Amistad Financial Group, a firm in which Magic Johnson holds a minority stake and a board seat, lent about $2.3 billion this year to companies tied to Mark Walter, the billionaire now under federal investigation, Bloomberg reported on Oct. 23. Johnson has not been accused of anything, and the reporting says there is no indication he took part in or knew of the lending decisions.
The questions matter beyond one deal because of who Johnson is. He is one of the most prominent Black owners in American professional sports, and Walter has been his partner since their group bought the Los Angeles Dodgers in 2012. When money moves between those two men’s worlds, many Black readers are watching one of the best-known Black fortunes in the country.
Here is what the reporting establishes. Between March and June, Amistad and its subsidiaries lent roughly $1.26 billion directly to Walter’s companies. Another $1.06 billion went to intermediaries that have previously passed money on to Walter’s businesses. Two of the subsidiaries, EquiTrust Life Insurance Co. and Heritage Life Insurance Co., handled large parts of it.
Federal prosecutors and the Securities and Exchange Commission are examining whether Walter, who runs Guggenheim Partners, or his businesses committed fraud by concealing financial connections while borrowing billions from insurers in his orbit, the Wall Street Journal reported. Investigators are looking at whether more than $20 billion in loans and investments involving his affiliated businesses were properly disclosed. The Journal said the inquiry has narrowed to four intermediaries: Amistad Financial, ABS Capital, Bradford Allen and Hudson Trading.
Authorities have not accused Walter, Amistad, EquiTrust or the intermediaries of wrongdoing, and no charges have been filed.
Johnson’s own history with the insurer is part of the story. He bought EquiTrust from Walter in 2014. In November 2025 he sold it to Amistad. He is a minority shareholder and sits on Amistad’s board, but he is not one of the three people on its executive committee.
That distinction is the open question for readers who see Johnson as proof of what Black capital can build. What a board member knew, and when, is not something the public reporting answers. Prosecutors have not said whether they are looking at anyone at Amistad beyond the firm’s lending to Walter’s network.
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