ABC/Richard HarbaughA business manager for Ne-Yo and Brian McKnight has been found guilty of defrauding both artists in a sports beverage scam.
An Ohio jury found Kevin Foster guilty of 16 charges, including wire fraud, money laundering, bankruptcy fraud, tax evasion and filing false tax returns, according to Cincinnati.com.
Prosecutors say that addition to working with Ne-Yo and McKnight, Foster also served as a controller for the Imperial Integrative Health Research and Development company, He convinced Ne-Yo, born Shaffer Smith, and McKnight, to invest in the firm’s sports drink, OXYwater, under false premises.
Court documents also show that Foster took more money out of their accounts than they agreed to invest.
“Unbeknownst to Smith, Foster invested an additional $1.5 million of Smith’s money into the product without his consent and fraudulently took out $1.4 million in lines of credit under Smith’s name by forging his signature,” prosecutors said.
They added that Ne-Yo and McKnight did not know that Foster was receiving a large commission from the company based on their investments.
Foster used the millions he stole from the singers to purchase several luxury vehicles, designer watches, and season tickets to the New York Giants and New York Knicks.
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