Tipsheet

Foul Play: Michigan Man Charged in Alleged Million-Dollar Sports Complex Fraud

A Michigan resident was charged in a criminal complaint with his alleged role in a scheme to obtain millions of dollars in investment funds by false pretenses. 

U.S. Attorney Jerome F. Gorgon Jr. was joined in the announcement by Jennifer Runyan, Special Agent in Charge of the Federal Bureau of Investigation. 

The complaint charges Kenneth Bardwell, 66, of West Bloomfield, with one count of wire fraud. According to the complaint, Bardwell is the operator of a company called “Motown Sports Group Holdings, Inc.” and several related business entities.  Bardwell has solicited and obtained millions of dollars from investors for a project involving the purported development of a multi-billion dollar sports and entertainment complex in Romulus, Michigan.

Bardwell represented to investors that their money would be used to purchase land and develop the project, but if the land could not be purchased, the money would be returned to investors from an escrow account. 

xAccording to the complaint, Bardwell has made almost no effort toward the purchase of the land to develop the project. He instead spent most of the investor funds on gentlemen’s clubs, luxury retail goods, rental cars, and lifestyle expenses for himself and his associates. 


Romulus Mayor Robert McCraight thanked the federal government for its investigation and said that it refused to give taxpayer money to the project

“Most importantly, when the individual in question came asking for funds from our taxpayers, we said absolutely not… “Today’s news is ultimately disappointing, but we will not tolerate what appears to be an attempt to take advantage of Romulus and its residents,” McCraight said in a statement. 

A complaint is only a charge and is not evidence of guilt. Trial cannot be held on felony charges in a complaint. When the investigation is complete, a determination will be made whether to seek a felony indictment.

Assistant United States Attorney Robert Moran is prosecuting the case. The investigation is being conducted by the FBI Detroit Fraud and Financial Crimes Task Force, Birmingham Police Department and Bloomfield Township Police Department, with assistance from West Bloomfield Police Department.

The FBI is seeking information from any individuals who may have invested money with Motown Sports Group Holdings, Inc. or Kenneth Bardwell, or who may otherwise have information pertinent to this investigation. Please visit https://www.fbi.gov/how-we-can-help-you/victim-services/seeking-victim-information/seeking-victim-information-in-motown-sports-group-holdings-inc-investigation for further information.