Updated: 9 p.m.
Mychal Kendricks has a lot more to worry about than how folks will take his comments on the most recent episode of "Hard Knocks."
The former Eagles linebacker is facing federal charges for insider trading, Philadelphia-based U.S. Attorney William M. McSwain announced Wednesday. Kendricks was released by the Browns on Wednesday evening.
McSwain alleges that Damilare Sonoiki, a former investment banker, was giving Kendricks inside information in 2014 and 2015. Kendricks then used those tips to profit just under $1.2 million. In exchange for the info, Kendricks provided Sonoiki with around $10,000 in cash and tickets to Eagles games. Both men have been charged with one count of conspiracy to commit securities fraud and one count of securities fraud. McSwain also alleges that the two men attempted to conceal their illegal activity by communicating with FaceTime.
Kendricks, it appears, will plead guilty to the charges. He has already admitted to insider trading and issued an apology in the following public statement.
I would like to 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 this point, I had worked my tail off since I was 5 years old to become the football player. 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.
Here is McSwain discussing Kendricks' charges:
Kendricks was entering his first season with the Cleveland Browns until he was released by the team on Wednesday night. It marked the second time this summer he has been waived after he was released by the Eagles earlier this offseason.
Browns general manager John Dorsey released a statement on the decision:
NFL
Prior to signing Mychal, we were informed that there was a financial situation that he had been involved with in 2014. We were told Mychal had fully cooperated with investigators as a victim. From what was communicated at that time and based on the numerous questions we asked and further due diligence on our part, including checking with the league office, there was no information discovered that conveyed otherwise.
Recently, we were provided an update on the matter and the circumstances have changed. We are now dealing with a different set of facts and the additional information we’ve gathered has led us to the decision to release Mychal from our team. Due to the ongoing legal nature of this situation, we will have no further comments.
Kendricks was drafted in the second round back in 2012 and played the first six years of his career in Philadelphia.
Information from NBC10 was used in this report.