Chad Miller, the former CEO of Legacy Sports USA, was sentenced in September 2025 to five years in federal prison for his role in a municipal bond fraud scheme that cost investors close to $300 million. He and his father, Randy Miller, pleaded guilty to securities fraud and aggravated identity theft after fabricating documents to lure investors into financing a sprawling Mesa, Arizona sports complex that defaulted on its bonds within a year of opening and collapsed into bankruptcy.1U.S. Department of Justice. Sports Park Executives Sentenced to Prison for Municipal Bond Fraud
What Legacy Sports Was
Randy Miller spent years pitching sports park concepts around Phoenix before shifting to municipal bond financing. He founded Legacy Cares, Inc., an Arizona nonprofit set up to act as the conduit borrower for tax-exempt bonds, and Legacy Sports USA, LLC, the for-profit entity that would build and run the facility. Chad Miller served as CEO of Legacy Sports USA. Randy held the titles of chairman, president, and managing member.2SEC. SEC Complaint, SEC v. Randall J. Miller, Chad J. Miller, and Jeffrey De Laveaga
In August 2020, Legacy Cares issued $250.8 million in municipal revenue bonds through the Arizona Industrial Development Authority, followed by a supplemental $33 million offering in June 2021. The proceeds, roughly $284 million in total, were meant to finance a 320-acre multi-sport park and family entertainment center in southeast Mesa. The complex broke ground in October 2020 and opened on January 7, 2022, under a naming-rights deal as Bell Bank Park.3SEC. SEC Litigation Release No. 26498
How the Fraud Worked
Prosecutors and the SEC alleged the offering documents rested on an elaborate foundation of lies. Investors were told the park would generate roughly $96 million in first-year revenue and be essentially fully occupied from day one. To back those projections, the Millers and their associates fabricated or materially altered more than 50 letters of intent and 25 pre-contracts purportedly from sports leagues, clubs, and organizations said to have committed to using the facility. Some of the organizations named, including Manchester United and a youth affiliate of Major League Soccer’s Real Salt Lake, had never signed the agreements attributed to them.4Financial Advisor Magazine. Vanguard, AllianceBernstein Sue Over Sports Park That Failed
Reality fell far short. The complex produced less than $28 million in its first year and ran a $15 million operating loss. According to prosecutors, more than $7 million in bond proceeds were diverted to pay the Millers, their family, and associates. Randy Miller took $1 million at the closing of the 2020 bond issue, and both father and son drew roughly $40,000 a month as operators. Another $1.2 million in bond proceeds went to settle an earlier securities fraud lawsuit against the Millers, which was never disclosed to investors. The offering documents also omitted Randy Miller’s personal bankruptcy history and the fact that Oak View Group never made a promised $10 million investment in the project.5Claims Journal. Vanguard, AllianceBernstein Sue Over Failed Arizona Sports Park
Default, Bankruptcy, and Sale
The bonds defaulted in October 2022, less than a year after the park opened. Bell Bank terminated its naming-rights deal around the same time, and the facility reverted to Legacy Park.6Your Valley. Bell Bank Ends Naming Rights to Legacy Sports Park Legacy Cares filed for Chapter 11 bankruptcy in May 2023 in the U.S. Bankruptcy Court for the District of Arizona, listing liabilities above $366 million owed to more than 200 creditors.7ABC15. Owner of Legacy Park Files for Bankruptcy
The 320-acre facility was ultimately sold for about $25.5 million, a small fraction of the $284 million originally raised, to a group led by Burke Operating Partners and Rocky Mountain Resources.8Arizona Republic. New Owners of Mesa’s Former Legacy Park Signal Changes Bondholders received roughly $2.4 million in cash and an 11% equity stake in the new ownership.5Claims Journal. Vanguard, AllianceBernstein Sue Over Failed Arizona Sports Park
Guilty Plea and Five-Year Sentence
On May 28, 2025, Chad Miller, then 41, and Randy Miller, then 70, both of Phoenix, pleaded guilty in the U.S. District Court for the Southern District of New York to one count of securities offering fraud and one count of aggravated identity theft. The pleas were entered before U.S. Magistrate Judge Robyn F. Tarnofsky. As part of the agreements, the court entered money judgments of $7,289,134.89 against Randy and $4,798,980.19 against Chad.9U.S. Department of Justice. Father and Son Plead Guilty to Defrauding Sports Park Bondholders
U.S. District Judge Lewis A. Kaplan sentenced both men on September 9, 2025. Randy Miller received six years in federal prison. Chad received five. Each term carries three years of supervised release to follow.1U.S. Department of Justice. Sports Park Executives Sentenced to Prison for Municipal Bond Fraud
Co-Defendants
Two other men were charged in the scheme. Jeffrey Puzzullo, a 70-year-old construction consultant from San Diego, prepared the financial projections and economic impact report used in the bond offerings, including the pro forma statements projecting $96 million in first-year revenue based on the fabricated letters and contracts. He pleaded guilty to conspiracy to commit securities and wire fraud, securities fraud, wire fraud, and aggravated identity theft, and was sentenced on January 28, 2026, to time served and one year of supervised release. Jeffrey De Laveaga, 56, the chief operating officer of Legacy Sports USA, pleaded guilty under a cooperation agreement with the government and is awaiting sentencing.3SEC. SEC Litigation Release No. 26498
Restitution and SEC Action
On February 2, 2026, the Millers were ordered, jointly and severally with Puzzullo and De Laveaga, to pay $228,260,356.19 in restitution. All four defendants have been permanently barred from participating in the issuance or sale of securities.3SEC. SEC Litigation Release No. 26498
In a parallel civil action filed on April 1, 2025, the SEC charged Randy Miller, Chad Miller, and De Laveaga with violating Section 17(a) of the Securities Act of 1933 and Section 10(b) and Rule 10b-5 of the Securities Exchange Act of 1934. A separate SEC action against Puzzullo followed on March 3, 2026. Partial consent judgments were entered against the Millers and De Laveaga on July 16, 2025, and against Puzzullo on March 5, 2026, permanently enjoining all four from future securities violations. Disgorgement, prejudgment interest, and civil penalties remain pending.10SEC. SEC Litigation Release No. 26280
Bondholder Lawsuits
In September 2024, major bondholders including The Vanguard Group, AllianceBernstein, and Macquarie Group’s Delaware Funds, which together held roughly 70% of the outstanding debt, sued in Maricopa County Superior Court. The defendants include the Millers, bond underwriter BC Ziegler (paid about $5.7 million for the offerings), and bond counsel Gust Rosenfeld. The plaintiffs alleged reliance on sham projections and fabricated contracts and failures in due diligence, with losses exceeding $200 million. The case has been consolidated with an earlier bondholder suit filed by an entity formed by Saybrook Fund Advisors and, as of early 2026, is in discovery. BC Ziegler and Gust Rosenfeld have denied the allegations.11Bond Buyer. Lots of Red Flags for Failed Arizona Sports Park Charged With Fraud, Say Bond Buyers
Chad Miller’s Pardon Push
After sentencing, Chad Miller publicly contested the prosecution. In an op-ed published in the Arizona Daily Independent on October 22, 2025, he described the case as “lawfare” and argued the business failed because of COVID-19 and operational failures by third parties rather than fraud. He also claimed the prosecution was politically motivated, saying he and his father were targeted for hosting a Trump campaign rally at the facility in October 2022 and for their conservative views.12Arizona Daily Independent. President Trump, Can You Right This Wrong
A Change.org petition seeking a presidential pardon for both Millers was created by Ross Trumble on November 7, 2025. As of mid-2026, it had gathered 520 verified signatures and received no official government response.13Change.org. Grant a Presidential Pardon to Chad and Randy Miller
What Happened to the Facility
The sports complex itself survived under new ownership. After the bankruptcy sale closed in December 2023, the campus was rebranded as Arizona Athletic Grounds, and NBA player Russell Westbrook joined as an investor in January 2024 through Russell Westbrook Enterprises.14ABC15. NBA Star Russell Westbrook Invests in Former Legacy Sports Park in Mesa The new operators have no connection to Chad or Randy Miller, who remain in federal custody.