'Zero Risk' NBA Preseason Game Deals Were an 11-Year Ponzi Scheme, El Paso Promoter Sentenced

Published Oct. 26, 2026. Case statuses are current as of that date.

The pitch had glamour built in: put money into an NBA preseason game, collect a guaranteed return, and roll the profits into next season. Federal prosecutors in Texas say none of the money went to the games, and that an El Paso man kept the scheme going for more than a decade.

On Oct. 23, 2026, the U.S. Attorney's Office for the Western District of Texas announced that Timothy France Johnson, 63, of El Paso, had been sentenced to 51 months in federal prison and ordered to pay a money judgment of $3,148,094.48 for running an 11-year Ponzi scheme built on claims that he promoted NBA preseason games [1]. A separate restitution hearing is scheduled for Nov. 19.

How the scheme worked

According to court documents described by federal prosecutors [1][2], from about Feb. 9, 2009, through about May 14, 2020:

1. The story. Johnson told investors that, as a third-party promoter, he would use their money to book venues and fund marketing for NBA preseason games. He told one investor he had been organizing NBA games since the late 1980s or early 1990s.
2. The guarantee. He gave investors agreements promising guaranteed returns, essentially representing the investments as "zero risk." One investor was told to expect a 33% return and that the games were insured if ticket sales fell short. Some agreements were signed with his company, BOLO Sports & Entertainment LLC.
3. The paperwork. Johnson supplied fraudulent investment statements, contracts and letters to back up his claimed connection to the NBA.
4. The rollover. After a preseason ended, he would tell investors how much they had "made" and urge them to roll the money into the next season's games.
5. The perks. He discussed letting some investors acquire his business and took two of them to a preseason game, telling them they would meet NBA and team executives. They attended the game, but the meetings never happened.

An FBI investigation found that investor money was not used to pay for games or promotion. It went to earlier investors, was withdrawn as cash or was spent on non-business expenses. A financial analysis showed none of one investor's funds went to the NBA, teams, venues or promotion-related costs [2]. Prosecutors say he solicited more than $3 million in all [1].

"Johnson carried out his Ponzi scheme for over a decade, all to cultivate an image of success and importance that was a complete façade," said U.S. Attorney Justin R. Simmons [1].

The person convicted and his status

Timothy France Johnson, 63, of El Paso, Texas. He was charged in April 2024 with seven counts of wire fraud and three counts of engaging in monetary transactions in property derived from specified unlawful activity. In March 2026, he pleaded guilty to the seven wire fraud counts [1][2]. The sentencing announcement, dated Oct. 23, 2026, reports a 51-month prison term and a $3,148,094.48 money judgment, with restitution to be addressed at a hearing set for Nov. 19 [1].

The FBI investigated. Assistant U.S. Attorneys Shane Romero and Chris Skillern prosecuted the case [1].

Nothing in the releases suggests the NBA or any team was involved in or aware of the scheme. Johnson's claimed connection to the league was, according to prosecutors, supported by fraudulent documents.

Red flags of sports and event investment pitches

• "Guaranteed" or "zero risk" returns. Live events can lose money; any honest promoter will say so.
• Name-dropping a league or team without contracts you can independently confirm with that league or venue.
• Requests to "roll over" your winnings into the next event instead of paying you out.
• Perks in place of proof, such as tickets, VIP access or promised meetings with executives.
• Fixed minimums and short deadlines, such as being told a certain amount is required to get into this season's deal.

What to do if you've been targeted

1. Verify independently. Contact the venue or team directly, using contact details you find yourself, to confirm a promoter's role.
2. Check whether the offering is registered and whether the promoter is licensed, through Investor.gov and your state securities regulator.
3. Keep records of agreements, wires, statements and messages.
4. If you invested with Johnson, the U.S. Attorney's Office's March 2026 plea announcement points possible victims to an FBI victim questionnaire for the "Johnson Investment Investigation" on fbi.gov [2].
5. Report suspected investment fraud to the FBI at IC3.gov, the SEC at sec.gov/tcr, or the FTC at ReportFraud.ftc.gov.

Case status (as of Oct. 26, 2026)

Defendant	Court	Status	Source
Timothy France Johnson, 63, of El Paso, Texas	U.S. District Court, W.D. Tex.	Charged April 2024; pleaded guilty March 2026 to seven wire fraud counts; sentenced to 51 months and a $3,148,094.48 money judgment (announced Oct. 23, 2026); restitution hearing set Nov. 19, 2026	[1] [2]

Statuses can change. The release does not state what happened to the three monetary-transaction counts; status pending.

Sources

1. U.S. Attorney's Office, Western District of Texas, "El Paso Man Sentenced for Defrauding Investors as Third-Party NBA Preseason Game Promoter," Oct. 23, 2026. https://www.justice.gov/usao-wdtx/pr/el-paso-man-sentenced-defrauding-investors-third-party-nba-preseason-game-promoter
2. U.S. Attorney's Office, Western District of Texas, "El Paso Man Pleads Guilty to Defrauding Investors as Third-Party NBA Preseason Game Promoter," March 30, 2026 (updated April 14, 2026). https://www.justice.gov/usao-wdtx/pr/el-paso-man-pleads-guilty-defrauding-investors-third-party-nba-preseason-game-promoter

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