Terraholm
06-11-2008, 11:29 PM
http://sports.espn.go.com/nba/columns/story?id=3436503
Disgraced former NBA referee Tim Donaghy asserted in publicly filed court
papers Tuesday that six other officials had manipulated the outcomes of four
NBA games, including two playoff games. Although Donaghy and his attorney,
John F. Lauro, offered detail to support their claims of misconduct by
referees, team executives and NBA executives, they did not offer the
identities of the teams or the individuals.
Donaghy's explosive charges came in response to a demand from the NBA that
Donaghy pay $1 million to the league, which claims to be a victim of the
referee's admitted crimes. The league's demand for $1 million in restitution
and Donaghy's response raise a number of legal questions. Here are some of
the questions and their answers:
Donaghy pleaded guilty to two felony charges last summer, admitting he was
guilty of gambling violations and money laundering. Everything seemed to
have settled down, with Donaghy cooperating with federal investigators and
awaiting his sentence. What prompted these developments in the middle of the
NBA Finals?
Donaghy's sentencing is scheduled for July 14. He faces a maximum of 25
years in prison for conspiracy to engage in wire fraud and transmitting
betting information through interstate commerce. In the usual course of
presentence investigations and procedures, the federal probation department
asks the "victim" about the damage resulting from the crime. As a "victim"
of Donaghy's crimes, the NBA claimed in a June 5 letter that it was entitled
to $1 million in restitution from Donaghy. Restitution, or the reimbursement
of the victim's losses, typically pays back a bank or a charity for money
lost in an embezzlement or a theft. Donaghy obviously damaged the NBA and
its reputation, but there is no indication he stole any money from the
league. The NBA claimed that it was forced to spend the nice round sum of $1
million investigating Donaghy and the damage he caused, and the league wants
its money back. Clearly enraged by the unexpected demand from the NBA for $1
million, Donaghy and Lauro retaliated with detailed accusations of
manipulation by other referees. It is the worst nightmare for the NBA, which
might now be reconsidering a withdrawal of its demand for restitution.
Are Donaghy's allegations of referee misconduct new? How serious are his
charges?
Donaghy first began telling the FBI about other referees in July 2007. He
gave federal investigators additional information in a meeting in September.
His claims are serious. They include allegations that the NBA attempted to
insulate star players from technical fouls to build up ticket sales and
television ratings. Most seriously, he claims there was a successful effort
by two referees to extend a playoff series to a seventh game, assisting in
the victory for the team that trailed 3-2 in the series. The accusations are
the kinds of things that fuel conspiracy theories that abound among NBA
fans, but Donaghy is now adding dates, places and games. According to
Donaghy and Lauro, two referees in 2002 deliberately ignored fouls that
resulted in injuries and called "made-up fouls" to give addition foul shots
to one team. Even worse, Donaghy asserts that the referees did all of it
because they were "company men" who "always act[ed] in the interest of the
NBA, and that night, it was in the NBA's interest to add another game to the
series."
Is it legal for Donaghy to go public with these charges?
Most paperwork in a presentence investigation in federal court is impounded.
It is filed in secret and available only to the judge, the lawyers and the
probation department. The NBA's letter demanding restitution, for example,
was filed in secret. But in a clever use of federal rules and procedures,
Lauro filed Donaghy's explosive assertions in a public letter. The purpose
of the letter, Lauro said, was to provide "a summary of Tim's cooperation"
with the FBI. But its real purpose was to fire back at the NBA after its
demand for $1 million in restitution. As a cooperating witness admitting
guilt and showing contrition, Donaghy was well on his way to a reduced
sentence. Then the NBA makes its demand for $1 million. If Donaghy cannot
make restitution, his jail sentence could be extended. Donaghy's plans for a
reduced sentence were suddenly in jeopardy as the result of the NBA's
demand. If Donaghy was to do additional time in prison, then he could get
even by pulling the curtain back on multiple episodes of alleged misconduct
by NBA executives, owners and referees.
Will Donaghy's charges result in other investigations and other charges
against other referees or anyone else?
The charges against Donaghy were the result of his gambling and his use of
his position to manipulate games for gamblers. There is no claim of any
gambling by anyone in the charges Donaghy made Tuesday. If his claims are
true, they clearly show misconduct that could result in NBA discipline, but
they might not be federal crimes. Because the games Donaghy describes
occurred in various cities around the U.S., there might be more than one set
of prosecutors looking into his accusations. The first sign that any of
these potential investigations is under way will come July 14. If Donaghy's
sentencing is postponed, it will be a clear sign that other investigations
are under way on his claims.
What is the next step in the case against Donaghy?
Donaghy's attorneys want to see all of the NBA's records of its
investigation into Donaghy. The NBA investigation, according to Donaghy's
court papers, included interviews of 57 NBA referees. Donaghy and his
attorneys have asked a federal judge in Brooklyn to give them a subpoena for
all NBA records resulting from the investigative efforts. The NBA claims the
investigation cost $1 million, but Donaghy wants proof. Lauro argues that
the investigation was directed at other referees and other situations that
did not involve Donaghy, and Donaghy should not be required to make
restitution for that portion of the investigation. U.S. District Court Judge
Carol Amon will decide whether Donaghy can go through the NBA's records.
Lester Munson, a Chicago lawyer and journalist who reports on investigative
and legal issues in the sports industry, is a senior writer for ESPN.com.
Disgraced former NBA referee Tim Donaghy asserted in publicly filed court
papers Tuesday that six other officials had manipulated the outcomes of four
NBA games, including two playoff games. Although Donaghy and his attorney,
John F. Lauro, offered detail to support their claims of misconduct by
referees, team executives and NBA executives, they did not offer the
identities of the teams or the individuals.
Donaghy's explosive charges came in response to a demand from the NBA that
Donaghy pay $1 million to the league, which claims to be a victim of the
referee's admitted crimes. The league's demand for $1 million in restitution
and Donaghy's response raise a number of legal questions. Here are some of
the questions and their answers:
Donaghy pleaded guilty to two felony charges last summer, admitting he was
guilty of gambling violations and money laundering. Everything seemed to
have settled down, with Donaghy cooperating with federal investigators and
awaiting his sentence. What prompted these developments in the middle of the
NBA Finals?
Donaghy's sentencing is scheduled for July 14. He faces a maximum of 25
years in prison for conspiracy to engage in wire fraud and transmitting
betting information through interstate commerce. In the usual course of
presentence investigations and procedures, the federal probation department
asks the "victim" about the damage resulting from the crime. As a "victim"
of Donaghy's crimes, the NBA claimed in a June 5 letter that it was entitled
to $1 million in restitution from Donaghy. Restitution, or the reimbursement
of the victim's losses, typically pays back a bank or a charity for money
lost in an embezzlement or a theft. Donaghy obviously damaged the NBA and
its reputation, but there is no indication he stole any money from the
league. The NBA claimed that it was forced to spend the nice round sum of $1
million investigating Donaghy and the damage he caused, and the league wants
its money back. Clearly enraged by the unexpected demand from the NBA for $1
million, Donaghy and Lauro retaliated with detailed accusations of
manipulation by other referees. It is the worst nightmare for the NBA, which
might now be reconsidering a withdrawal of its demand for restitution.
Are Donaghy's allegations of referee misconduct new? How serious are his
charges?
Donaghy first began telling the FBI about other referees in July 2007. He
gave federal investigators additional information in a meeting in September.
His claims are serious. They include allegations that the NBA attempted to
insulate star players from technical fouls to build up ticket sales and
television ratings. Most seriously, he claims there was a successful effort
by two referees to extend a playoff series to a seventh game, assisting in
the victory for the team that trailed 3-2 in the series. The accusations are
the kinds of things that fuel conspiracy theories that abound among NBA
fans, but Donaghy is now adding dates, places and games. According to
Donaghy and Lauro, two referees in 2002 deliberately ignored fouls that
resulted in injuries and called "made-up fouls" to give addition foul shots
to one team. Even worse, Donaghy asserts that the referees did all of it
because they were "company men" who "always act[ed] in the interest of the
NBA, and that night, it was in the NBA's interest to add another game to the
series."
Is it legal for Donaghy to go public with these charges?
Most paperwork in a presentence investigation in federal court is impounded.
It is filed in secret and available only to the judge, the lawyers and the
probation department. The NBA's letter demanding restitution, for example,
was filed in secret. But in a clever use of federal rules and procedures,
Lauro filed Donaghy's explosive assertions in a public letter. The purpose
of the letter, Lauro said, was to provide "a summary of Tim's cooperation"
with the FBI. But its real purpose was to fire back at the NBA after its
demand for $1 million in restitution. As a cooperating witness admitting
guilt and showing contrition, Donaghy was well on his way to a reduced
sentence. Then the NBA makes its demand for $1 million. If Donaghy cannot
make restitution, his jail sentence could be extended. Donaghy's plans for a
reduced sentence were suddenly in jeopardy as the result of the NBA's
demand. If Donaghy was to do additional time in prison, then he could get
even by pulling the curtain back on multiple episodes of alleged misconduct
by NBA executives, owners and referees.
Will Donaghy's charges result in other investigations and other charges
against other referees or anyone else?
The charges against Donaghy were the result of his gambling and his use of
his position to manipulate games for gamblers. There is no claim of any
gambling by anyone in the charges Donaghy made Tuesday. If his claims are
true, they clearly show misconduct that could result in NBA discipline, but
they might not be federal crimes. Because the games Donaghy describes
occurred in various cities around the U.S., there might be more than one set
of prosecutors looking into his accusations. The first sign that any of
these potential investigations is under way will come July 14. If Donaghy's
sentencing is postponed, it will be a clear sign that other investigations
are under way on his claims.
What is the next step in the case against Donaghy?
Donaghy's attorneys want to see all of the NBA's records of its
investigation into Donaghy. The NBA investigation, according to Donaghy's
court papers, included interviews of 57 NBA referees. Donaghy and his
attorneys have asked a federal judge in Brooklyn to give them a subpoena for
all NBA records resulting from the investigative efforts. The NBA claims the
investigation cost $1 million, but Donaghy wants proof. Lauro argues that
the investigation was directed at other referees and other situations that
did not involve Donaghy, and Donaghy should not be required to make
restitution for that portion of the investigation. U.S. District Court Judge
Carol Amon will decide whether Donaghy can go through the NBA's records.
Lester Munson, a Chicago lawyer and journalist who reports on investigative
and legal issues in the sports industry, is a senior writer for ESPN.com.