Originally written on The Outside Corner  |  Last updated 11/19/14

San Francisco Giants starting pitcher Barry Zito was reportedly scammed out of $3 million by a company called dotFIT, started by Zito's friend Michael Clark. Zito invested $3 million into the company, which also counts Madonna and Dr Oz as investors.. He thought he'd be getting a 15% stake in the company for his investment, but instead, his money was put towards paying off outstanding debts the company had. Big League Stew has the nitty gritty. Zito claims Clark used their longtime friendship to entice Barry Zito Enterprises (BZE) into investing $3 million in dotFIT. He claims Clark told him that dotFIT "was in the midst of a $20 million equity campaign that would allow dotFIT to exploit a valuable software interface (which dotFIT owned) and market it to health clubs worldwide." "Clark further explained that he had others ready to invest and that if BZE did not act fast, it would lose its investment opportunity. But dotFIT now claims that it never sought to raise $20 million in equity (and never had $20 million in capital)," Zito says in the complaint. (Parentheses in original.) This is some pretty wild stuff, and the ties to Madonna that the company has are even more bizarre, with another third party company involved. Zito claims that two weeks after Lafayette sold its interest in dotFIT, Lafayette's puppet company NEFC sold 12.5 percent of its interest in dotFIT to pop star Madonna for $625,000. NEFC sold another 12.5 percent of its interest to Go Mav, LLC for the same price a few weeks later, according to the complaint. Madonna is not a party to the complaint. As for Dr Oz, dotFIT was sold to a company in 2011 called ShareCare founded by him and WebMD founder Jeffrey Arnold, neither of whom are being sued by Zito. This is just another example of people taking advantage of athletes who sign large contracts, and Zito is neither the first or the last to be involved in a situation like this. Zito signed a seven year, $126 million contract with the Giants in December 2006 that will be expiring at the end of the 2013 season, and while he may have not been worth all of that contract to the Giants, it's still no excuse for him get to get scammed out of his money by a supposed friend. [Big League Stew] [follow]

GET THE YARDBARKER APP:
Ios_download En_app_rgb_wo_45
12 Comments:
  • this is how the economy works. unless the friend gets the money, he can't spend it and stimulate the economy! duh. get on board zito!
  • "Zito claims that two weeks after Lafayette sold its interest in dotFIT"

    Who is Lafayette? He/She is mentioned as if we already know who the character in this story is.
  • This is why athletes who do not finish university, should be required to attend a finance or business class, as a part of their contract!
  • Some would say that zito and his agent scammed the Giants out of 126 million.
  • Well it's simple. If it sounds too good to be true, a 15% return on your investment, it probably is. Why don't these professional athletes invest in charities or investments with good track records proven to benefit all mankind? America is the greatest country in the world --------but capitalism breeds GREED!
  • Zito gives a lot to charities. He even created his own called Strikeouts for Troops.
  • It doesn't say 15% return on investment, it says 15% stake in the company. And this country is great BECAUSE of capitalism! There are jerks out there who scam people in other countries, too! This isn't a capitalism problem, it's a human nature problem.
MORE FROM YARDBARKER

Death threats show why some fans take sports too seriously

Five bubble teams playing well heading into March

Falcons release Steven Jackson

Bill Walton has some words of advice for Derrick Rose

Five under-the-radar National Player of the Year candidates

LIKE WHAT YOU SEE?
GET THE DAILY NEWSLETTER:

Judge overturns Peterson suspension; NFL to appeal

Dez Bryant's mother in 2012: Dez threatened to knock me out

Full offseason breakdown for all 32 NFL teams

Brandon Bostick received death threats after botched play

Ex-Louisville player charged with rape, sodomy

Hank Aaron 'rooting' for Alex Rodriguez to succeed in return

Are the Kings willing to trade DeMarcus Cousins?

Johan Santana signed by Blue Jays to minor league deal

Leafs trade David Clarkson to Blue Jackets For Nathan Horton

Panthers acquire Jaromir Jagr from Devils

Russell Westbrook is surging into the MVP conversation

HBO picks up The Rock’s football series, ‘Ballers’

The key offseason moves for every MLB team

Giancarlo Stanton gets first-ever customized facemask

Ronda Rousey, Arianny Celeste have verbal sparring match

Dallas sportscaster back with another powerful essay

The many parallels of Derrick Rose and Penny Hardaway

Ex-homeless Baylor RB admits he broke rules

MLB News
Delivered to your inbox
You'll also receive Yardbarker's daily Top 10, featuring the best sports stories from around the web. Customize your newsletter to get articles on your favorite sports and teams. And the best part? It's free!

By clicking "Sign Me Up", you have read and agreed to the Fox Sports Digital Privacy Policy and Terms of Use. You can opt out at any time. For more information, please see our Privacy Policy.
the YARDBARKER app
Get it now!
Ios_download En_app_rgb_wo_45

Bostick death threats show why some fans take sports too seriously

Russell Westbrook is surging into the MVP conversation

Five-round NFL Mock Draft

Key offseason moves for every MLB team

Rousey, Arianny Celeste get into it

Dallas sportscaster back with another powerful essay

The parallels of Rose and Hardaway

Offseason breakdown for all 32 NFL teams

On Josh Hamilton's addiction and feeling alone

Judge rules against AP's suspension

Why the Lions should let Suh walk

Chris Jones charged with rape, sodomy

Today's Best Stuff
For Bloggers

Join the Yardbarker Network for more promotion, traffic, and money.

Company Info
Help
What is Yardbarker?

Yardbarker is the largest network of sports blogs and pro athlete blogs on the web. This site is the hub of the Yardbarker Network, where our editors and algorithms curate the best sports content from our network and beyond.