3rd Bass’ Pete Nice Involved in School Loan Scandal
Nash, who established himself as a baseball historian and memorabilia seller in Cooperstown, N.Y., after the Def Jam hip-hop trio broke up in 1992, fought a lengthy legal battle with Robert Edwards Auctions, who won a $760,000 lawsuit against him in 2009. During the course of their dispute, Nash lost many of his assets, including his Mercedes Benz, which was repossessed.
In order to avoid foreclosure of his house, Nash allegedly asked his father, Ray Nash, respected basketball coach and president of Bishop Ford Catholic High School, to loan him over $52,000 in school funds.
A 2008 audit proved that the funds were allocated from the school to Pete Nash's account. "This is a violation of all the people who contributed money to Bishop Ford's development fund, and it could violate the school's tax-exempt status," a lawyer for Robert Edwards Auctions said. "You can't use money from a nonprofit for personal purposes, and if you do, you will have problems."
When the "loan" came to light, Bishop Ford immediately hired a high profile PR firm and released the following statement, "The loan was not authorized by the school and would not have been permitted by the school," the statement reads. "Upon discovery of the loan, Mr. Nash was directed by the Board of Trustees to repay the loan immediately. Thereafter, in early April 2008, the loan was immediately repaid."
In a recent letter to the New York Daily News, Pete Nash admitted that he had accepted the loan, and that he was "mortified" to have hurt his father's reputation. Though the school has decided not to dismiss Ray Nash, the Board of Trustees did reprimand him for his "error in judgment."
"People make mistakes, and while Ray Nash's conduct was not condoned in any way, the Board of Trustees exercised its reasoned judgment and determined that it was not in the best interests of the school to throw away Ray Nash's years of good work and continued years of good work because of an error in judgment."
Pete Nash still owes several creditors, none of whom will be paid, Nash said, "until my judgment with [Robert Edwards Auctions] is satisfied."