Miami Heat Says It Lost $3 Million in Scott Rothstein Ponzi

The Miami Heat has reached a settlement to recoup part of what it says was a $3 million loss from its involvement in the $1.4 billion Scott Rothstein Ponzi scheme, according to documents filed Tuesday.The RRA bankruptcy trust initially sued the Heat and its affiliate, Basketball Properties Ltd., to get...

By Rich Abdill

July 5, 2012

[
        {
          "name": "GPT - Billboard - Slot Inline - Content - Labeled - No Desktop",
          "component": "16971022",
          "insertPoint": "2",
          "requiredCountToDisplay": "2"
        },{
          "name": "Editor Picks",
          "component": "15769925",
          "insertPoint": "4",
          "requiredCountToDisplay": "1"
        },{
          "name": "Inline Links",
          "component": "16575154",
          "insertPoint": "8th",
          "startingPoint": 8,
          "requiredCountToDisplay": "7",
          "maxInsertions": 25
        },{
          "name": "GPT - Rectangle 2x - Slot Auto-select - Labeled",
          "component": "15782206",
          "insertPoint": "8th",
          "startingPoint": 8,
          "requiredCountToDisplay": "7",
          "maxInsertions": 25
        },{
          "name": "Inline Links",
          "component": "16575154",
          "insertPoint": "8th",
          "startingPoint": 12,
          "requiredCountToDisplay": "11",
          "maxInsertions": 25
        },{
          "name": "GPT - Leaderboard to Tower - Slot Auto-select - Labeled",
          "component": "15782207",
          "insertPoint": "8th",
          "startingPoint": 12,
          "requiredCountToDisplay": "11",
          "maxInsertions": 25
        }
      ]

The Miami Heat has reached a settlement to recoup part of what it says was a $3 million loss from its involvement in the $1.4 billion Scott Rothstein Ponzi scheme, according to documents filed Tuesday.

The RRA bankruptcy trust initially sued the Heat and its affiliate, Basketball Properties Ltd., to get back $156,000 Rothstein paid them that lawyers said actually belongs to investors; the Heat responded with a counterclaim saying its company is owed $3 million.<

The settlement, first written about by the South Florida Business Journal but not yet approved by the judge, says the claim against the Heat will be dropped and the Heat's claim against RRA will be reduced to $625,000. The team would also be pretty far down on the list of people to get paid back -- it gets its money only if investors get 25 percent of their money back and even then on a proportional scale with the other investors.

RRA-Heat Agreement

Follow @NewTimesBroward

KEEP NEW TIMES FREE... Since we started New Times, it has been defined as the free, independent voice of South Florida, and we'd like to keep it that way. Your membership allows us to continue offering readers access to our incisive coverage of local news, food, and culture with no paywalls. You can support us by joining as a member for as little as $1.