It’s July 1st, which for New York fans means it’s Bobby Bonilla.
The former slugger retired in 2001 with St. Louis. Louis Cardinals, but collects check nearly $ 1.2 million from Mets each year on July 1 for almost a decade.
The deal is part of a deal negotiated by Bonilla’s agent Dennis Gilbert, who will pay Bonilla $ 1,193,248.20 each year until 2035. Bonilla, a former All-Star who last played with the Mets in 1999, will be 72 years old. when his contract with the team expires.
How did Gilbert manage to secure such a sweet offer for his client? Both can thank humble financier Bernie Madoff and Mets owner Fred Wilpon.
The Mets wanted to separate Bonilla in 1999, but had $ 6 million at their disposal. Wilpon believed he had a huge return on investment through Madoff, but the Mets owner proved to be a victim of Madoff’s famous Ponzi scheme.
Instead of paying Bonilla directly, Wilpon chose to defer payments so that the money could be inadvertently invested in Madoff’s Poffi program.
Gilbert negotiated with the team to defer payments until 2011, with an annual interest rate of 8%.
Madoff was the mastermind of the most infamous Ponzi scheme in history. A Ponzi scheme is a form of fraud that uses funds from more recent investors to pay profits to previous investors, leading them to believe that their investments are part of a successful business.
Madoff is serving a 150-year prison sentence for a multibillion-dollar plan that ran for decades.
In total, Bonilla will leave with $ 29.8 million in payments due to the loss of Wilpon.