DawgTalkers.net Forums DawgTalk Tailgate Forum Browns LB Mychal Kendricks charged by the Feds with insider trading.

I would assume so but in reality, it would probably be minimal since he seems to be spilling the beans on the actual broker who was feeding him the info.. that's the guy they really want.

The weirdest thing is that this stems from events that took place in 2014 & 2015.

to me, it seems like we were mostly mad about him lying to us ... in the statement that was the overall message

Yep!

This is going to take a few days to digest .... it makes NO SENSE ... this is the only explanation that makes sense to me right now ... and its MIND BOGGLING if true ...

The value scale makes NO SENSE ....

Beat your girl ... 2nd chance ...

multiple drug suspensions ... whats josh on ... strike 3 or 4 ...

Don’t say a word to us about getting pulled over with weed in your car as a rookie more than likely in the program and make us look like a-holes and thats OK... U GET A 2ND CHANCE ....

BUT LIE TO US JUST ONCE and YOUR DONE!!!

Very wierd ... did the F’NG thief strike again or does Dorsey have the MOST F’D UP VALUE SYSTEM EVER ...

I get the fact u can’t tolerate lying ... but if your willing to roll the dice on the domestic violence and druggies you’d at least give a liar a 2nd chance ...

SUMPTINS ROTTEN IN DENMARK!! ... either that or this dude told a whopper ...

Browns announce release of Mychal Kendricks hours after news of insider trading charges




Yahoo Sports
JACK BAER
Aug 29th 2018 10:01PM
link


The Cleveland Browns announced Wednesday that they had cut linebacker Mychal Kendricks, less than 12 hours after news broke that Kendricks had been hit with federal charges for insider trading.

Kendricks is accused of making about $1.2 million through investments with an acquaintance named Damilare Sonoiki. Kendricks is expected to plead guilty to a criminal scheme that involved trading cash kickbacks, NFL tickets and invitations to celebrity-filled events for inside stock tips, according to Philly.com. Those tips reportedly included confidential information about four companies that were eventually acquired in deals that netted investors major profits.

The 27-year-old Kendricks signed a one-year deal with the Browns worth up to $3.5 million this offseason after a six-year tenure with the Philadelphia Eagles that culminated in the franchise’s first Super Bowl. Up to that point, Kendricks had made an estimated $20 million in cash over the course of his career, according to Spotrac.

Browns release statement on Mychal Kendricks
Browns GM John Dorsey released the following statement on Kendricks’ situation:

Prior to signing Mychal, we were informed that there was a financial situation that he had been involved with in 2014. We were told Mychal had fully cooperated with investigators as a victim. From what was communicated at that time and based on the numerous questions we asked and further due diligence on our part, including checking with the league office, there was no information discovered that conveyed otherwise.

Recently, we were provided an update on the matter and the circumstances have changed. We are now dealing with a different set of facts and the additional information we’ve gathered has led us to the decision to release Mychal from our team. Due to the ongoing legal nature of this situation, we will have no further comments.

It appears that the Browns were told that Kendricks was more of a victim than conspirator in the scheme with Sonoiki, but updated information led them to believe that cutting ties with Kendricks was their best option going forward.

Kendricks was a significant part of the Eagles’ stout defense, racking up 51 total tackles, six pass deflections and two sacks. Pro Football Focus gave the versatile defender a top-10 grade among linebackers.

optimism waning

I think it is also about, perhaps even more so about, the contract he signed and how realistic it is to suggest that he won't even be playing this year. Or if he does, very few games.

He is on a one-year contract. The league will hand down something severe at some point, I'd imagine. But that aside, this guy is most likely going to do some jail time. Even if it is just a few months, that's the season essentially. What's the point of keeping him on the roster for a few games?

If he was on a long-term deal and there was some more money involved, I could see the team holding out on making a decision to weigh all options. But in this case, it seems like a no-brainer.

Hopefully there is some contractual language that allows the Browns to get all that money back consdering he broke the law. I'm guessing that will be the case.

This from our POS Owner ..

You made some very good points. Hell, I would cut a guy for not paying child support before I would cut a guy for making millions due to insider information.

I also think that, this case could take a lot of time to be resolved in the courts if Kendricks and his attorneys want it to. Thus, he could easily have played this entire year.

I don't believe that we should have cut Kendricks at this point in time.

This may make me a horrible person in the eyes of some, but I don't really believe that the crime is all amoral. I understand why the government needs to punish those who commit such crimes, but I think it takes intelligence and hard work to pull of such a crime. I think beating a woman or kids is far worse than this. I think rape is far worse than this. I think having kids w/multiple women and then refusing to support those kids is far worse than this. I think a lot of crimes are far worse than this one, strictly from a moral point of view.

I think that is exactly the case.

I'm guessing that it was a combination of him being expected to do some fairly significant time, the team having no prior, established relationship with him, and him only being on a 1 year deal.

And where do you make room for due process?

The Browns were told "Mychal had fully cooperated with investigators as a victim." In fact, he was the perpetrator. I'm sure that very little was shared with the Browns along the way under the guise of the "legal process". His attorneys probably told him there was a small chance information he shared could lead to a "bigger fish" and allow him to walk away with little damage so the lie continued.

I'm sure the league office played a role in this as well since part of the payment was NFL game tickets. The league doesn't take black marks against the sport lightly. I would almost guarantee the Browns were advised to cut him as soon as the news broke.

It's a shame that a single dumb decision can lead to this but given the fact that they communicated "in code" and the amount of money involve, Mychal playing "dumb" about the whole thing is, well, dumb.

I'm reading that federal prosecutors expect a 2-3 year prison sentence.

My guess is that he was cut because he will be in prison.

j/c

He will most likely will get in far less trouble by admitting what he already did and helping the prosecutors with their case against any and all others involved (aka snitching).

I guess the Browns had to put their foot down sooner or later?

P.S. Jimmy Haslam said he didn't know about what was happening at his own company and received no prison time. Here in America? Billionaires & the well connected rarely go to prison and he is just that.

I'm not sure if we knew that he was guilty or not, but we surely didn't like him lying to us when he signed here

Well, the news broke to the public alongside his statment claiming guilt at the same time. My guess is the team knew of his guilt far in advance of formally cutting him.

Now that i’ve Calmed down some ...

We must know what’s coming down the pike with the plea deal and he must be doing some time .. witch i dont understand ... no reason they cant put the plea off or start the time after the season ...

Well ... not sure why the league would whack him for a lot of games but maybe that is ... hes getting suspended and ... ahh crap ... I DUNNO ... I shouldn’t be thinking out loud on here .. *L* ...

Not sure why we didnt wait to cut him ... crap ... were gonna miss him against Pit especially if Avery can’t play ... were gonna miss Avery rushing the passer and Kendricks was similiar in that regard ...

I agree with u ... its no where’s near the level of morality issues with this crime as opposed to the other crimes these guys commit on what seems to be a daily basis ..

Oh well ... THIS SUCKS and i really hope we didn’t pull the trigger to soon just for the sake of pulling the trigger ..

And there MORONS ... his broker more so ... u know how hard it is to get caught at this ... its almost like they wanted to get caught ... they made it too easy if everything i’m reading is right ..

My thoughts as well.

The MMQB did an in-depth article Explaining the Insider Trading Case Against Mychal Kendricks complete with documents from the complaint filed by the SEC and the U.S. District Court.

I though this was interesting from the article.

The Associated Press reports that the Browns were aware in June when they signed Kendricks that there was an ongoing insider trading investigation connected to him. The Browns, however, apparently didn’t know that federal authorities viewed Kendricks as a target of the investigation. It’s unclear why the Browns came to this favorable belief of Kendricks when the linebacker now freely admits he engaged in wrongdoing (it’s possible that Kendricks has simply changed his account between what he told the Browns in June and what he now admits to).

Considering this information, I would hope there is a clause in his contract that precludes him from getting paid and/or staying on the team if charges are brought forth.

As some have mentioned, Josh admitted in an article he did a LOT worse things than insider trading and he's still here.

There has to be more to this than we're seeing.

Not for nothing, but, isn't what Josh said he did just Josh saying that? No proof, is what I mean. (other than drugs).

What Kendrick has admitted to, and was investigated about 2-3 years ago, is a federal crime. And apparently the fed's have the scoop on it also. (proof)

From the article it appears the Browns may not be on the hook for his salary.

Both the Browns and NFL are relevant stakeholders for Kendricks’s future in the league. Kendricks’s admission to wrongdoing, albeit not in the form of a courtroom plea, gave the Browns reason to swiftly terminate Kendricks’s contract. The standard NFL player contract contains several clauses that empowered the Browns to lawfully end their relationship with Kendricks. For instance, Paragraph 2 requires that a player “conduct himself on and off the field with appropriate recognition of the fact that the success of professional football depends largely on public respect for and approval of those associated with the game.” Further, Paragraphs 9 and 11 permit teams to terminate the contract of a player whose “personal conduct [is] reasonably judged by club to adversely affect or reflect on club.” Kendricks openly admitting that he engaged in insider trading clearly gave the Browns a legitimate reason to cut him.

Josh Gordon also wasn’t employed by the team while he was in high school.

and there are not Federal charges levied against Josh.

This isn't a speeding ticket, or a bad Whiz Quiz, or even Calloway's bust for a roach & a suspended license. Yeah, it's "white collar", but this is serious prison time kinda stuff.

People are comparing Josh to Kendricks it just dumb.

1. Josh was never charged for what Josh admitted too. For all we know, he was giving lip service for a news article.

2. Kendricks ADMITTED after being CHARGED for a crime. He is going to go to jail....why should the team keep a player that's going to be in lockup soon on the roster....

sheesh

So admitting something means nothing. Got it.

Year after year, excuse after excuse, the teflon Gordon marches on.

You have that not quite right.

The only manner Josh has been "marching" on, is by not being in prison. And he's not in prison, because he wasn't caught by cops.

Kendricks, on the other hand, is facing FEDERAL charges on counts the Fed's take very serious.


Josh has paid a penalty as well. He's about 40 years old, still playing on his rookie contract. (slight exaggeration there - I know)

Yeah, I know. Great character guys like Josh can't be compared to other low character guys.

To be fair, he did say “two of the players they highlighted”. Guess I don’t get the humor.

Anyways just a one year contract. He’ll probably be paying back some of that contract money depending on what the nfl finds.

Who said Josh was a 'great character' guy? I didn't.

And honestly, if that's what you got out of my post, it's obvious having a conversation with you is futile.

Carry on. Look foolish if you must. Sorry you don't understand the differences.

So because I think a man who admitted to violent felonies has no more right to play in the NFL than a man who admitted to having committed a white collar crime felony, that makes me look foolish? The only difference here is that one has been indicted and one has not been. The actuality of it is that Josh admitted to committing violence against other human beings.

You may wish to look in the mirror at the excuses you're making before you say someone else looks foolish.

Have it your way. "The only difference here is that one has been indicted and one has not been."

We all have our opinions, but I think not paying child support to your two children is a worse crime than insider trading.

I fully realize that the prison sentences are worse for the latter, but if you are going to have kids, you should take care of them.

Agreed for the most part. And once Josh has an income, all that needs to be done is contact children's services, and they will take care of taking the money out of his check before he ever sees it. (unless he's contesting the child support)

Fixed it for ya bro, got your back!

Indeed. We have a WR that can't bother to show up for camp, that gets suspended more that one can count and they welcome him back. Why cut MK now? Hell, let him play and earn that money. If he only gets 6 months in jail he could serve it in the off-season and we could resign him for next year. He was having a really good camp.

What about all that back support? They need to take a couple of his game checks to get him all paid up.

If you had a clue how it works, you'd know they will. The only question is if he's fighting it. Tests will prove one way or the other. At that point, if he is the father, his check will his gross income, his taxes, and his deductions. Child support would be one of them.

It's fairly simple. Well, for anyone that's tried to collect from a parental unit that didn't pay support.