Craig Ferguson Investigates

For the bullet summary, please go here. To contact your MP regarding the Veto issue, please go here.

Thanks again to the panel at the Make it Seven roundtable rant page for digging deep. Patrick Romanoski, Gregory Galante, Jay Martin, Joe Smith, Bryan Kirkham,Ken Connolly, Corey Schlueter, Aaron Mernick, Wade Tiefenbach,  Jennifer Zarull, and if I have missed anybody, don’t worry , it won’t be because I wanted to, but I will find you! Insight abounds, and is making this summary very easy indeed.

Have you ever had a chance to play the ‘Lemmings’ computer game? I remember one Christmas, they had a version on the internet with little Santa Lemmings, all decked out. You had to build certain paths that kept them safe, and if you didn’t, they didn’t have enough sense to save themselves. Set them on the wrong path, and they’d fall off the edge of a cliff, one after the other, with no ability or concern for trying to find a solution on their own.

To me, the National Hockey League, it’s executive, and employees responsible for trying to stop Jim Balsillie, are acting like those Lemmings. No matter what happens, they continue on the path over the virtual cliff, with no apparent consideration for the ridiculouslness of their own actions. With no apparent concern for the ramifications or long term consequences of what lies ahead.

And, with the changing of the guard in the NHLPA, the writing is becoming even more quickly apparent. There is a mutiny on the bounty in the works.

Can we figure the Lemmings will figure that out? Or, are they headed for the cliff with the same speed as ever?

Part of the problem with the NHL head office, is the arrogant attitude that self policing has earned them. They like to not be told what to do, and they intend on keeping it that way.

Well again, the people ‘they’ serve, the players and the fans are starting to voice an undying opinion that ‘we aren’t going to take it anymore’.

There is a mutiny in the works. Can anybody see it?

Let’s begin with material readily available for fan and player consumption. The depositions of Bill Daly, Gary Bettman, and Craig Leipold.

To start, Mr. Daly…

In deposition, Bill Daly had made a very confident statement  regarding his comments made on May 7th, 2009:

Daly: "We don't usually like to pick fights, but we end them."

Reiterated comment from Daly of May 7th :

“Mr. Balsillie is acting again in total disregard of any rules or any structure, I’d be very surprised if the Board would look favorably on the way that Mr. Balsillie has conducted himself in this instance.”

Question from counsel: “Did you make that statement?”

Daly: “Yes, I did.”

And, another quote that Bill Daly had made:

“He makes his own decisions. And he’s making a decision that this is the way he wants to get into the National Hockey League. We don’t usually like to pick fights, but we end them.”

Now, the obvious question to Mr. Daly is, ‘how would you propose to end this fight?’

Let us guess.

You would, as league officials do ANYTHING necessary to end this fight?

After all, Jim Balsillie has decided how he is going to enter the National Hockey League, and Mr. Daly is of obvious opinion that Mr. Balsillie does not have the right to exercise his rights to use legal processes to do just that.

Would that be accurate?

It might even give league officials enough willpower to decide to structure ‘an attack’ to counter this man who does not listen to the league and it’s rules.

Would there be motive to alter and withhold information to suit the needs of a league desperate to stop a man with strong will?

The deposition of Bill Daly continued…..

Q from counsel: “Mr. Daly, are you familiar or did you see the various Kroll Reports that were prepared on Mr. Balsillie?”

Daly: “I’m familiar with them.”

Q: “Have you seen them?”

Daly: “I’ve seen them physically, but I can’t tell you – other than potentially skimming them, I didn’t read them in any great detail.”

Q: “Do you know why there are different versions of the report prepared, one on June 15th, which was of James Balsillie and Heidi Balsillie, and then one on July 23rd, which is just of James Balsillie, and yet another on of July 21st, which was a separate memorandum to Mr. Zimmerman? Do you have understanding of why there are different versions floating around?”

Daly: “No”

Q: “Were you involved in any discussions about taking materials in the Kroll Report out or including some materials in the Kroll Report?”

Daly: “No”

Q: “Do you know why the Kroll Reports were not given to the executive committee or to the Board of Governors before making their decision?”

The document cuts off before we get Mr. Daly’s answer. How appropriate that mishap is. What do you suppose his answer was? Tough one?

Anyhow, May 7th and already directing a bias toward the Board of Governors. Perhaps enough of a bias to ensure the Board members are not given a clear, unbiased amount of information to make a good decision on Mr. Balsillie?

I think Mr. Daly had better take a very important fact into consideration. It isn’t his hide on the line should the Board members be held accountable as directors and league authorities. It is the directors. Nice to be making decisions for them, if that is the case.

On to Mr. Bettman……

In his deposition, Gary Bettman starts to wash his hands. This should be a huge red flag to the Board of Governors, and I will explain more as we go along.

As an employee of the National Hockey League, Gary Bettman reports to the Board of Governors. The problem with any leader reporting to the Board, is the fact that Board Members tend to take the direction of the leader (commissioner in this case), and don’t necessarily ensure they understand all the liability and problems that they, not the commissioner is going to be held accountable for.

So, for Gary Bettman to advise the court what comes next is a key warning to those Board members that you had better obtain good counsel of your own, or it’s their  (Board members) collective and individual hides on the line.

On to the point.

In the deposition, Gary Bettman discussed article 4:

Q: “Is it correct that any ammendment of article 4 has to be evidenced by an instrument in writing signed by all members of the league?”

Bettman: "I have on repeated occasions advised the Board that there's an aspect of article 4 of the constitution which is unenforceable and will not be applied."

Bettman: “Not necessarily”

Q: “Not necessarily. And why would that be?”

Bettman: “Well, there are a couple of reasons. One, when you’re referring to article 4 of the constitution, it needs to be reconciled with bylaw 36; and secondly, I have on repeated occasions advised the Board that there’s an aspect of article 4 of the consitution which is unenforceable and will not be applied.“

 Is Gary Bettman saying his only obligation is to advise the perhaps stubborn Board members that there are aspects of the constitution that are unenforceable? Is this a ‘washing of his hands’ and responsibility? Would Gary Bettman be better advised to inform the Board that in the current form the constitution is flawed and creates a great potential liability to the members of the Board?

Gary Bettman was under oath. He likely knew there were questions and a line of questioning that would implicate him responsible. What does he choose to do? He washes his hands and defers responsibility to the Board he serves. Board of Directors, this is your wake up call.

It continued….

When asked if he as commissioner had the right to interpret the league rules and establish policies regarding the constitution and bylaws, and that he (Commissioner) had the right to change provisions of the constitution by his (Bettman’s) interpretation, Bettman said:

“If they need to be reconciled either with other documents, resolutions and applicable law, yes.”

I wonder if that law would include the Competition Act of Canada?

So, is Gary Bettman saying he as commissioner has the right to change aspects of the constitution as required by applicable law, in this case the Competition Act of Canada? I would think so.

Regarding article 4.3, the counsel asked a specific question:

“I’m asking you a very narrow question. Has there ever been a written ammendment to that provision of the constitution signed by all members of the league?”

Bettman: “I don’t believe so, but that shouldn’t matter because I’ve advised the board-”

Bettman: “- on repeated occasions that we are not enforcing that provision, and there hasn’t been any objection to that, and in fact, the competition bureau in Canada has affirmed our policy and practice in that regard.”

“There hasn’t been an objection to that”? What about the letter from the Toronto Maple Leafs hand delivered to the office of the National Hockey league in 2006? Was this part of the information given to the Competition Bureau in Canada? Somehow, I think not.

So, Mr. Bettman in 2009 states that there was no objection, but clearly the Toronto Maple Leafs did object.

As pointed out by Patrick Romanoski, methinks we have a problem here. Would this be lying under oath?

Would this include withholding material evidence from the Competition Board of Canada?

I think we leave it for now on those valid issues. We will continue next time with more Gary Bettman deposition analysis, and for Craig Leipold.

The NHLPA got a fresh leader, eh?

Hmmmm……

Well, I must make a final comment to Mr. Bill Daly. Bill, you as a league know how to end a fight?

I don’t think you will be able to ‘end’ this one.

Every once in a while I get a little soft, and write something that is sappy and boring. Then I think of the injustices suffered in this case. Then, I put those sappy articles back in mothballs and get back to business.

Before I begin, I want to make a personal salute to a ranter on Makeitseven.ca.  His name is Patrick Romanoski, and he has to be one of the most persistent diggers of information that I have ever witnessed. He is a wealth of information and wisdom. Patrick, thank you. And, there are several more contributors that I want to mention. Perhaps we can do this over the next while.

For the bullet summary, please go here.

Is it over yet?

No?

OK, where are we now?

We are at the part where the NHL grovels so low that they what? They put their own bid in? No way! Get out! Really?

They say real life is stranger than anything we could possibly think up ourselves. Real life is stranger than fiction.

Did anyone think this case could get any more bizarre than it has? Is it close to over? Is it going to get any stranger?

Let’s think of the fans in Phoenix right now.

They must be suffering some kind of disbelief of what has happened.

At first, the NHL looked like their best friends. What must have been part of their thinking? How about this:

 Isn’t Gary wonderful. Go Gary Go! Save the Coyotes! Game On Arizona!

Look, Gary sent us a memo to our rally! He supports the franchise, and says he sees us surviving long into the future.

Hey, did you hear? Jerry Reinsdorf is coming in with a bid, and the NHL supports Reinsdorf. He’s good. He’s got lots of experience and he knows how to make teams succesful. Jerry will be our white knight! Yeah Jerry!

Boy, that Jerry Moyes. He sure ran this team into the ground with poor management. That was it. Just poor management. The other Jerry will show Moyes how it’s done. What? He wants to get $104 million out of the team when he sells? Forget it! He doesn’t deserve it. Go Reinsdorf go! We’re with you! Save the Coyotes!

That was likely pretty close to the thinking of the Phoenix Coyotes fans at the outset of this case.

The NHL had found the white knight.

Now, the white knight is gone. He bowed out under what is described as a negative publicity campaign:

“We have faced an organized publicity effort designed to provide negative and misleading information to interested parties,” it said. “Not only has this stymied negotiations, but it has eroded local market demand for Coyotes tickets, luxury boxes, and sponsorships.”

Okay? Where is the negative publicity effort exactly? Did anyone see a negative PR campaign? Anybody?

I’d like to know how exactly the Balsillie group did this, and where it was from. How did they do it exactly?

Would this be about the collusion accusations from Moyes? Is that it? If so, those were justified accusations.

When it is claimed they had made great inroads in negotiations, would that have included the $23 million in annual concessions requested from a city already laying off staff to suck up the $14 million deficit? Is that it?

I’m sorry, but I do not see any favors to anybody in the negotiations. And the negative publicity? Don’t confuse that with any uncovering of truth that was presented. Don’t bother. Please.

As for the NHL’s promises to the fans of the Phoenix Coyotes.

I feel sorry for the fans in Phoenix because, let’s be real as Dr. Phil, you were fed a lot of snow.

The proof is in the realities that are now apparent.

Fact: Jerry Reinsdorf had incredibly high concession demands, and the city of Glendale would be on the hook for any team financial failures. Not a lot of risk there for anyone but the taxpayers of Glendale.

Fact: The Reinsdorf offer had a five year out clause despite the taxpayers liability. No amount of confidence or risk.

Fact: The NHL’s bid is even less supportive with a one season out clause.

So much for Bill Daly’s press conference where he claimed this in early July:

Daly stressed the new terms would not allow the Coyotes to break the lease in a year or two and move elsewhere.

The NHL must fight for the bankrupt Coyotes to stay in Glendale long-term, he said, to send a message to other cities that have spent money attracting or retaining hockey teams.

 Yeah Bill! Go NHL go!

Sorry Phoenix, that was a snowjob!

This week, the NHL has filed it’s own offer with the bowing out of Reinsdorf, and the out clause as you know, is one season. No long term. Not even two years.

What happened to the ‘message’ the NHL wants to send? That was so last month, eh Bill?

This is late August and things are now a lot different. It’s snowing in August in Arizona.’Snow job’ that is.

Well, at the end of the day the NHL has to get it’s act together and get organized. 

 

To that end, we thought we’d throw in this pic of the boys trying out the his and his Blackberries. Do you think they were compliments of RIM?

 

 

Anyhow, back to the issues…

What really bothers me is no matter how much exposure of the NHL’s shortcomings are made known, they continue to point the finger at others.

The NHL also cited ongoing harm to the franchise as the bankruptcy proceeding drags on.

“The bankruptcy petition and subsequent events have been incredibly damaging to the club’s business,” Daly said, “and the sooner the club can be extricated from the bankruptcy process, the sooner club personnel can begin to restore the team’s vitality and local fan base.”

Oh, Daly said ‘vitality’ not ‘viability’. OK, I can live with that. In July he said ‘viability’. I get it. Well, at least he is not saying long term viability anymore, especially with the huge lack of confidence the league has shown with that whole one year and out idea in their bid.

How did I get so off track? Well, this case has become a farce. Let’s call it. It’s officially a farce. A sick as all get out joke. A joke that is far from funny, really.

I actually feel sorry for mainstream media. They have to report the facts and the events as they occur.

“OK, now we have the NHL in, and Reinsdorf out, and Ice Edge also filed their bid, and yada, yada, yada”.

Come on! We all know they want to grab a blog and say “what the _____.”

We all want to say, come on!

But, let’s get back to reality for a moment. I will finish with this summary and opinion.

The Coyotes were never just about hockey. The city of Glendale colluded to get rid of Moyes, and they were assisted by certain parties in Glendale and this case, and they were helped also by the NHL. No doubt.

Jerry Moyes was stripped of his money and spat out like a used piece of gum.

The NHL has snowed the fans of Phoenix with a false sense of loyalty, and only now do the true colors of the NHL become obvious.

The NHL and the Reinsdorf group were looking to relocate this team either now, or within five years to another centre that fits the plan of the NHL.

The NHL has painted Jim Balsillie any way they can to avoid him putting a team in southern ontario because of the MLSE objection, and also because they would not get an expansion fee.

The NHL is looking really bad, and really dishonest. Who can trust the heads of this league anymore?

The NHL has shunned the fans of Canada, and is quickly shunning the fans of Phoenix.

Jim Balsillie has a brighter future in the NHL than Gary Bettman, and let’s see who is around in 10 years.

Jim Balsillie, despite being voted against, has been approached by other struggling franchises, and is the true white knight to help the destitute owners.

And, because I can, I have this to add. I hope Jerry Moyes gets his $104 million, and Jim Balsillie gets to move the franchise to Hamilton. I hope Jerry Moyes becomes an honorary lifetime member of the new team. It took great courage to bring this team in to court for the ride we are experiencing.

I hope those involved in hanging Moyes out to dry pay the piper.

I hope the league gets torn to the ground and is rebuilt with true, caring hockey people.

I hope we all learn that it is not OK to treat another human being with utter disrespect.

I hope one day some grown men will grow up and be able to take responsibility for their actions, and admit when they were wrong.

I hope the less than ethical officials at Glendale city hall find themselves not getting re-elected for the abuse of the taxpaying voters.

I hope the rich folks involved in this case learn that money and the quest for more is not what is important in life.

But, to start, let’s get this team to Hamilton, and get Jerry Moyes some money back.

It’s been snowing in Glendale long enough.