Donnan goes from Hall of Fame to ‘real SEC’ Hall of Shame
It turns out life was a lot simpler when Jim Donnan was just a football coach. (Getty Images)
As Georgia football coaches go, Jim Donnan is the only one who collapsed under the weight of the SEC.
Not that SEC — the real one.
The Securities and Exchange Commission has charged Donnan with conducting an $80 million Ponzi scheme with an Ohio partner through a West Virginia company, GLC Limited.
This is even worse than losing to Kentucky in your first season.
Donnan mostly made his mark as a football coach at Marshall, where he won Division 1-AA championships. At Georgia, he was a step up from Ray Goff but not nearly as good as his replacement, Mark Richt. He had an impressive enough career to be inducted into the College Football Hall of Fame in 2009. What happened after that, I don’t know.
Once a coach or an athlete has achieved a certain level in sports and made a fair amount of money, it should not be that difficult to capitalize on your name — legally.
Donnan never coached again after getting fired following the 2000 season. He went into broadcasting. He got a job at ESPN. He did local sportstalk radio. Everything seemed fine. But often that competitive edge, the need for a thrill, that drives coaches and athletes doesn’t leave them post-career. That can become their undoing. It’s the simplest explanation I can think of for what Donnan has been accused of.
If the allegations are true, Donnan did the worst possible thing: He used his name to commit fraud against those who considered him a friend. He duped coaches and former players.
Among the SEC’s claims: “Donnan recruited the majority of investors by approaching contacts he made as a sports commentator and as a coach. For instance, he capitalized on his influence over one former player by telling him, ‘Your Daddy is going to take care of you. … If you weren’t my son, I wouldn’t be doing this for you.’ The player later invested $800,000.”
Imagine if Donnan didn’t consider him a son.
This story first broke last year. GLC Limited filed for bankruptcy in March of 2011. Donnan filed for bankruptcy a few months later. Financial disclosures indicated he owed $8.25 million to GLC Limited, according to a story in the Journal-Constitution. The court filing included 65 pages of creditors from several states.
In July of 2011, our Tim Tucker quoted Donnan’s attorney, Edward Tolley, as saying: “If this was a phony scheme, a lot of people were fooled, including, I submit to you, Jim Donnan.”
That defense apparently did not sway the SEC.
According to a news release on the charges, Donnan and his partner, Gregory Crabtree, ran a wholesale liquidation business that earned “substantial profits by buying leftover merchandise from major retailers and reselling those discontinued, damaged, or returned products to discount retailers. They promised investors exorbitant rates of return ranging from 50 to 380 percent. However, only about $12 million of the $80 million raised from nearly 100 investors was actually used to purchase leftover merchandise, and the remaining funds were used to pay fake returns to earlier investors or stolen for other uses.”
So much for the simple and stress-free life of a football coach. Maybe Donnan should’ve just followed Goff into the chicken business.
By Jeff Schultz
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209 comments Add your comment
TheSabanFactor
August 16th, 2012
4:06 pm
WHile Donnan is a former employee of THUGA, he was also the mentor of many of his former players and look where their paths have led. Just as Mark Richt is the mentor of his Collection of Jailbirds from the Longest Yard. After all Donnan did this to one of his former players. I think any non Thuga fan, can see what the THUGA culture has been about since Dooley Retired. Donnan was an instrumental part in continuing and exploiting it. In a few years, I expect Mark Richt to lose his job due to his Joe Paterno/Bobby Bowden Management Style.
Big Crimson 75
August 16th, 2012
4:09 pm
Factor — I hope We don’t go all Texas Longhorn & try for a Crimson Tide Network.
We get enough LOVE from our fellow Conference members without having our own Network!!!
Ponzi Dawg
August 16th, 2012
4:12 pm
Hunker down you Hairy Dawgs!!!!
TheSabanFactor
August 16th, 2012
4:14 pm
Yes we dont need our own network, as it would cripple the SEC if we did. We have to keep these other 11 pretenders around to give us credence in strength of schedule. Texas broke up their whole conference doing that mess.
DONNAN OF A NEW ERA
August 16th, 2012
4:19 pm
““Thuga,” is racist.”
Everything is racist to people who see everything as racist.
DONNAN OF A NEW ERA
August 16th, 2012
4:22 pm
Jeff has egg on his face again.
Auburn commit Reuben Foster has OK to play at new high school after AHSAA inquiry
TheSabanFactor
August 16th, 2012
4:26 pm
Donnan of a New ERA it wasnt Jeff with egg on his face, it was Michael Carvell who implied NCAA with the [ technique. I think we all know who gave Carvell that “tip”, as he is notorious for chasing down false leads and running false quotes just to try and uplift the Thuga fanbase from their 32 year old drought. On an even brighter note
arius Page has been cleared to play
DONNAN OF A NEW ERA
August 16th, 2012
4:28 pm
TheSabanFactor
Jeff echoed the false sentiment of his fellow AJC reporter the other day and claimed that Foster was being looked at by the NCAA.
Yes, Jeff has egg on his face.
TheSabanFactor
August 16th, 2012
4:31 pm
I stand corrected. He probably has to tow the company line here at the TMZ errr I mean AJC of else he will go the way of Terrence Moore.Kicking Barners is childrens play, it takes some one with balls to take on UGA at AJC- Considering they have their own version of Harvey Updyke writing the Junkyward Blawg. I bet that guy has even more hats than Harvey does.
DONNAN OF A NEW ERA
August 16th, 2012
4:46 pm
“Kicking Barners is childrens play”
And by children you mean the UGA/Bama fans. I’m used to hearing Bama fans fight with Auburn fans but it is funny to see UGA fans do it since they haven’t been relevant since 1980.
Dawglasville
August 16th, 2012
4:50 pm
TheSabanFactor – Richt is cut from the Paterno mold? You are a piece of work. If you are dealing with someone who is smart you have a chance. If you are dealing with someone who thinks they are smart, you really don’t have a chance at all. It is pointless to go back and forth with you. I’m glad that Saban came into your life. Although I’m sure that if he didn’t you would be TheBearFactor.That is just the kinda guy you are.
TheSabanFactor
August 16th, 2012
4:55 pm
Dawglasville, so you dont think Richt is cut from the Paterno mold? Paterno let his players and coaches run wild for years until it all came crashing down. Its called Lack of institutional control.
UGA has a serious lack of instiutional control and a big part of that is Mark Richt. He just isnt able to bully the administrators at UGA the way Paterno has. UGA’s administration is the one kicking Crowell out, while Richt recruits another potential felon in his place like Christian “Banned from HS” Lemay.
GTBob
August 16th, 2012
4:56 pm
Chan’s doing a pretty decent job holding his own with the Bills, in a division with Belechik & Rex Ryan.
He is 10-22 with the Bills. That is a good job? Before that he was offensive coordinator of the Chiefs who went 2-14 and were the 26th best offense in the NFL. Before that he went 44-32 at GT winning more then 7 games once. Yeah, what a stellar coach. And yes, Reggie Ball was a crutch for him. Unfortunately it was a crutch that he created and kept using when almost nobody else agreed with his decision to do so.
Froggy The Gremlin
August 16th, 2012
5:01 pm
Dawglasville.. Why would I need to call you a racist. What race( according to you) would thuggery be characteristic of?
Dawglasville
August 16th, 2012
5:04 pm
When the NCAA tags us for Lack of Institutional control I’ll write you an apology blog. He lets the kids screw up and he punishes them. He treats them like adults, not property. We have a zero tolerance policy on pot. He is not going to baby sit those guys to make sure they don’t smoke pot. He punishes them when they do. Outside of this blogging world, the rest of the country sees Richt as a good man and a good coach. The crap you sling questioning his character is just that, blog crap. By the way, if he is such a joke, what is his record against Lord Saban? Surely, a man of Saban’s superior intellect has a perfect record against my joke of a coach and human being?
Andy
August 16th, 2012
5:06 pm
“A step up from Ray Goff?” You gotta be kidding! Ray Goff has more integrity in his pinkie than this piece of garbage; Note to sports writers: Life is about more than beating the Florida Gators….
TheSabanFactor
August 16th, 2012
5:09 pm
One another funny Jim Donnan Story from back in the day. Remember when THUGA got the slap on the wrist probation under him, when uga paid two recruits (Martavious Houston & Erick Lowe) who ended up taking the money and running to Allbarn? Another ironic moment in his legacy is Jim Donnan is the SEC coach who gave Albert Means money ($800) dollars to be exact, and not any members of the Alabama coaching staff.
Dawglasville
August 16th, 2012
5:10 pm
Froggy The Gremlin – Now that is clever. You’re sharp. Don’t sweat it dude. You use the term Thug when you refer to atheletes if that is what your upbringing leads you to do. Unfortunately, the rest of the world doesn’t know who Froggy The Gremlin so unfortunately we can’t really stay out of your way.
TheSabanFactor
August 16th, 2012
5:15 pm
Dawglasville. I am sure Branden Smith was punished appropriately for his arrest, and it had nothing to do with half of Thugas team being suspended against a Passing team in Missouri. Yes he really helped mold Odell Thurman into the man he is today. You are right he is a good coach, but he has great talent every single year and yet he underachieves. I am sure his Christian Charity has nothing to do with helping his one/loss record. I notice you didnt disagree with his Bobby Bowden teachings of “They are all Good Boys”
Mark Richt might have a higher overall winning percentage, but he has only Coached at UGA.
If he had coached at a Mid- Major he would have a much lower percentage. I personally like Coach Richt, and hope he stays there forever and that way I know UGA will never win another title that doesnt come with Fulmer Cup attached to it.
Union stooge Get Educated blog distorts issues
August 16th, 2012
5:22 pm
Continuing “debate” on AJC’s Get Schooled blog about charter schools—is between teachers’ union shills … and teachers’ union shills!
With AJC “moderator” Maureen Downey making a cynical mockery of presenting the issue.
The teachers’ unions, represented locally by the Georgia Association of Educators, are steadfastly against education reform and parental choice. State Schools Superintendent John Barge’s decision to break with other Republicans and oppose the charter school constitutional amendment on November’s ballot plays into their hands.
And predictably, Ms. Downey is doing all she can to see that the anti-parental choice viewpoint is heard—while BLOCKING from comment those of us who advocate for greater choice and freedom to innovate.
Which is why I’m posting here instead.
Bernie
August 16th, 2012
5:28 pm
He just wanted to be UGA’s …..first MADE – OFF, Man of the YEAR!
SecFan
August 16th, 2012
5:32 pm
Nobody thought he was good except Mark Bradley.
War Town
August 16th, 2012
5:34 pm
All you Bama rednecks shut the _UCK UP and lick Saban’s ass
Froggy The Gremlin
August 16th, 2012
5:36 pm
Dawlasville….Now you appear even so confused as to have changed the entire subject. Again I ask you, what race(according to you) do you allege to thuggery and crookery? (your words,not mine)Who Froggy? Who Dawglasville?
kral
August 16th, 2012
5:37 pm
yes sir the factor blames CMR for Odelll’s behavior and our lack of institutional control…and on and on..good job..yeah and every now and then he kicks one of those good old boys off the team…and having been a coach that hurts..because you do hope they become good old men..disappointed every time one screws up blame the coach no..ell I NEVER EVEN BLAMED MY PARENTS
chuck
August 16th, 2012
5:39 pm
Jeff, you are at it again. Demonizing a man before he is proven guilty. You are the salt of the earth, right?
Big Crimson 75
August 16th, 2012
5:48 pm
He is 10-22 with the Bills. That is a good job?
——
It’s all relative, Bobby. He’s got a Harvard grad Quarter-backing for him!! The Bills made enough noise this past Season to sign Super Mario & Mark Anderson. They were in the Playoff hunt until Fred Jackson got hurt.
Like I said, Chan was too “Southern” for Tech.
Y’all prefer the Johnson type — the ones brisking with personality!!
crimson1
August 16th, 2012
6:04 pm
That’s funny, he does’nt look Nigerian. Who would think a Georgia coach of being a dirty scammer. I guess he learned “a fool and his money are soon departed”.
GT
August 16th, 2012
6:20 pm
What goes on in Athens? I mean how close to Penn State do these guys come before the local news starts asking questions. You got a AD riding around town drunk, with red patties in his lap and a girl riding with him missing them. You have a football coach once removed that is just indicted. These are not your average adult supervisors of college kids. Is it any wonder the school has a freakiest number of players breaking the law.
Big and SabanFag-tor
August 16th, 2012
6:24 pm
Big Crimson and SabanFactor are in a bromance with each other. I just wanna know…which one of you is the alpha and which is the omega. In other words, which one is top and which one is bottom.
DawgNole
August 16th, 2012
8:10 pm
Donnan
August 16th, 2012
1:48 pm
DawgNole,
Yep. Guilty as charged. I’ve attributed others’ comments to you. Sorry about that.
As far as the ‘dumbazz’ comment? Well, I’ll forgive you for that. I had it coming, and your vocabulary,
as well as your character, are obviously challenged.
______________________
You jump me for comments made by someone else–twice. And you’re questioning MY character? A little friendly advice: educate yourself before making a fool of yourself on a blog.
DawgNole
August 16th, 2012
8:13 pm
Dawglasville
August 16th, 2012
2:53 pm
TheSabanFactor – Wow. You sure put a lot of time into that . . . All I can say is at least your not Mississippi.
Dawglasville
August 16th, 2012
2:55 pm
“you’re” not. I know.
____________________
At least you know. That’s better than most on here.
DawgNole
August 16th, 2012
8:27 pm
Big Ten Champs Nebraska
August 16th, 2012
3:34 pm
This doesn’t happen at Nebraska
_____________________
A fan of the team that allowed Lawrence Phillips to play shouldn’t be running his yap on a football blog about what he thinks doesn’t happen at his school.
DawgNole
August 16th, 2012
8:35 pm
Andy
August 16th, 2012
5:06 pm
“A step up from Ray Goff?” You gotta be kidding! Ray Goff has more integrity in his pinkie than this piece of garbage; Note to sports writers: Life is about more than beating the Florida Gators….
_____________________
You’re probably right about Goff. As far as life being about more than beating the gators . . . not in total agreement with that; there are very few things better.
College football roundup: Ex-Georgia coach charged in Ponzi scheme – Yahoo! Sports | South Sport
August 16th, 2012
8:38 pm
[...] Atlanta Journal Constitution [...]
DawgNole
August 16th, 2012
8:44 pm
Union stooge Get Educated blog distorts issues
August 16th, 2012
5:22 pm
Continuing “debate” on AJC’s Get Schooled blog about charter schools—is between teachers’ union shills … and teachers’ union shills!
With AJC “moderator” Maureen Downey making a cynical mockery of presenting the issue . . . .
And predictably, Ms. Downey is doing all she can to see that the anti-parental choice viewpoint is heard—while BLOCKING from comment those of us who advocate for greater choice and freedom to innovate.
Which is why I’m posting here instead.
__________________
I don’t believe you’ll find the audience you’re looking for over here.
iheartsarah
August 16th, 2012
9:50 pm
Never trust a man who loves tennis.
Dawglasville
August 16th, 2012
10:45 pm
TheSabanFactor – Branden Smith? I don’t know the facts. You don’t know the facts. I know that the blog game never lets facts get in the way of a zinger. Richt is the longest running coach in the most over zealous sports league in the country. He is a good coach. Bowden? I’m not a huge fan. I don’t think Richt runs the same ship. Richt is only guilty of taking chances on some players. He has dealt with them when they screw up. I don’t think that there are many coaches who would have handled punishments any different than he has. The point I made about Saban is that Richt has a winning record head to head vs Saban. It’s too late to look up the numbers.
Froggy – I’m a white 47 year Atlanta native. I’m an insider. Racist who do not know me feel real comfortable using terms like, “thug,” when describing athletes. The vast majority (I didn’t say all) of the crimes committed by UGA players over the past 10 years have been drinking, smoking pot, stupid thefts, driving violations. Things you probably saw from some of your very own friends. Yet, I sincerely doubt that you, or Well, or anyone else would refer to your friends as Thugs. You’re playing a childish game. Let it go man. If Auburn is your team, or if Tech is your team, whoever the hell your team is, good luck with the season and let the players be the ones playing the games.
DawgNole – thanks.
Dawglasville
August 16th, 2012
11:32 pm
TheSabanFactor – Nope. Richt is 2-3 vs LSU and Bama Saban. My point is still the same. These are not the numbers of a dolt. Especially if Saban is the greatest college coach to ever grace the field. I’m happy with my guy. Most UGA fans are.
Tim
August 16th, 2012
11:36 pm
I wonder if Jeff Schultz gave him a few grand? LOL
Alan
August 16th, 2012
11:43 pm
I hope you realize Jeff that social security is run the exact same way.
In fact it’s worst becuase all the money that’s collected over the years, all the surplus was spent on other gov’t programs. In other words, it’s broke! But the gov’t has the power to print money and make people think it’s sustainable, which of course it isn’t.
The Factor
August 17th, 2012
12:23 am
I stand behind Jim Donnan all day long. I have gotten to know him over the last few years in Athens. He is kind and always offered his time to help coach young kids up in any sport even when he had his busy ESPN schedule.There is no way he knew this was going down as it did.
suggs
August 17th, 2012
5:30 am
Where’s the outrage at all the ponzi schemes the federal government runs?
Book 'em, Danno.
August 17th, 2012
6:36 am
Just one more example of the lying, cheating, sleaze mentality at UGA.
Sickening, isn’t it.
Book 'em, Danno!
August 17th, 2012
6:38 am
Just one more example of the lying, cheating, sleaze mentality at UGA.
Sickening, isn’t it.
3d
August 17th, 2012
6:42 am
Maybe the other SEC needs to investigate Auburn.
Bet they’d get the source of the payoffs.
Name (required)
August 17th, 2012
7:19 am
Well this probably puts a damper on Donnans record.
He’s still not as bad as Richt though
DawgNole
August 17th, 2012
8:54 am
The Factor
August 17th, 2012
12:23 am
I stand behind Jim Donnan all day long. I have gotten to know him over the last few years in Athens. He is kind and always offered his time to help coach young kids up in any sport even when he had his busy ESPN schedule.There is no way he knew this was going down as it did.
____________________
You’ve hit on the big question in this entire unfortunate development: DID HE KNOW how it was “going down”? Probably safe to say that most Dawg fans (myself included) hope he didn’t, although what’s turning up so far seems to indicate otherwise.
Georgia Bankruptcy Blog: Former UGA Coach Jim Donnan Faces More Bankruptcy And Civil Fraud Problems
August 17th, 2012
11:16 am
[...] be found in articles on the Atlanta Journal, Atlanta Business Chronicle, ESPN.com and in a commentary by Jeff Schultz of the [...]
thUGA Crybabies
August 17th, 2012
7:45 pm
Dawglasville- WAAAAAH
thUGA ans continue to cry when they are called out. thUGA fans sit around and throw stones at other schools all day when their school has the most athlete arrests for any school in the SEC.
AJC participates in slander of other teams (most recently Auburn) to get web clicks.