Investment is one of the easier ways for NFL players to protect and grow the massive salaries they receive in the league. However, some reports make the move questionable. Back in April 2011, Kurt Branham Barton, CEO of an Austin-based investment firm, was convicted of running a $50 million-worth Ponzi scheme that included more than 300 investors, including multiple former NFL players. Recently, professional athletes have fallen victim to a similar fake scheme.

On March 13, Atlanta Magistrate Judge J. Elizabeth McBath denied bond to Kwamaine Jerell Ford for targeting the NFL players in a two-pronged scheme while he was in federal custody. Ford, who began these schemes in November 2020, is accused of nine counts of wire fraud, seven counts of computer fraud, one count of access device fraud, four counts of aggravated identity theft, and one count of s– trafficking, according to federal prosecutors.
Watching these cases unfold, former Kansas City Chiefs Justin Reid has taken to social media to raise awareness about such crime rings.

“If you are an athlete and someone comes to you saying they want you to invest in or represent a SPAC, and they are specifically targeting athletes bc of “X, Y, Z”… RUN AWAY!!!!!” Reid shared a detailed message on X to alert his fellow players about a new scam making the rounds. “This is a scam where they are manipulating you to invest your money and TAKE A CUT before the investment ever happens.

“They get paid regardless, even after the SPAC very likely will flop. They are using you, and you are quite literally paying the price.

“If you are an athlete and they ask you to represent or find investors for this SPAC in exchange for a promise of commission, stock, or some other version of compensation, THIS IS ILLEGAL since you do not own a broker license and that is known as broker activity. They are using you to do their dirty work and leverage your relationships for profit at the expense of your friends.”

Last year, former Miami Dolphins safety Reshad Jones lost $2.58 million after becoming the victim of a large-scale theft and money laundering scheme that spanned from 2019 to 2024. As per the Harvard Business Journal, a Special Purpose Acquisition Company (SPAC) is the root of such bluffs.

SPACs are shell companies that raise capital through an Initial Public Offering (IPO) to acquire or merge with a private firm. These ventures take companies public within 3-6 months and are known as “blank check companies,” as they provide a faster alternative to traditional IPOs. But they often carry higher risks. Here’s how high-profile athletes become their favorite targets:

Using this MO, these companies target a notable celebrity or athlete to invest in a SPAC and promise them massive returns in a brief span of time. However, these investors are often at risk as the sponsors of these SPACs (the first investor in a venture, who raises the initial capital) hold all the cards.

Unlike an IPO, the sponsor starts with a 20 percent stake, called a “Promote,” which brings with it much less regulatory scrutiny. However, this “Sponsor” invests almost nothing in exchange for this 20 percent stake.

As such, they can walk away with millions or tens of millions of dollars even if the SPAC performs horribly and the share price plummets. Meanwhile, normal investors, as the athletes lured, lose everything. Even if the post-merger SPAC performs well, the sponsor earns a disproportionate amount of the proceeds.

The need to invest also rises from the fact that 78% of NFL players go bankrupt or fall into severe financial stress within just two years of retirement, as per Kiplinger. But, when done wrong, it can be the heaviest toll on them. That’s where Reid’s advice comes from:

“If you are an athlete or know an athlete, don’t allow yourself or your friends to be used for your money or your relationships,” Reid tweeted. “Ask a ton of questions, and most importantly, ask someone who has YEARS of experience in the space about it, and make this group talk to them about it.”

While Justin Reid continues to raise awareness about financial scams, the star safety has also helped out his current team, the New Orleans Saints, to create financial relief as the franchise recently restructured his contract to improve their cap space.

Saints restructure Justin Reid’s contract for salary cap relief

After finishing the 2025 season on a disappointing note with a 6-11 record and placing fourth in the NFC South, the New Orleans Saints are leaving no stone unturned to help head coach Kellen Moore build a competent roster. Hence, the New Orleans front office restructured Justin Reid’s three-year, $31.5 million contract.

The Saints converted $7.95 million of the safety’s $9.25 million base salary into a signing bonus. With this move, Reid’s salary will be pushed into the next five seasons while his contract still automatically voids at the end of the 2027 league year.

After this restructuring, Reid’s salary cap number went down from $11.55 million to $5.19 million, creating $6.36 million in savings.

While helping out the Saints, Justin Reid remains adamant about using his platform to protect fellow athletes from financial scams. With so many NFL players facing money troubles after retirement and such schemes only growing, his warning is both timely and important.