NFL career rushing leader Emmitt Smith is being sued by a Native American investment company over claims that the former Dallas Cowboys running back and his business partners misappropriated a $2.5 million loan that was supposed to fund a wind farm project in Texas.

Kituwah LLC claimed in a lawsuit filed this week in Delaware that 4 13 Solutions used the money to repay an investor from previous dealings with Smith’s company. Kituwah seeks to invest in business opportunities for the Eastern Band of Cherokee Indians.

Kituwah’s attorneys said Smith and the Pro Football Hall of Famer’s longtime business partner, David Mosley, misrepresented their efforts to secure a U.S. Department of Energy loan that would have triggered repayment to Kituwah.

Kituwah claims the loan has accrued about $600,000 in interest and is asking a jury to determine damages. A message sent to 4 13 Solutions wasn’t immediately returned. There was no information on an attorney for Smith or his company in the filing.

According to the lawsuit, Darrel Wilson of Wilson Holdings of North America LLC told Kituwah that he accepted a $2.5 million payment from Smith’s company and said he didn’t know what triggered the payment. Kituwah’s attorneys said it was, “Essentially, like a ponzi scheme.”

Kituwah claims Wilson Holdings was supposed to be repaid only after the wind farm project between Austin and San Antonio, called Project Exodus, secured permanent financing.

“Smith and Mosley knew this was improper,” the lawsuit said. “Instead of telling the truth, they represented to Kituwah that 4 13 Solutions had used the money to acquire Project Exodus as promised, but that the acquisition had been held up for one reason or another.”

The lawsuit claims Smith and his partners never met the requirements for securing government funding and repeatedly made excuses for why the project wasn’t proceeding or stopped responding to requests.

Kituwah said it delivered the funds on Sept. 1, 2023, with the expectation of being paid back within months. The lawsuit said 4 13 Solutions promised the wind farm would be operational by December 2024, but Kituwah had seen no evidence the project even existed just a month before that date.

Kituwah said Smith and his partners claimed the wind farm project was valued at $396 million and would generate nearly $14 million in net income in its first year.

The 57-year-old Smith spent the first 13 of his 15 seasons with the Cowboys, won three championships and was the MVP of Super Bowl 28. He broke Walter Payton’s rushing record in 2002 and finished with 18,355 yards.

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The Associated Press