Wednesday September 27, 2023

Sneaker Reseller Charged in $85M Wire and Bank Fraud Conspiracy

  • Zadeh Kicks allegedly scammed customers out of $70M worth of unfulfilled orders.
  • It also allegedly defrauded banks out of $15M in loans by providing falsified financial documents.
Front Office Sports Today

Taylor Swift Takes NFL to New Heights

Taylor Swift and her rumored relationship have brought in a new, more female-heavy audience.
Listen Now
September 27, 2023 | Podcast
Copy Link
Link Copied
Link Copied

After years of defrauding sneakerheads out of millions of dollars worth of product, a prominent footwear reseller may finally be facing justice.

Michael Malekzadeh — the former owner of Zadeh Kicks LLC — has been charged by the U.S. Department of Justice with wire fraud, conspiracy to commit bank fraud, and money laundering.

His partner and the company’s CFO Bethany Mockerman has also been charged with conspiracy to commit bank fraud.

Malekzadeh started the business in 2013, initially purchasing limited edition and collectible sneakers to resell on the internet. Over time, he began taking more orders than he had supply for, eventually running a fraud scheme that accounted for $70 million worth of unfulfilled orders.

Zadeh Kicks at first mollified its customers by offering them store credit or gift cards when their orders would not arrive.

However, the scheme caught up with the company due to pandemic-related interest in sneaker collecting: In 2021, it allegedly took 600,000 orders for the Nike Air Jordan 11 Cool Grey — but was only able to supply 6,000 pairs.

Additionally, Malekzadeh allegedly conspired with Mockerman to provide falsified financial information to banks, ultimately receiving more than $15 million in bank loans.

As part of the investigation, federal agents have seized millions of dollars worth of cash and luxury goods from the pair. Malekzadeh and Mockerman supposedly purchased watches valued at over $400,000, as well as cars manufactured by Bentley, Ferrari, Lamborghini, and Porsche, among others.

Per the DOJ, Malekzadeh and Mockerman are cooperating with the investigation.

Copy Link
Link Copied
Link Copied

What to Read


NHL’s Chris Foster on Amplifying Content Distribution With Automation

Learn how the NHL is using WSC Sports to increase fan engagement.

Adidas CEO Stands Behind Ye Nearly Year After Brand Cut Ties

Gulden's comments mark rare and surprising corporate move

How Daktronics Helps Elite Athletic Programs Secure Top Talent

How colleges are utilizing Daktronics' displays to elevate recruiting.

WBD Pursues ‘Different’ Strategy For Sports on Max

Company to place all of its live sports on new streaming tier
podcast thumbnail mobile
Front Office Sports Today

Taylor Swift Takes NFL to New Heights (w/ Andrew Brandt)


Featured Today

Taylor Swift at Chiefs vs. Bears game.

Taylor Swift NFL Hype Likely To Continue Another Week

Swift could drive blockbuster TV ratings for NBC's "Sunday Night Football."
September 27, 2023

Lillard And Giannis Pairing Could Be Big For The NBA, Too

Bucks to be featured on national TV 19 times this season
September 27, 2023

Magic Johnson Open To Knicks Minority Ownership Stake

Basketball Hall of Famer only interested in specific NBA franchise
Golden State Warriors majority owner Joe Lacob walks alone the baseline during the third quarter against the Los Angeles Clippers at Chase Center.
September 27, 2023

Warriors Owner Reportedly Adding A Bay Area WNBA Franchise

An official announcement could come as soon as early October.


Powered By

Careers in Sports

Looking for a new job? Check out these featured listings and search for openings all over the world.
Chicago Cubs
New York
Tri Star Sports and Entertainment Group, Inc.
USA - Multiple Locations
Patrick Reed

Judge Dismisses Both of Patrick Reed’s Defamation Cases

A federal judge dismissed both of Patrick Reed’s defamation cases.
NFL concussions
September 27, 2023

The NFL’s $1B Battle Over Concussion Settlement Heats Up

The NFL is seeking at least $1.2 billion from its risk carriers.
Jacksonville Jaguars quarterback Trevor Lawrence is among the FTX endorsers who have reached a settlement for their roles in promoting the crypto exchange.
September 18, 2023

Trevor Lawrence Settles Lawsuit Over FTX Crypto Endorsement

Lawrence has settled while other FTX athlete endorsers still face lawsuits.
Lane Kiffin
September 15, 2023

Ole Miss Football Player Files $40M Lawsuit Against Lane Kiffin, School

Ole Miss coach Lane Kiffin is being sued by one of his players.
Senate Hearings
September 13, 2023

Senate Subpoenas Saudi Investment Fund Records in PGA Tour Inquiry

Senate hearing reveals deep concerns about the potential PGA Tour-LIV deal.
Jim Trotter
September 12, 2023

Reporter Jim Trotter Sues NFL, Alleges NFL Owner Made Racist Remark

Trotter alleged Terry Pegula made a "highly offensive and racist" remark.
Michael Irvin
August 31, 2023

Potential Trial in Michael Irvin’s Lawsuit Against Marriott Many Months Off

Irvin returned to the air this week as a contributor on FS1’s “Undisputed”.