Lance Armstrong found guilty of fraud, to pay $10 million penalty

Former cyclist, Lance Armstrong, has been found guilty of defrauding SCA Promotions, the sports insurance company that paid his bonuses for winning the Tour de France.

A Texas arbitration panel has found him guilty of perjury, saying Armstrong lied under oath in 2005 when he claimed he never used performance-enhancing drugs.

“I race the bike straight up fair and square,” he testified under oath.

The 2 to 1 vote in favor of SCA Promotions Inc. means Armstrong owes the company $10 million, a sum believed to be the largest sanction against an individual in US judicial history.

In its ruling, the Texas panel wrote, “Perjury must never be profitable.”

They also said that both Armstrong and Tailwind Sports, the company that managed his cycling team, “used perjury and other wrongful conduct to secure millions of dollars of benefits,” and went on to say that Armstrong and Tailwind, “expressed no remorse to the panel for their wrongful conduct and continued to lie to the panel throughout the final hearing even while admitting to prior falsehoods and other wrongful conduct.”

Tim Herman, Armstrong’s attorney, said that his client will fight the decision in court.

Armstrong, the now-disgraced cyclist, was stripped of his Tour de France titles and banned from cycling for life in 2012.

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