Son of FSU football coach pleads guilty in $10 million fraud

The Miami Herald ^ | Tuesday, April 29, 2003 | JAY REEVES - Associated Press

[Willie Green]

For education and discussion only. Not for commercial use.

BIRMINGHAM, Ala. -Steve Bowden, eldest son of Florida State football coach Bobby Bowden, pleaded guilty Tuesday to conspiring with former Alabama quarterback Brian Burgdorf in a scheme prosecutors said swindled $10 million from investors, including the FSU coach.

Steve Bowden admitted to being part of a scam to sell unregistered securities through The Millennium Fund, which billed itself as being for "the privileged few."

Assistant U.S. Attorney Adolph Dean said Steve Bowden brought in his father and three other investors who lost a total of $4.4 million. Bobby Bowden invested $1.6 million, Dean said.

The younger Bowden once co-wrote a book titled "The Bowden Way" with his father, a Birmingham native who has been at Florida State since 1976.

A second man, James Michael Hanks of Hoover, pleaded guilty to conspiracy and tax charges during a hearing before U.S. District Judge Karon O. Bowdre.

Burgdorf, who was a captain at the University of Alabama as a senior in 1995, intends to plead guilty during a hearing Friday, said his attorney, Ron Marlow. He didn't say what charges would be involved. Steve Bowden pleaded guilty to conspiring to sell unregistered securities.

Prosecutors will recommend a sentence of one to two years in prison for Hanks and probation for Bowden, Dean said. Bowdre set sentencing for July 30.

Other than the longtime coach, documents showed investors included Steve Bowden's brother-in-law, John Madden; four doctors; and former University of Alabama athletic booster Logan Young of Memphis, disassociated from the Crimson Tide program because of NCAA rules violations.

Bowden and Burgdorf were among the recruiters who brought investors into the scheme, which began in 1996 and included a web of accounts and corporations, according to plea documents filed by federal prosecutors.

A lawsuit filed by the Commodities Futures Trading Commission said Bobby Bowden invested in the fund in 1997 on the promise of a 14 percent return.

[billbears]

A Bowden involved in a scam?!? Who'd of thunk it?

[Constitution Day]

Heh heh! Crimi-Noles bump!

[ewing]

Were free shoes invovled in the invesment scam?

[CSXT]

Do I detect the odor of gaytors?

[seamas]

Note bene: Bobby was a victim. Steve was not part of the Seminole staff. Three Gators arrested in last three weeks, and five Bulldogs, but nary a peep.

[lelio]

Prosecutors will recommend a sentence of one to two years in prison for Hanks and probation for Bowden,
Shoplifters are punished more than $10M swindlers. Incredible.

[zarf]

Guess that means my Canes are the only clean ones in the state...;)

[Just mythoughts]

Who owns and runs the Millennium Fund, and how is it possible to sell unregistered securities?

James Michael Hanks of "HOOVER" second time this week I have heard that name. Hillary speech in CT to fundraisers "not since Hoover" - "Bush policies"

[Willie Green]

but nary a peep.

The media seems intent on underreporting this story.
I just happened to come across it buried deep in the sports pages of the local paper - a couple paragraphs slipped in almost as a filler.

[ewing]

So the pre season misdeamanor criminal scores are Jawja U. 5 and Gaytors 3?..

[Sloth]

Probation?!!

[bourbon]

well, I can answer ONE of your questions.

how is it possible to sell unregistered securities?

simple. Don't file a registration statement with the SEC before making the sale. "Registered" here means "registered with the SEC." It does not mean "listed on a stock exchange." Hope that helps.

[bourbon]

Brian Burgdorf was one of the crappiest QBs in UA history.

[mabelkitty]

This was done in the '80s, kid.

It was called the Billionaire Boys Club (with Ron Silver).

People are soooo stupid for forgetting history.

[Just mythoughts]

thanks