Overview
- Darryl Cohen was found guilty of wire fraud and investment adviser fraud, with jurors deadlocking on a separate conspiracy count.
- Prosecutors said Cohen and associates defrauded Jrue Holiday, Chandler Parsons and Courtney Lee of more than $5 million.
- The scheme involved life‑insurance settlement policies worth about $1.7 million that were sold to clients for roughly $6.2 million, reflecting markups as high as 310%, according to prosecutors.
- About $500,000 was allegedly funneled to a basketball‑related nonprofit and used for personal projects, including a backyard gym, with additional spending on pool work and payments to a romantic partner, prosecutors said.
- Cohen faces up to 20 years in prison at sentencing; an accountant involved, Brian Gilder, previously pleaded guilty to wire fraud conspiracy, and Morgan Stanley had discharged Cohen in 2021.