The fraudulent activities were uncovered in August 2024 when officials at George Mason realized that a $160,000 payment meant for a summer trip to the Bahamas had not been used for travel arrangements.

Maurice Eugene Smith, a travel agent, pleaded guilty to wire fraud in connection with a Ponzi-style scheme that defrauded multiple clients, including the George Mason University men's basketball team.

Smith was arrested on December 12, 2024, following an FBI investigation that revealed he misused client funds for personal expenses and to pay off earlier victims.

In a letter to George Mason in September 2024, Smith initially attributed the trip's cancellation to a 'logistical error' but later confessed to his fraudulent activities.

As part of his plea agreement in U.S. District Court for the Eastern District of Virginia, Smith is required to pay a $250,000 fine, provide full restitution, and forfeit assets related to the fraud.

During the scheme, Smith admitted to diverting client funds for personal trips to Tulum and Panama City, as well as for cash withdrawals, rather than fulfilling his contractual obligations.

Smith operated Eugene Toriko LLC, a luxury travel company, and committed his fraudulent activities between 2022 and 2024.

His sentencing is set for July 17, 2025, with prosecutors recommending a reduced sentence due to his plea.

Despite the scandal, the George Mason men's basketball team had a successful season, finishing with a record of 27-9 and winning the Atlantic 10 regular-season title before losing to Bradley in the NIT.

The basketball team was impacted by Smith's actions after contracting the VII Group, whose CEO had subcontracted Eugene Toriko for the Bahamas trip.