Strategy: A college basketball bribery scandal leads to arrests of 10 people — including an Adidas executive

At least 10 people are expected to be arrested as part of an investigation into alleged bribery in college basketball on Tuesday.

The FBI arrested 10 people on charges of charges of fraud and corruption in college basketball on Tuesday.

The Department of Justice announced Tuesday that college basketball coaches at University of Arizona, Auburn, San Diego State, and Oklahoma State University and had been arrested, as well as managers, financial advisors, and representatives of a major international sportswear company.

Jim Gatto, director of global sports marketing for basketball at Adidas, was also named as a defendant.

Gatto and four other defendants have been charged with "making and concealing bribe payments" to high school student athletes and/or their families. Other defendants include Jonathan Brad Augustine, president of nonprofit The League Initiative, Merl Code, the head of Nike’s Elite Youth Basketball League as of 2013, and Christian Dawkins, a former sports agent fired in May for charging $42,000 in Uber rides on an NBA player's credit card.

The coaches arrested include: Anthony "Tony" Bland, an assistant coach at San Diego State; Chuck Connors Person, associate head coach at Auburn University; Lamont Evans, associate head coach and recruiting coordinator for Oklahoma State University’s basketball team; and Emmanuel Richardson, an assistant coach for University of Arizona.

The Wall Street Journal reported this morning that the arrests were part of a "wide-ranging" investigation focused on financial advisors, agents, and apparel companies paid coaches, in exchange for pressuring players to associate with certain entities.

The multi-million dollar battle for top-tier college basketball teams is hard fought amongst sportswear giants. The visibility of being worn by a certain team or high-profile player is a valuable marketing opportunity for apparel companies, despite the fact that NCAA players cannot be paid to endorse brands.

In the 2016 NCAA men's basketball tournament, Nike was the clear leader, providing uniforms for 41 entrants, the Baltimore Sun reported. Adidas provided outfits for 14 teams, Under Armour outfitted 10 teams, and Russell Athletic outfitted three.

Under Armour has made major investments in college basketball in recent years. In 2016, the company made a $280 million agreement to replace Adidas as the UCLA men's basketball team's shoe and apparel sponsor for the next 15 years. Under Armour has also cut deals in recent deals with teams including Notre Dame, Auburn, and Wisconsin.

At least 10 people are expected to be arrested as part of an investigation into alleged bribery in college basketball on Tuesday. Read Full Story