Browns' Mychal Kendricks charged with insider trading
PHILADELPHIA (AP) — Cleveland Browns linebacker Mychal Kendricks has been charged with using insider trading tips from an acquaintance to make about $1.2 million in illegal profits on four major trading deals, federal prosecutors announced today.
Co-defendant Damilare Sonoiki was paid $10,000 in kickbacks in the scheme from 2014-2015, as well as perks like tickets to Philadelphia Eagles games and tagging along to a music video shoot or nightclub appearances, said U.S. Attorney William McSwain. Kendricks played for the Eagles before signing with the Browns in June.
Sonoiki had been working as a junior analyst at an unnamed investment bank in New York, prosecutors said. An IMD B profile lists him as a writer on the popular TV series "Black-ish" as well as other movies and TV shows.
In a statement released by his lawyer, Kendricks said he was sorry and takes full responsibility for his actions.
"While I didn't fully understand all of the details of the illegal trades, I knew it was wrong, and I wholeheartedly regret my actions," he said in the statement. He also claimed he didn't take any of the profits for himself but didn't elaborate on where the money went.
"I am committed to repaying all of the funds gained illegally and accept the consequences of my actions," he said.
Kendricks said he has been cooperating with authorities since the investigation began.
A message seeking comment from the federal defender representing Sonoiki wasn't immediately returned.
CLEVELAND — ESPN is reporting Cleveland Browns linebacker Mychal Kendricks has apologized after being charged today with insider trading by federal prosecutors to make nearly $1.2 million in illegal profits on four major investments four years ago.
Kendricks released a statement shortly after the announcement by U.S. Attorney William McSwain, admitting to insider trading and saying he accepts "full responsibility for my actions" and that he "knew it was wrong."
Damilare Sonoiki, a television writer, also has been charged with assisting Kendricks in his investments.
McSwain, the U.S. Attorney for the District Court of Eastern Pennsylvania, said both Kendricks and Sonoiki face "substantial prison time" if convicted.
"I would like to apologize," Kendricks said in the statement released by his attorneys. "Four years ago, I participated in insider trading, and I deeply regret it. I invested money with a former friend of mine who I thought I could trust and who I greatly admired. His background as a Harvard graduate and an employee of Goldman Sachs gave me a false sense of confidence."