Co-founder of 777 Partners Charged with Fraud
The co-founder of 777 Partners, an investment firm that made an unsuccessful attempt to acquire Premier League club Everton, has been charged with defrauding lenders and investors of over $500 million (£372 million).
Josh Wander, 44, is accused by federal prosecutors in Manhattan of falsifying financial documents to exaggerate the financial status of 777 Partners.
A potential acquisition of Everton by 777 Partners collapsed in June 2024, prior to the club being sold to the Friedkin Group by Farhad Moshiri in December of the same year.
US Attorney Jay Clayton stated, "Wander utilized his investment firm, 777 Partners, to deceive private lenders and investors out of hundreds of millions of dollars by pledging assets that his firm did not own, falsifying bank statements, and making other significant misrepresentations regarding 777's financial condition."
Ricky J. Patel, the special agent in charge, described the financial portrayal of 777 as "an illusion of stability that was a years-long house of cards."
Prosecutors allege that since 2018, Wander began investing in "new sectors with uncertain cash-flow profiles, including streaming platforms, airlines, and professional sports teams such as Sevilla FC and Genoa CFC."
They claim he undertook these investments knowing that the Miami-based firm either lacked the necessary funds or had already committed them to other lenders, while attempting to hide this information.
Wander, who resides in Miami, Florida, faces one count of conspiracy to commit wire fraud, one count of wire fraud, and one count of securities fraud, each carrying a maximum penalty of 20 years in prison. Additionally, he is charged with one count of conspiracy to commit securities fraud, which carries a maximum sentence of five years.
Wander's attorney, Jordan Estes, stated that he denies all charges, asserting to Bloomberg, "This is a business dispute disguised as a criminal case. We look forward to clearing the record."