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As the FBI announced the arrests of 10 people allegedly involved in a widespread college basketball bribery scandal on Tuesday, investigators warned that the probe could grow as it dug down into the “dark underbelly” of college basketball.
Now, several employees working with Nike’s Elite Youth Basketball League have been hit with subpoenas by federal investigators, according to ESPN.
Nike was not specifically named in the three complaints that were filed by the Department of Justice on Tuesday. However, Merl Code, a former Nike youth league employee who is now affiliated with Adidas, was named as a defendant.
Nike’s youth league is one of the most important places for high school-aged basketball players to strut their stuff for college coaches and scouts, and it’s a major focus of recruiting for Division I basketball programs.
Three of the four assistant coaches that were arrested on Tuesday are employees of schools with Nike sponsorships: Oklahoma State University, University of Southern California, and the University of Arizona.
In a statement, a Nike spokesperson told Business Insider that the company “firmly believes in compliance with laws and fair play in all sports.”
They added: “There are no allegations against Nike in the complaints and we are committed to cooperating with any government investigation into this matter.”
Jim Gatto, the director of global sports marketing for basketball at Adidas, was also among the defendants. Gatto is accused of conspiring with coaches to pay high-school athletes to play at universities sponsored by Adidas (referred to as “Company 1” in the case).