A Chicago-based investment advisor who once represented six-time NBA champion Scottie Pippen was indicted on federal charges, accused of defrauding two of his clients as well as a suburban bank out of more than $3.2 million, the Chicago Tribune reports.
Wednesday a federal grand jury indicted Robert Lunn, 62, with 5 counts of bank fraud. Each bank fraud count carried a maximum penalty of 30 years in prison, a $1 million fine, and mandatory restitution. According to prosecutors, the bank lost more than $2.7 million as a result of Lunn’s actions and looks to recover at least that amount.
According to the indictment, Lunn allegedly misrepresented the purpose of the loans as well as the nature of his investment portfolio to Oak Brook-based Leaders Bank. Lunn is accused of using the money for his own benefit, making mortgage payments and paying off other investment clients.
This isn’t Lunn’s first run in with the law; in 2004 he lost an $11.8 million dollar judgment to Pippen after the NBA legend accused him of steering his money into dubious investments, including real estate and an airplane deal.
Neither Lunn nor Leaders Bank have issued a statement.