Leon Smith has been charged with defrauding more than $1.2 million from professional athletes who used his companies for financial services. Smith has been indicted of laundering, aggravated identity theft and “devising a scheme to defraud and obtain money and property from clients by means of false pretenses.”
According to the Lexington Herald-Leader, the federal indictment says Smith’s companies provided services to professional athletes like help with moving, real estate purchases or rentals, bill payments, and referral to other professionals for legal needs and financial planning. He was paid a percentage of the client’s earnings for his services. The indictment says he started abusing his clients’ financial accounts and taking money without authorization. One of Smith’s clients was former UK basketball player Josh Harrellson. He says Smith stole about $180,000 from him and he’s filed a lawsuit.
Smith was director of men’s basketball operations at UK, from 2001 to 2006 under Coach Tubby Smith and was an assistant athletic director from 2006 to 2009. And he played for three seasons as a wide receiver on UK’s football team from 1993 to 1995.
Smith’s arraignment is scheduled for May 15th.