That may not make Kendricks friends in Philadelphia, but it’s not illegal. Insider trading of stocks is illegal, however, and Kendricks’ participation in that activity has landed him in trouble with the federal government.
U.S. Attorney William M. McSwain announced in Philadelphia on Wednesday that Kendricks and another man have been charged with insider trading. The activity took place four years ago and Kendricks admitted wrongdoing in a statement released a short time later.
“I apologize. Four years ago, I participated in insider trading, and I deeply regret it. I invested money with a former friend of mine who I thought I could trust and who I greatly admired. His background as a Harvard graduate and an employee of Goldman Sachs gave me a false sense of confidence. To that point, I had worked my tail off since I was 5 years old to become the football player that I am today. I was drawn in by the allure of being more than just a football player. While I didn’t fully understand all of the details of the illegal trades, I knew it was wrong, and I wholeheartedly regret my actions.”
“Since the beginning of the investigation, I have fully cooperated with all of the authorities and will continue to do so. I accept full responsibility for my actions. Although I did not take any of the profits for myself, I am committed to repaying all of the funds gained illegally and accept the consequences of my actions.”
“I sincerely apologize to my coaches, the owners, and my teammates on the Eagles and the Browns, the NFL, and the magnificent fans to whom I owe my career. I also apologize to my family, who I have failed in this. You all deserve better, and I will work my hardest to re-earn your trust and respect, serve as an advocate to educate others, and show you that I will never be involved in anything like this again. Thank you for your time and hopefully your forgiveness.”
The Browns issued a statement saying Kendricks will not join the team in Detroit for Thursday’s game and that they have been in communication with the league.
Kendricks’ attorney told Philly.com that his client is expected to formally plead guilty in the coming weeks. It’s not clear what kind of punishment the government is seeking in Kendricks’ case. The linebacker could also be subject to discipline under the NFL’s personal conduct policy as it covers activity that “undermines” the integrity of the league, teams and/or players.