The alleged scam artist whose failed promise to arrange a Stevie Wonder concert for the University of Hawaii prompted a legislative investigation, unseated the UH athletic director and touched off a firestorm of public recrimination was ordered to prison Friday after failing to properly secure the $100,000 bond that allowed him to remain free for the last two years.
Marc Hubbard, 46, of Cornelius, N.C., was ordered to show proof that his bond was appropriately secured after court research revealed that a North Carolina property that Hubbard had previously used as collateral to secure the bond had been sold in foreclosure a year ago and that Hubbard had no further claim of ownership.
Assistant U.S. Attorney Leslie Osborne, who expressed skepticism in Hubbard’s original claim to the property, said the current situation merited the court’s imposition of the original terms and conditions of Hubbard’s release: $100,000 cash bail.
Hubbard’s attorney John Schum asked U.S. Magistrate Judge Kevin Chang for an additional two weeks to allow Hubbard to obtain alternative means of securing the bond.
Speaking on his own behalf, Hubbard told Chang, "Whatever I need to do, I have no problem in doing if I can have time to do so."
However, Chang rebuffed the request, noting that the property had been transferred in May 2014 and that Hubbard had made no effort to inform the court’s pretrial services office of the change.
In remanding Hubbard to prison pending his trial for wire fraud, Chang cited Hubbard’s noncompliance with the terms of his release and his "unreasonable risk of flight" based on Hubbard’s history of failing to appear in court and his other pending trials for unrelated offenses in Pennsylvania and South Carolina.
Schum said his client has continued to work as a club promoter in North Carolina while on bail. He said he was unaware of the transfer of the property used to secure Hubbard’s bail bond.
Hubbard was immediately transferred to the custody of U.S. marshals and escorted out of the courtroom in handcuffs.
Hubbard is accused of scamming the University of Hawaii out of $200,000 with false claims that he could arrange to have musician Stevie Wonder appear at a fundraiser for the UH athletic department in 2012.
Another defendant in the case, Sean Barriero of Miami, admitted to acting as an intermediary with UH and falsely claiming to have deposited payments into an escrow account. Barriero has been working with prosecutors and will not be sentenced until after Hubbard is tried.
According to a federal indictment unsealed March 24, Hubbard has also been charged in connection with an unrelated $2.1 million scam involving fraudulent concert promotions.
Hubbard and attorney Franklin Green, 45, of Washington, D.C., were each charged with one count of conspiracy and seven counts of wire fraud.
According to the indictment, Hubbard portrayed himself as a successful promoter and falsely represented about $14.27 million in ticket sales from July 2006 to Jan. 10, 2008. He allegedly promised investors a return of 25 to 30 percent on their short-term investments with his company.
Instead of using the investors’ funds for concert promotions, Hubbard allegedly used the money to pay earlier investors and to pay his personal and business expenses, according to the indictment.
In a separate case, Hubbard was charged with forgery and securities fraud stemming from his involvement in a series of promised Alicia Keys concerts in South Carolina in 2008. Hubbard is accused of cheating investors out of some $70,000.
