Everton takeover bidder faces up to 40 years in jail after pleading guilty to fraud

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Tom Weber | Writer

Joshua Wander, founder of bankrupt investment company 777 Partners, faces up to 40 years in jail after pleading guilty to fraud.

The chickens have come home to roost for the 45-year-old businessman, whose financial empire was previously described as a house of cards." Despite constant legal battles, Wander frivolously invested in various football clubs via 777 Partners in the late 2010s and early 2020s.

In 2018, 777 began building up its multi-club network by buying up so-called "distressed assets." It first acquired a stake in Spanish heavyweights Sevilla, before adding Italy's oldest club, Genoa, to its portfolio in 2021 after the COVID-19 pandemic.

Over the next three years, investments in Vasco da Gama (Brazil), Standard Liege (Belgium), Red Star (France), Melbourne Victory (Australia) and Hertha BSC (Germany) followed - often with negative consequences for the clubs.

In 2023, 777 agreed a deal with Everton owner Farhad Moshiri to acquire his 94.1% stake in the Premier League side, but the investment firm let the takeover deadline pass amid lawsuits in various countries and the collapse of its short-lived airline Bonza.

Wander pleads guilty to fraud

In 2023, it emerged that 777 was facing allegations of fraud and struggling to honour its financial commitments. The firm's business model, described as "independence via interdependence on its own companies," was failing.

In the summer of 2024, A-CAP, an American insurance firm and a primary investor in 777, announced that it had taken control of all the football clubs after securing its loans against 777's assets. Later that year, the High Court declared 777's UK branch bankrupt.

The Miami-based company was put into receivership in August 2025. Two months later, the FBI New York Press Office announced that Wander had been charged "with conspiracy to commit wire fraud, wire fraud, conspiracy to commit securities fraud, and securities fraud."

The statement continued: "The charges in the indictment arise from an alleged scheme by Wander and others to defraud 777 Partners’ private lenders and investors out of more than $500 million."

In August of this year, 777 and its associated entities filed for bankruptcy protection in Texas in an attempt to restructure more than $2 billion of debt.

On Thursday, AP reported that Wander had pleaded guilty to fraud and agreed to pay back the $500m in restitution to his investors. He admitted "to borrowing money in 2021 and 2022 based on numbers that exaggerated assets."

Wander told Manhattan federal court Judge J. Paul Oetken: "At the time that I did these things, I knew what I was doing was wrong, and I am deeply sorry for my conduct." The 45-year-old is slated to be sentenced on 1 March and could face up to 40 years in prison.

Wander, via 777 Partners, cheated lenders out of "hundreds of millions of dollars by pledging assets that his firm did not own, falsifying bank statements and making other material misrepresentations about the firm’s financial condition."

How did 777's investment affect clubs?

During the early to mid 2020s, 777 became infamous for the mismanagement of its clubs. Genoa were relegated after their takeover in 2022, although they bounced back at the first time of asking. Vasco da Gama also faced a battle against the drop in 2023.

That same year, Standard Liege were hit with a transfer ban. Red Star, on the other hand, achieved promotion to Ligue 2 in 2024 despite widespread protests against 777's ownership, with even politicians getting involved.

Hertha BSC were relegated to the 2. Bundesliga shortly after 777 acquired Lars Windhorst's stake in the club in early 2023. The mismanagement preceded 777's arrival as Windhorst's attempt to turn the "big-city club" into a Champions League side had failed miserably.

However, 777 did little to change the club's fortunes, and things haven't been any better since the takeover by A-CAP. Hertha haven't been back in the Bundesliga since their relegation and have faced huge financial troubles.

This summer, the economic issues resulted in the club losing a remarkable 12 first-team players as well as a pair of key loanees. They were only able to replace them with one permanent signing and three loan arrivals.

Despite losing most of their big-name players, Hertha have enjoyed an incredible start to the new season as they currently sit top of the 2. Bundesliga with seven wins from seven games.