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The University of Louisville is among the college basketball programs targeted in an ongoing FBI investigation into a "pay for play" scheme involving highly prized recruits.
Joon Kim, the U.S. attorney for the Southern District of New York, said at a news conference Tuesday that the FBI used wiretaps and undercover agents to reveal "the dark underbelly of college basketball."
University of Louisville interim president Gregory Postel confirmed the investigation Tuesday afternoon.
On Wednesday, coach Rick Pitino's lawyer, Steve Pence, said the coach had been "effectively fired" by being placed on administrative leave in the wake of the scandal.
Among the allegations: an Adidas executive conspired to pay $100,000 to the family of a top-ranked national recruit to play at Louisville and to represent Adidas when he turned pro.
"While we are just learning about this information, this is a serious concern that goes to the heart of our athletic department and the university," Postel's statement said. "U of L is committed to ethical behavior and adherence to NCAA rules; any violations will not be tolerated."
Federal prosecutors declined to say whether any arrests are planned or charges will be filed against University of Louisville employees.
Timeline:The FBI’s college basketball allegations involving Louisville and others
Related:College basketball scandal: What we know about U of L's apparent role
The FBI office in Louisville deferred all comments to federal prosecutors.
On Tuesday, Rick Pitino released a statement through Pence saying: "These allegations come as a complete shock to me. If true, I agree with the U.S. Attorney's Office that these third-party schemes, initiated by a few bad actors, operated to commit a fraud on the impacted universities and their basketball programs, including the University of Louisville. Our fans and supporters deserve better and I am committed to taking whatever steps are needed to ensure those responsible are held accountable."
Asked in an interview Tuesday if he expected Pitino would keep his job, Pence said: "I would certainly think so. I don't know why it would be otherwise."
A target of the investigation is James Gatto, the head of global sports marketing for Adidas. It was announced Tuesday that Gatto had been placed on leave following the investigation.
Described as “Company-1” in the criminal complaint, Adidas has a sponsorship deal with the University of Louisville and recently reached a $160 million, 10-year extension with the university.
Gatto is affiliated with Adidas and its high school and college basketball programs, per the complaint, which says he helped organize "some of the payments made from Company-1 to players and their families. ..."
Adidas released a statement later Tuesday saying the company planned to cooperate with authorities.
"We became aware today of the allegations and intend to cooperate with the relevant authorities," Adidas spokeswoman Maria Culp wrote in a statement. "The employee has been put on administrative leave and the company has engaged outside counsel to conduct a thorough investigation."
The document does not specifically name the school or the student, referring to them only as "University-6" and "Player-10," along with the information about enrollment and location.
Player-10, the complaint says, committed to University-6 on or about June 3, 2017, “or almost immediately after the illicit bribe scheme.”
The only 2017 prospect who committed to the University of Louisville on that date and fits that description is five-star recruit Brian Bowen, an incoming freshman on this season’s Louisville team.
The student's commitment caught many by surprise, with media reports stating it was a "late recruiting coup" that "came out of nowhere," the document details.
“I don’t know anything about that,” Bowen’s mother, Carrie Malecke, said when contacted Tuesday by the Courier-Journal. “I don’t know anything about that. I’m not aware of anything like that. Not me. I had no idea.”
Bowen's father, Brian Bowen Sr., could not be reached for comment.
An assistant in the sports information office said athletic director Tom Jurich is out of town and could not be reached for comment.
A second prospect, identified as “Player-11,” was said to have been paid to agree to attend the university as a member of the 2019 signing class. Player-11 is a member of an amateur basketball team run by Jonathan Brad Augustine, who also is named in the complaint.
More:Post on Katina Powell's Facebook page likens Louisville's fall to twin towers on 9/11
Read this:College basketball scandal: Is the University of Kentucky involved?
See also:Rick Pitino's tenure marked by highs, off-court lows
An unnamed coach also said his program (University-6) needed to be cautious of its recruitment efforts because the team was under NCAA investigation at the time, court documents show.
"We gotta be very low key," the indictment says.
USA TODAY reports that four coaches have been arrested, and they work at Arizona, Auburn, Oklahoma State and Southern California.
The indictments also focus on team managers, financial advisors and representatives of "one of the world's largest sportswear companies."
Reach Reporter Thomas Novelly at 502-582-4465 or by email at tnovelly@courier-journal.com. Follow him on Twitter @TomNovelly.
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