Basketball: Eighteen former NBA players charged by US federal prosecutors in fraud scheme

US federal prosecutors have brought charges against 18 former NBA players for allegedly defrauding the league's health and welfare plan between 2017-20.

According to authorities, 16 of the 18 are in custody, after a series of arrests around the country. They face charges of conspiracy to commit healthcare and wire fraud, along with aggravated identity theft.

The FBI says it "remains an ongoing investigation".

Nineteen people are charged in the indictment, which alleges the defendants filed US$3.9 million in false medical and dental claims, and received US$2.5 million in payouts.

The indictment points to Terrence Williams - the 11th overall pick by the then-New Jersey Nets in 2009 - as a key player in the alleged scheme.

Williams, 34, allegedly filed US$19,000 in claims in November 2017 for chiropractor care and received a US$7672 payout. 

According to the indictment, he then recruited other players and provided fake invoices from a Washington state wellness clinic, a chiropractor and a dentist in Southern California.

Some of the players indicted reportedly funneled a portion of money they received back to Williams.

Former Boston Celtics swingman Tony Allen, 39, and his wife were among those charged. Allen won a title with Boston in 2008 and was a six-time selection to the all-defensive team.

Full list of the indicted players

Terrence Williams, Tony Allen, Alan Anderson, Shannon Brown, William Bynum, Glen 'Big Baby' Davis, Christopher Douglas-Roberts, Melvin Ely, Darius Miles, Jamario Moon, Milt Palacio, Ruben Patterson, Eddie Robinson, Gregory Smith, Sebastian Telfair, Charles (CJ) Watson Jr, Antoine Wright, Anthony Wroten

Reuters