Found March 19, 2013 on
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San Francisco Giants pithced Barry Zito has filed a lawsuit against friend for $3 million, claiming he was duped into investing in a “fitness software scheme that never materialized.”
With friends like that, who needs $3 million, or fitness software.
Matt Snyder of CBS Sports writes that Zito’s friend (or former friend) Michael Clark “used their friendship to gain the trust of Zito and convince him to make a $3 million investment in the startup company that was in the midst of raising $20 million worth of equity,” according to the text of the lawsuit from courthousenews.com:
“As things turn out, according to the Zito camp, the company never had close to that in equity but paid employees “unreasonably high salaries” and bonuses while allegedly taking part in insider loans and other nefarious activities. There were also, per Zito’s attorneys, several areas in which the agreement between Zito and Clark were breached.”
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Barry Zito may have a $126 million contract but he reportedly lost $3 million of that sum by investing in a disreputable health and fitness company.
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