EL PASO, Texas
An El Paso man pleaded guilty in federal court to seven counts of wire fraud for running a Ponzi scheme that falsely promised returns from NBA preseason game promotions, federal prosecutors stated this week.
Timothy France Johnson, 63, admitted soliciting investor funds from about February 2009 through May 2020, claiming he would use the money to secure venues and promote NBA preseason games. He told investors the deals carried “zero risk” and guaranteed returns, according to court records.
Prosecutors said Johnson provided fraudulent contracts, investment statements and letters to bolster claims he had ties to the NBA. Instead, investigators found the money was used to pay earlier investors, withdrawn as cash or spent on personal expenses.
One victim invested over several years, wiring $15,000 in 2014 and another $20,000 in 2018 after Johnson urged the investor to roll over profits. In 2019, the same victim signed agreements to invest $100,000 in two preseason games through Johnson’s company, BOLO Sports & Entertainment LLC, with promises of full repayment and a share of profits.
Another victim was promised a 33% return and “zero risk,” with Johnson claiming the games were insured. That victim invested $160,000 in 2019 under agreements guaranteeing full repayment plus profits.
A third victim invested $75,000 in 2019 and 2020. Financial analysis showed none of the funds were used to pay the NBA, teams, venues or other promotional expenses.
Johnson also gave two investors tickets to a preseason game and told them they would meet NBA executives to discuss acquiring his business. The meetings never occurred.
Johnson was indicted in April 2024 on seven counts of wire fraud and three counts of engaging in monetary transactions with criminally derived property. He pleaded guilty Friday to the wire fraud counts and faces up to 20 years in prison on each count.
Sentencing will be set by a federal judge.
The FBI investigated the case.