SI.com released a list today of several coaches, players and former coaches that invested in a ponzi scheme lead by the late David Salinas, a Houston one manager and AAU team operator.
Among those listed with major investments, including Texas A&M coach Billy Gillespie, former Arizona coach Lute Olsen and Golden State Warriors forward Ekpe Udoh was former San Antonio Spurs assistant coach Rudy Davalos.
Davalos, a San Antonio native, served as Spurs assistant coach for three seasons from 1973 to 1976 before going on to become the Athletic Director at UTSA, the University of Houston, New Mexico and joining the NCAA tournament selection committee.
Davalos, according to the SI report, invested $83,000 with Salinas. But the total amount of investments is estimated to be about $55 million.
According to the report, several of the coaches were shocked to hear about the investment scandal, especially when Salinas was someone they trusted.
A Ponzi scheme hypothetically occurs when people invest with the promise of high returns. Returns which are taken from the original investments and the investments of new investors once word of the high returns gets out.
Salinas was being investigated by the Securities and Exchange Commission and the FBI.