Stanford Financial Group and its alleged $8 billion fraud scheme.

As reported last week, the players did not invest directly with Stanford, but have investments with broker dealers whose accounts were with a Stanford company. They can access their personal checking accounts but cannot use credit cards.

“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 told the newspaper. “Then, of course, in a short period of time that net will shrink.”

The newspaper report indicated that Boras is helping his clients with “any cash flow” issues because of the frozen accounts and his company did not invest any of his clients’ money. He added that one of the company’s subsidiaries, Personal Management Consultants, audits the investment advisors chosen by the players and assists with other financial matters.

Additionally, Damon was told he has not lost any money because of his association with Stanford and said he will direct his paychecks to a new account in order to have access to his money.

On Monday, a statement was released by the receiver appointed by the United States District Court for the Northern District of Texas to sort through the Stanford companies’ accounts saying he understood the inconvenience and hardship caused by the freeze and he is making his best effort to identify which accounts could be released.