YouTube/Bloomberg Douglas Hodge, ex-Pimco CEO indicted in college admissions bribery scheme.
Former Pimco CEO Douglas Hodge was among 50 people indicted in a massive college admissions bribery scheme, the Department of Justice announced Tuesday.
Hodge, the former chief executive of Pacific Investment Management Company, took part in the scheme to get his children accepted into the University of Southern California, prosecutors alleged.
Hodge is accused of using bribes and falsifying information to get his children recruited to sports teams even though they did not play those sports and did not join those teams once they were admitted.
Hodge was among dozens of executives, attorneys, and celebrities indicted in the investigation. Actresses Felicity Huffman and Lori Loughlin were also among those indicted.
Here’s what you need to know:
1. Hodge Got Involved in Scheme Back in 2008
According to court documents, Hodge first contacted William Singer, the man at the heart of the scheme, in 2008 to ask him to help his daughter get into Georgetown University.
His daughter’s application claimed that she had won numerous United States Tennis Association tournaments even though the organization says she never participated in any of their matches.
Prosecutors say Hodge later contacted Singer three more times about helping his other kids enroll at top colleges.
2. Hodge Paid $200,000 to Get His Daughter Into USC, Prosecutors Say
Hodge reached out to Singer again in 2012 to enlist his help in getting another one of his daughters into USC, court documents say.
His younger daughter’s application claimed that she was the co-captain of a Japanese national soccer team and an “All American” on a team in the United States, investigators said.
Prosecutors say Singer paid $100,000 between October 2012 and February 2013 to an unnamed soccer club run by the coaches of the USC women’s soccer team. After his daughter was admitted, Hodge was told to pay $150,000 to Singer’s non-profit The Key. He was also told to pay another $50,000 to the Key Worldwide Foundation, which prosecutors say acted as a conduit in the bribery scheme.
Hodge’s daughter enrolled at USC but never joined the soccer team.
3. Scheme Ringleader Made Fake Sports Profile For Hodge’s Son, Prosecutors Say
Looks like third time wasn’t a charm for Douglas Hodge.
By 2013, prosecutors say Hodge reached out to Singer again about getting his son into USC.
When asked to provide a photo of his son playing football in high school, Hodge’s wife said “she had not been able to find photos of the son who was applying to USC playing football, but had found photos of his brother playing football,” court documents say.
“See below-I am sure there is a tennis one too. The boys look alike so I thought a football one would help too?” the email included in the court documents read.
Prosecutors say fake sports profiles were created for the boy claiming he was the team captain of his varsity football team.
After his son was admitted to the school in 2015, Singer paid USC associate athletic director Donna Heinel $75,000, prosecutors said. A week later, Hodge sent a payment of $125,000 to The Key and another $125,000 to KWF. Singer then paid $50,000 to a private soccer team run by former USC assistant soccer coach Laura Janke.
Hodge’s son enrolled in USC but never joined the football team.
4. Hodge Tried to Contact Singer Again During Investigation
According to the court documents, Hodge tried to reach out to Singer again in 2018 about helping to get his son into Loyola Marymount University.
Singer told Hodge that his organization was under an audit by the IRS at the instruction of investigators.
Hodge was charged with conspiracy to commit mail fraud and honest services fraud.
Singer was charged with racketeering conspiracy, money laundering conspiracy, conspiracy to defraud the United States, and obstruction of justice.
5. 50 People Were Indicted In The Bribery Scheme
Fifty people were charged in the scheme, which prosecutors called the “largest college admissions scam” ever uncovered by the Justice Department.
Multiple SAT/ACT administrators, a college official, nine sports coaches, and 33 parents — most of whom are wealthy executives, celebrities, and attorneys — for taking part in the scheme.
In some cases, coaches were paid to recruit students onto teams even though they never played those sports in school, like Hodge’s kids. In other cases, parents paid for someone to take their child’s SAT for them or had a proctor fix their answers afterward, prosecutors said.
“We’re not talking about donating a building,” US Attorney Andrew Lelling said at a press conference Tuesday. “We’re talking about fraud.”
“For every student admitted through fraud an honest, genuinely talented student was rejected,” he added.
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