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NBPA trying to oust Derek Fisher

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  • NBPA trying to oust Derek Fisher

    http://espn.go.com/nba/story/_/id/78...t-derek-fisher

    The NBA union's executive committee has requested the resignation of president Derek Fisher.

    The NBPA said in a statement on Friday that the executive committee voted 8-0 on Wednesday that it had lost confidence in Fisher's ability to lead. Yahoo! Sports reported that Fisher was refusing to step down.

    "The Executive Committee based its decision on numerous instances over the past six months, where Fisher engaged in conduct detrimental to the union, including acting in contravention of the players' best interests, during collective bargaining, declining to follow the NBPA Constitution, and failing to uphold the duties of the Union President," the statement said.

    The veteran guard for the Oklahoma City Thunder has been the union's president since 2006. Fisher made a brief statement to reporters at Friday's shootaround in Sacramento: "The quickest, most efficient way to say it is to say that I do and I've always taken my job as president of the players' association very, very seriously."

    As the battle escalates, NBA players union executive director Billy Hunter has hired a public relations firm and has called for a player representative conference call as early as Friday in an attempt to oust Fisher, sources told ESPN The Magazine's Ric Bucher Friday morning.

    The two union leaders have been at odds since a rumor surfaced during the lockout that Fisher had met privately with commissioner David Stern and deputy commissioner Adam Silver to cut a deal, a rumor that never was substantiated and that some in Fisher's circle now suspect came from Hunter to undermine Fisher's authority, sources said.

    Fisher sent a letter earlier this week to player reps informing them that the union's executive committee had decided the NBPA should undergo a business review, according to one Eastern Conference player representative. Several executive committee members, however, were surprised by the tone of the letter because the decision was not unanimous, another source said.

    According to several sources, Hunter then contacted each committee member and convinced them the union already undergoes a regular internal audit and that Fisher's suggestion was both redundant and a personal attack on Hunter's leadership.

    The committee, sources say, reversed course on the business review and, as an added measure, agreed to ask Fisher to step down.

    Fisher, however, has refused to relinquish his position, prompting Hunter to organize a call among the team player representatives, supposedly to solicit their support for Fisher's ouster. One player representative confirmed that a conference call has been discussed but not yet scheduled, while another said he had not been alerted of one.

    Fisher's concerns stem from indications that Hunter has utilized player union funds without executive committee approval, sources said.

    Information from The Associated Press was used in this report.

  • #2
    Re: NBPA trying to oust Derek Fisher

    He did force his way out Houston when he was traded to go to a better team.

    Comment


    • #3
      Re: NBPA trying to oust Derek Fisher

      He does seem like a turd, but nobody really looks good in this.

      Comment


      • #4
        Re: NBPA trying to oust Derek Fisher

        I think it is suspicious b/c they are outing him after he asked for and audit of the Union. What are the trying to hide?
        "George's athleticism is bananas!" - Marc J. Spears

        Comment


        • #5
          Re: NBPA trying to oust Derek Fisher

          Derek Fisher is a whiny little *****. Refusing to play for bad teams is a joke. Forget just the players union, he shouldn't have a team. I lost all respect for him over the last two years and I used to respect him a lot.

          Comment


          • #6
            Re: NBPA trying to oust Derek Fisher

            Originally posted by Dr. Awesome View Post
            Derek Fisher is a whiny little *****. Refusing to play for bad teams is a joke. Forget just the players union, he shouldn't have a team. I lost all respect for him over the last two years and I used to respect him a lot.
            Voiding out of Utah was okay. However, forcing Houston to buy out his contract then signing with OKC was a lame move, especially if trying to set an example for current players.

            Comment


            • #7
              Re: NBPA trying to oust Derek Fisher

              NBA Hangtimeblog by Steve Aschburner http://hangtime.blogs.nba.com/2012/0...s=iref:nbahpt1



              In-fighting between executive committee members of the NBA players’ union and President Derek Fisher escalated Friday night, with Fisher refusing to resign while urging the league’s 30 players reps to demand review of his performance and the union’s business practices and finances.
              All of this would have grabbed far bigger headlines had it occurred six, eight or 12 months ago – before the NBA and the union agreed to a new collective bargaining agreement that will run at least through the 2016-17 season. Fisher, executive director Billy Hunter and the eight National Basketball Players Association vice presidents who have lined up behind Hunter in this skirmish were front and center then, with the league in a lockout that lasted five months.
              Now it is more of an inside-basketball story that might not grab most fans’ attention. The players involved are mostly back at work on the courts, with the playoffs looming. But the political maneuvering by Hunter – who fended off a call by Fisher for an audit of Hunter’s performance, turning that into an 8-0 vote of non-support for the union president – and Fisher might explain some of the union’s inconsistencies and reversals during the CBA negotiations.
              Fisher was accused by Hunter sympathizers during the talks last fall as undercutting the players’ position in side dealings with management, allegedly to assure himself of a future position with the league. Hunter was criticized by others for trying to protect his power base. Both took heat for concessions ultimately made in the final contract.
              Some player reps reportedly view this attack on Fisher’s integrity as a move by Hunter to secure his job (and approximately $2.4 million salary). Many were caught unaware by the bold accusations and politicking.
              The eight-man executive committee –which includes active players Maurice Evans, Keyon Dooling, James Jones, Matt Bonner and Chris Paul, along with Roger Mason, Theo Ratliff and Etan Thomas (not currently employed by teams) – requested Fisher’s resignation Friday. In a statement, it said it “based its decision on numerous instances over the past six months, where Fisher engaged in conduct detrimental to the union, including acting in contravention of the players’ best interests, during collective bargaining, declining to follow the NBPA Constitution, and failing to uphold the duties of the Union President.”
              Fisher, currently a reserve guard with the Oklahoma City Thunder, fired back with a statement after his team’s shootaround practice in Sacramento Friday morning. Later in the day, he came back with something more official, calling the committee’s allegations “defamatory” and urging a vote of all 30 player reps in pursuing an independent audit of the NBPA.
              Here is the full text of Fisher’s response:
              “As I stated in my letter to the Executive Committee, I will not resign.
              I along with many others are extremely disappointed with the Executive Committee. Their demand for my resignation and their need to protect the NBPA Management and their own best interests instead of protecting the players we were elected to serve is unfortunate.
              I have tried to convey the legal and moral obligations we have as union officers. Sadly, the Executive Committee has now waged a personal character attack on me to divert attention from the real issue. The truth.
              So the next step is simple. All players have a voice. Any and all players may request an independent review of the business practices and finances and a Player Representative vote can be taken at a time when all 30 player representatives can be present. A firm of the players choosing may conduct the review.
              The allegations that are now being directed at me are defamatory. But I urge our members to order an independent review beginning immediately and that will be proven along with finding out definitively if there are any issues with the NBPA’s business practices and finances.”
              So Long And Thanks For All The Fish.

              If you've done 6 impossible things today?
              Then why not have Breakfast at Milliways!

              Comment


              • #8
                Re: NBPA trying to oust Derek Fisher

                Why does this not surprise me?

                http://probasketballtalk.nbcsports.c...medium=twitter

                Report: NBA players union paid $4.8 million to director’s family members, their firms

                And now we see what is at the heart of the current NBA players union fight — nepotism concerns.

                This is already a fight where union president Derek Fisher pushed for an audit and Executive Director Billy Hunter got the union executive committee to call off the audit and call for Fisher to resign. And now you get the feeling this is going to get worse.
                The union has been spending millions of dollars to do business with companies and lawfirms tied to Hunter, reports Bloomberg in a well researched story.
                The National Basketball Players Association, whose business practices are being questioned by President Derek Fisher, paid almost $4.8 million to Executive Director Billy Hunter’s family members and their professional firms since 2001, according to public records…
                Hunter, a former U.S. attorney who led the players through two work stoppages, has a daughter and daughter-in-law on staff at the union. Another daughter is special counsel at a law firm used by the association, and Hunter’s son is a principal at a financial planning and investment firm that last fiscal year was paid $45,526 a month to run the union’s financial awareness program and advise on investments, according to filings with the U.S. Labor Department.
                “It’s not a criminal act, but it’s not something I would do,” said Marvin Miller, who led baseball players through three strikes and two lockouts as their salaries rose 12-fold between 1966 and 1982.
                Therein lies the issue — this is not illegal. But it raises a whole lot of ethical red flags. You can make the argument that so long as the union is getting the services it pays for — quality legal representation, quality work on investments — that this is legitimate.
                But you can bet that this would not be allowed — or would at least be heavily scrutinized — at a public company or government agency. It reeks of nepotism.
                For example, Hunter’s daughter Alexis works for Steptoe & Johnson LLP, the firm the union hired during the lockout to file unfair labor practice charge against the NBA with the National Labor Relations Board during the lockout. Before that the league did business with her pervious lawfirm.
                The Bloombert report details the union’s connections to a number of Hunter’s relatives. It also notes he made a $2.39 million salary in 2011.
                NBPA executive committee member Mo Evans told Bloomberg that nepotism has been discussed by the committee.
                Evans told reporters on April 20 that Fisher declined an invitation from the executive committee to defend himself on a conference call with Hunter. Nepotism at the union was among the topics discussed on the call, Evans said.
                “Billy answered those questions to our satisfaction, was very open and candid with us, and we were satisfied, and again, the players were disappointed because Derek has yet to address us,” he said.
                The executive committee released a statement asking for Fisher to step down and that he is not acting in the best interest of the players. This is getting ugly, and it’s going to get worse before it gets better. And the thing is — and the reason it goes on — is that most of the players could not care less.

                Comment


                • #9
                  Re: NBPA trying to oust Derek Fisher

                  It should come to no surprise that Billy Hunter directs the union to do business with people he knows (his family) as that is how the world works, for the most part. What he has done may be legal but is it in the best interest of the union? I don't know about that.

                  Pat Garrity raised some questions about Billy Hunter in 2009 but was shot down.

                  http://sports.yahoo.com/news/nba--nb...es-to-son.html

                  NBPA executive director Billy Hunter sought union investment for bank with ties to son
                  By Adrian Wojnarowski and Rand Getlin | Yahoo! Sports – 5 hours ago

                  On the weekend of the 2009 All-Star game in Phoenix, Pat Garrity, the treasurer of the National Basketball Players Association, walked into a conference room inside the Sheraton Phoenix determined to make one final stand in his decade of service to the union. Garrity had warned peers and NBPA executive director Billy Hunter prior to the '09 executive committee meeting that he planned to challenge Hunter on business practices, and several players purposely steered clear of the confrontational scene.
                  In the aftermath of the U.S. banking crisis in 2008, Garrity had grown increasingly suspicious of an investment bank project that Hunter had been pitching to the executive committee and player representatives. For Garrity and some peers in the NBPA, the investment made no sense.
                  Hunter had sought a $7 million to $9 million investment from the union into Interstate Net Bank of Cherry Hill, N.J., a financial institution that federal and state banking regulators had slapped with debilitating "cease-and-desist" orders, sources said.
                  Garrity discovered information online that left him feeling obligated to confront Billy Hunter: Hunter's son, Todd, had a seat on the board of directors of Interstate Net Bank.

                  Todd Hunter is also a vice president for Prim Capital, which has a consulting contract with the NBPA that has paid the company in excess of $2.5 million since 2006, according to U.S. Department of Labor filings.
                  "Why didn't you disclose any of this?" Garrity asked Hunter several times at the 2009 meeting, witnesses told Yahoo! Sports.
                  When reached by phone, Garrity confirmed the description of events that sources provided Yahoo! Sports. He declined to further comment. Hunter declined comment for this story through a union spokesman.
                  At the meeting, Hunter left the talking to longtime ally and NBPA chief counsel, Gary Hall, and Hall wasn't offering answers. Garrity and Hall screamed back and forth, and Garrity's questions weren't addressed, witnesses said.
                  Finally, witnesses said, Hall – who died on May 11, 2011 – told Garrity that he was a retired player, no longer welcome on the executive committee, and that security would be called to remove him unless he left on his own. With executive committee members Keyon Dooling and Adonal Foyle appearing uncomfortable – and NBPA president Derek Fisher refusing to use his authority to demand Garrity be allowed to speak over Hall's yelling – Garrity left the room, left the NBPA and never returned again. Fisher declined comment.
                  The potential conflicts were far deeper and connective than Garrity realized at the time, a Yahoo! Sports investigation has discovered. Prim Capital controlled 200,000 shares of ISN Bank stock, according to a 2010 ISN Bank letter to stockholders. In addition to Todd Hunter, another Prim employee, executive Carolyn Kaufman, joined the bank's board of directors of ISN in 2004 and was paid $97,000 and $90,000 in consecutive years, according to a KPMG audit of ISN Bank in January 2008 that Yahoo! Sports obtained. She owned 250 shares of the stock, according to the March 2010 ISN letter to stockholders. The audits had been available online.
                  "Ms. Kaufman was appointed to the board at the request of Prim Capital, which owns 200,000 shares. The combined 200,250 shares represent 4.9 percent of the outstanding shares," the 2010 letter from ISN senior vice president and CFO William Easterday said.
                  Todd Hunter joined the bank's board of directors in 2007, the 2008 audit report says. Records show the bank's deterioration dropped stipends for board members to $12,000 per year in 2007. Todd Hunter did not return multiple messages seeking comment. Kaufman also didn't return a message.
                  The NBPA retained Howrey LLP, a New York law firm, to work as legal counsel on "banking projects," sources told Yahoo! Sports. During most of this engagement, Howrey employed Alexis Hunter, Billy Hunter's daughter.
                  Howrey received its first payment of $60,035 from the NBPA in September 2007 – the same month it hired Alexis Hunter as a special counsel. She stayed employed at Howrey until March 2011, days before the firm was forced into Chapter 7 bankruptcy by its creditors.
                  During Alexis Hunter's employment with the firm, the NBPA paid Howrey $316,550, according to U.S. Department of Labor filings.
                  After Howrey shut down in March, Alexis Hunter was hired as special counsel at the New York-based law firm of Steptoe & Johnson in April 2011 – within the same period the NBPA hired Steptoe & Johnson to take on a bulk of its legal work for the pending NBA lockout. Alexis Hunter appeared in the Southern District Court of New York in September and October on behalf of the NBPA requesting the court dismiss an antitrust claim by the NBA. Alexis Hunter didn't return a voicemail seeking comment.
                  "We made multi-hour presentations to the union before they eventually selected us to assist them in that case," Steptoe & Johnson labor attorney Lawrence Katz told Yahoo! Sports.
                  Asked when those meetings occurred, Katz said, "Oh, late spring … March or April of 2011."
                  When asked if Alexis Hunter's relationship with her father, Billy Hunter, had anything to do with her hiring or Steptoe securing the NBPA's business, Katz declined comment.
                  Asked whether the union's engagement of the firm that employed Hunter's daughter might represent a conflict of interest, Katz said: "I don’t see how. … I think the question is answered by saying the lawyers the union hired were very well-qualified to practice in this area. Between myself and Steve Wheeless [we've been practicing in this area] for over 60 years.
                  "So it's not as if we got the business as a gift."
                  Steptoe & Johnson has billed the NBPA more than $1 million for its work since April 2011, sources close to the firm told Yahoo! Sports.
                  Steptoe & Johnson and Hunter pushed forward on a legal strategy that called for filing unfair labor practice charges with the National Labor Relations Board against the NBA in August. At the time, this was an unpopular choice with many prominent player agents, who wanted to decertify the union and file an antitrust suit in federal court against the NBA. Steptoe's attorneys and Hunter insisted to players the NLRB would hear the players' case in relatively fast order, but it never happened.
                  In December, the union finally dropped unfair labor practice charges and abandoned the case in preparation for disbanding the Players Association to reach a lockout settlement with the NBA.
                  Two more of Billy Hunter's family members – daughter Robyn Hunter and daughter-in-law Megan Ibana – have senior staff positions in the NBPA's New York office. Robyn Hunter made $86,198 from July 1, 2010, to June 30, 2011, as director of benefits and concierge services, according to Department of Labor filings.

                  Inaba, the wife of Todd Hunter, was paid $180,444 from July 1, 2010, to June 30, 2011. Among her responsibilities are coordinating the union's All-Star weekend gala and summer meetings, as well as running the union's Twitter account and handling other social media responsibilities. In her position as director of special events, Inaba has averaged the sixth-highest salary in the NBPA over the past five years: $148,633 per year, according to the filings.
                  The NBPA's charter does not contain a nepotism policy, sources said. "There's nothing illegal," Billy Hunter told The New York Times on Monday, "and you're not going to find anything illegal, you or anybody else, if that's what you're looking for. I'm not afraid of that."
                  As NBA players lost $400 million in salary during last summer's lockout – and $3 billion over the course of the new 10-year collective bargaining agreement – Billy Hunter, his family and the entities that employed them made approximately $3,430,953 from July 1, 2010, to June 30, 2011, according to labor filings.
                  "The real issue here is whether these potential conflicts were disclosed and the failure of someone who has a fiduciary duty [to union members] to make that disclosure presents a compelling question," Ronald Shechtman, managing partner and chair of Pryor Cashman's Labor and Employment Group, told Yahoo! Sports. "Not only is there a duty to disclose, there is a duty to explain the rationale for routing the business that way so that the fiduciaries [players] can make a judgment that the decision is based on good reason or good cause other than the fact that someone is a relation."
                  These were central themes to Garrity's objections in February 2009 in Phoenix: Due process for hiring, and the appearance of Hunter's family ties impacting union business and finances. Garrity wanted answers about Hunter's motivation for investing into a small New Jersey bank that the Philadelphia Business Journal reported, "was a toxic mix of brokered deposits, construction and land development loans and questionable management."
                  Beyond the banking issue, Garrity raised questions about the process that led to the hiring of Hunter's daughter, Robyn, into a newly created staff position of director of benefits and concierge services. What was the human resources process? Was the job posted? Who else was interviewed?
                  League sources told Yahoo! Sports that the NBPA's health care provider, Cigna, had offered a premium service that would've afforded the Players Association access to a telephone concierge service to answer and assist players on benefits issues. Because the NBA was such an elite account for Cigna, the service would've come free of charge. Billy Hunter rejected the idea, sources said, and within months hired his daughter in a role with some duties similar to the ones that had been offered to the Players Association.
                  The pursuit of the $7 million to $9 million bank investment didn't end in the February 2009 meeting when Garrity raised questions with Derek Fisher, union lawyers and several members of the executive committee in the room. Despite ISN Bank officials sending dire shareholder letters over these same months, Hunter stayed on course seeking an investment from the NBPA. Four months after Garrity confronted Hunter, the push for investment into the failing ISN Bank was still alive at an NBPA meeting in Las Vegas in late June 2009, sources said.
                  The pursuit of ISN Bank eventually ended as ISN spiraled beyond revival in early 2010, sources said. The New Jersey Department of Banking and Insurance closed the bank in September 2010. The FDIC bailout of Interstate Net Bank cost taxpayers $23.9 million.
                  At least one banking executive who was familiar with ISN was concerned about the solvency and stability of the bank. Gerry Banmiller, CEO of First Colonial Bank in Collingswood, N.J., told the Philadelphia Business Journal that he received "more than one phone call" in 2008 asking whether his bank would be interested in purchasing ISN.
                  "But published information about the bank led me to believe that we couldn't have resurrected it," Banmiller told the Journal. "It was in the tomb to stay."
                  The network of Hunter family members in positions of potential conflict and influence with NBPA business has been a crux of Fisher's push for a review of the NBPA's business and financial practices, sources said. Washington Wizards guard Mo Evans, a member of the union's executive committee, told reporters in Washington the committee has addressed potential nepotism issues with Billy Hunter after Fisher's inquiries, and that Hunter addressed any concerns "to our satisfaction."
                  Hunter and the eight-man executive committee have pushed back on Fisher's desire for the audit, and the executive committee recently voted to ask Fisher for his resignation as union president.
                  "The allegations that are now being directed at me are defamatory," Fisher said in a statement on Friday. "But I urge our members to order an independent review beginning immediately and that will be proven along with finding out definitively if there are any issues with the NBPA's business practices and finances."
                  Before Fisher recently confronted Hunter and demanded a review of the union's business and financial practices, Garrity had been the last player in a position of power to truly challenge the union's executive director. As Garrity was shouted down, Fisher and his peers did nothing to back him that day, sources said. Fisher kept saying it wasn't the time or place for such a discussion, witnesses said. When Fisher wouldn't back him, witnesses said, Garrity seemed to understand it was pointless to keep pressing Hunter and Hall.
                  After Garrity left the 2009 meeting, sources said Hunter made a request: He told the executive committee he was owed several years of missed vacation, and that Hunter deserved $1 million in compensation. Eventually, the committee granted it.
                  Garrity and members of the executive committee had been aware of Todd Hunter's role with Prim Capital, an outside contractor to the NBPA. Todd Hunter had worked for Prim Capital of Independence, Ohio, since September 2002, when he was hired as a vice president for the financial planning and investment strategy company. Prim Capital had pitched Billy Hunter and NBPA leadership at the union's summer meeting in 2002 and entered into a signed agreement to run the union's financial awareness program for its 450 players in early 2003.
                  Todd Hunter often runs seminars with each of the 30 NBA teams each season, and an NBA official present at the seminars offers a disclaimer on the league's behalf prior to Prim's presentation. "The disclaimer is specific to Prim as they are contracted by the union as opposed to other presenters who are contracted by both of us [the union and the league]," NBA spokesman Tim Frank told Yahoo! Sports.
                  Prim Capital's chairman and president, Joe Lombardo, worked with Billy Hunter and the NBPA in two previous employments at Merrill Lynch and Prudential, and started Prim Capital in 1997. For most of the 2002-03 NBA season, Prim Capital entered into an agreement with the Players Association to provide a "comprehensive investment portfolio analysis program." Lombardo didn't return a message.
                  Yahoo! Sports obtained the NBPA's 2002-2003 consulting agreement with Prim, which was an exhibit to a complaint in a lawsuit between CSI Capital Management and Prim. The agreement reads, "The NBPA believes that its members will benefit if they have an opportunity to engage in an objective company like Prim."
                  At the beginning of Prim's agreement with the NBPA in 2003, Prim performed financial reviews for players that included the chance to cut themselves into the monies purported to be recovered on the players' behalf. The agreement allowed Prim to share in 50 percent of the savings obtained through restructuring fees through existing money managers. If Prim lowered a player's fees, Prim shared in the savings.
                  CSI Capital Management of San Francisco disagreed with the idea the union was helping to provide independent audits. CSI sued Prim for unfair business practices, slander and that Prim's ostensibly "free and objective" audits were actually being provided in an attempt to encourage players to secure Prim's services. Prim filed a countersuit against CSI and eventually a settlement was reached.
                  Philip Scott Ryan, an attorney for CSI, wrote in a letter to Billy Hunter that "allowing Prim to do audits for your union members is equivalent to having an agent auditing other agent's work. The absence of objectivity and the pressure of unending conflicts of interest are obvious."
                  The NBPA and Prim changed the structure of agreements after the CSI lawsuit, and the union began to pay Prim a flat annual fee for the services, sources said. Prim has been forbidden to take the players as clients. Over the past five years, government filings show the NBPA paid Prim an average of $501,986 a year for its services.
                  I don't think that Derek Fisher is innocent by any means but I don't think Billy Hunter is either. If he has nothing to hide then why be opposed to an audit as suggested by Derek Fisher.

                  In a way I feel bad for the players association as a whole because who are they suppose to trust? They put a lot of trust in the hands of Billy Hunter, Derek Fisher, and the executive committee which seems to have been misplaced.

                  Comment


                  • #10
                    Re: NBPA trying to oust Derek Fisher

                    Man, when I was critical about Fisher after he didn't report to Houston many just gave Fisher the benefit of the doubt. Guess the guy couldn't hide his true colors much longer.

                    Comment


                    • #11
                      Re: NBPA trying to oust Derek Fisher

                      I'd say that Fisher is on solid ground requesting a true independent audit of Hunters practices, it's in the best interest of the union members.
                      What Hunter has done may not be illegal but that doesn't make it ethical.
                      It looks like there's bad blood between Fisher and Hunter. Fisher calls Hunter out, and Hunter goes after his head to cover his butt.
                      Why do teams tank? Ask a Spurs fan.

                      Comment


                      • #12
                        Re: NBPA trying to oust Derek Fisher

                        http://sports.yahoo.com/news/nba--nb...es-to-son.html

                        On the weekend of the 2009 All-Star game in Phoenix, Pat Garrity, the treasurer of the National Basketball Players Association, walked into a conference room inside the Sheraton Phoenix determined to make one final stand in his decade of service to the union. Garrity had warned peers and NBPA executive director Billy Hunter prior to the '09 executive committee meeting that he planned to challenge Hunter on business practices, and several players purposely steered clear of the confrontational scene.
                        In the aftermath of the U.S. banking crisis in 2008, Garrity had grown increasingly suspicious of an investment bank project that Hunter had been pitching to the executive committee and player representatives. For Garrity and some peers in the NBPA, the investment made no sense.
                        Hunter had sought a $7 million to $9 million investment from the union into Interstate Net Bank of Cherry Hill, N.J., a financial institution that federal and state banking regulators had slapped with debilitating "cease-and-desist" orders, sources said.
                        Garrity discovered information online that left him feeling obligated to confront Billy Hunter: Hunter's son, Todd, had a seat on the board of directors of Interstate Net Bank.
                        [Y! exclusive: How NBPA director Billy Hunter distributed funds to family members]
                        Todd Hunter is also a vice president for Prim Capital, which has a consulting contract with the NBPA that has paid the company in excess of $2.5 million since 2006, according to U.S. Department of Labor filings.
                        "Why didn't you disclose any of this?" Garrity asked Hunter several times at the 2009 meeting, witnesses told Yahoo! Sports.
                        When reached by phone, Garrity confirmed the description of events that sources provided Yahoo! Sports. He declined to further comment. Hunter declined comment for this story through a union spokesman.
                        At the meeting, Hunter left the talking to longtime ally and NBPA chief counsel, Gary Hall, and Hall wasn't offering answers. Garrity and Hall screamed back and forth, and Garrity's questions weren't addressed, witnesses said.
                        Finally, witnesses said, Hall – who died on May 11, 2011 – told Garrity that he was a retired player, no longer welcome on the executive committee, and that security would be called to remove him unless he left on his own. With executive committee members Keyon Dooling and Adonal Foyle appearing uncomfortable – and NBPA president Derek Fisher refusing to use his authority to demand Garrity be allowed to speak over Hall's yelling – Garrity left the room, left the NBPA and never returned again. Fisher declined comment.
                        The potential conflicts were far deeper and connective than Garrity realized at the time, a Yahoo! Sports investigation has discovered. Prim Capital controlled 200,000 shares of ISN Bank stock, according to a 2010 ISN Bank letter to stockholders. In addition to Todd Hunter, another Prim employee, executive Carolyn Kaufman, joined the bank's board of directors of ISN in 2004 and was paid $97,000 and $90,000 in consecutive years, according to a KPMG audit of ISN Bank in January 2008 that Yahoo! Sports obtained. She owned 250 shares of the stock, according to the March 2010 ISN letter to stockholders. The audits had been available online.
                        "Ms. Kaufman was appointed to the board at the request of Prim Capital, which owns 200,000 shares. The combined 200,250 shares represent 4.9 percent of the outstanding shares," the 2010 letter from ISN senior vice president and CFO William Easterday said.
                        Todd Hunter joined the bank's board of directors in 2007, the 2008 audit report says. Records show the bank's deterioration dropped stipends for board members to $12,000 per year in 2007. Todd Hunter did not return multiple messages seeking comment. Kaufman also didn't return a message.
                        The NBPA retained Howrey LLP, a New York law firm, to work as legal counsel on "banking projects," sources told Yahoo! Sports. During most of this engagement, Howrey employed Alexis Hunter, Billy Hunter's daughter.
                        Howrey received its first payment of $60,035 from the NBPA in September 2007 – the same month it hired Alexis Hunter as an associate. She stayed employed at Howrey until March 2011, days before the firm was forced into Chapter 7 bankruptcy by its creditors.
                        During Alexis Hunter's employment with the firm, the NBPA paid Howrey $316,550, according to U.S. Department of Labor filings.
                        After Howrey shut down in March, Alexis Hunter was hired as special counsel at the New York-based law firm of Steptoe & Johnson in April 2011 – within the same period the NBPA hired Steptoe & Johnson to take on a bulk of its legal work for the pending NBA lockout. Alexis Hunter appeared in the Southern District Court of New York in September and October on behalf of the NBPA requesting the court dismiss an antitrust claim by the NBA. Alexis Hunter didn't return a voicemail seeking comment.
                        "We made multi-hour presentations to the union before they eventually selected us to assist them in that case," Steptoe & Johnson labor attorney Lawrence Katz told Yahoo! Sports.
                        Asked when those meetings occurred, Katz said, "Oh, late spring … March or April of 2011."
                        When asked if Alexis Hunter's relationship with her father, Billy Hunter, had anything to do with her hiring or Steptoe securing the NBPA's business, Katz declined comment.
                        Asked whether the union's engagement of the firm that employed Hunter's daughter might represent a conflict of interest, Katz said: "I don’t see how. … I think the question is answered by saying the lawyers the union hired were very well-qualified to practice in this area. Between myself and Steve Wheeless [we've been practicing in this area] for over 60 years.
                        "So it's not as if we got the business as a gift."
                        Steptoe & Johnson has billed the NBPA more than $1 million for its work since April 2011, sources close to the firm told Yahoo! Sports.
                        Steptoe & Johnson and Hunter pushed forward on a legal strategy that called for filing unfair labor practice charges with the National Labor Relations Board against the NBA in August. At the time, this was an unpopular choice with many prominent player agents, who wanted to decertify the union and file an antitrust suit in federal court against the NBA. Steptoe's attorneys and Hunter insisted to players the NLRB would hear the players' case in relatively fast order, but it never happened.
                        In December, the union finally dropped unfair labor practice charges and abandoned the case in preparation for disbanding the Players Association to reach a lockout settlement with the NBA.
                        Two more of Billy Hunter's family members – daughter Robyn Hunter and daughter-in-law Megan Inaba – have senior staff positions in the NBPA's New York office. Robyn Hunter made $86,198 from July 1, 2010, to June 30, 2011, as director of benefits and concierge services, according to Department of Labor filings.
                        [Related: NBPA compensation by the numbers]
                        Inaba, the wife of Todd Hunter, was paid $180,444 from July 1, 2010, to June 30, 2011. Among her responsibilities are coordinating the union's All-Star weekend gala and summer meetings, as well as running the union's Twitter account and handling other social media responsibilities. In her position as director of special events, Inaba has averaged the sixth-highest salary in the NBPA over the past five years: $148,633 per year, according to the filings.
                        The NBPA's charter does not contain a nepotism policy, sources said. "There's nothing illegal," Billy Hunter told The New York Times on Monday, "and you're not going to find anything illegal, you or anybody else, if that's what you're looking for. I'm not afraid of that."
                        As NBA players lost $400 million in salary during last summer's lockout – and $3 billion over the course of the new 10-year collective bargaining agreement – Billy Hunter, his family and the entities that employed them made approximately $3,430,953 from July 1, 2010, to June 30, 2011, according to labor filings.
                        "The real issue here is whether these potential conflicts were disclosed and the failure of someone who has a fiduciary duty [to union members] to make that disclosure presents a compelling question," Ronald Shechtman, managing partner and chair of Pryor Cashman's Labor and Employment Group, told Yahoo! Sports. "Not only is there a duty to disclose, there is a duty to explain the rationale for routing the business that way so that the fiduciaries [players] can make a judgment that the decision is based on good reason or good cause other than the fact that someone is a relation."
                        These were central themes to Garrity's objections in February 2009 in Phoenix: Due process for hiring, and the appearance of Hunter's family ties impacting union business and finances. Garrity wanted answers about Hunter's motivation for investing into a small New Jersey bank that the Philadelphia Business Journal reported, "was a toxic mix of brokered deposits, construction and land development loans and questionable management."
                        Beyond the banking issue, Garrity raised questions about the process that led to the hiring of Hunter's daughter, Robyn, into a newly created staff position of director of benefits and concierge services. What was the human resources process? Was the job posted? Who else was interviewed?
                        League sources told Yahoo! Sports that the NBPA's health care provider, Cigna, had offered a premium service that would've afforded the Players Association access to a telephone concierge service to answer and assist players on benefits issues. Because the NBA was such an elite account for Cigna, the service would've come free of charge. Billy Hunter rejected the idea, sources said, and within months hired his daughter in a role with some duties similar to the ones that had been offered to the Players Association.
                        The pursuit of the $7 million to $9 million bank investment didn't end in the February 2009 meeting when Garrity raised questions with Derek Fisher, union lawyers and several members of the executive committee in the room. Despite ISN Bank officials sending dire shareholder letters over these same months, Hunter stayed on course seeking an investment from the NBPA. Four months after Garrity confronted Hunter, the push for investment into the failing ISN Bank was still alive at an NBPA meeting in Las Vegas in late June 2009, sources said.
                        The pursuit of ISN Bank eventually ended as ISN spiraled beyond revival in early 2010, sources said. The New Jersey Department of Banking and Insurance closed the bank in September 2010. The FDIC bailout of Interstate Net Bank cost taxpayers $23.9 million.
                        At least one banking executive who was familiar with ISN was concerned about the solvency and stability of the bank. Gerry Banmiller, CEO of First Colonial Bank in Collingswood, N.J., told the Philadelphia Business Journal that he received "more than one phone call" in 2008 asking whether his bank would be interested in purchasing ISN.
                        "But published information about the bank led me to believe that we couldn't have resurrected it," Banmiller told the Journal. "It was in the tomb to stay."
                        The network of Hunter family members in positions of potential conflict and influence with NBPA business has been a crux of Fisher's push for a review of the NBPA's business and financial practices, sources said. Washington Wizards guard Mo Evans, a member of the union's executive committee, told reporters in Washington the committee has addressed potential nepotism issues with Billy Hunter after Fisher's inquiries, and that Hunter addressed any concerns "to our satisfaction."
                        Hunter and the eight-man executive committee have pushed back on Fisher's desire for the audit, and the executive committee recently voted to ask Fisher for his resignation as union president.
                        "The allegations that are now being directed at me are defamatory," Fisher said in a statement on Friday. "But I urge our members to order an independent review beginning immediately and that will be proven along with finding out definitively if there are any issues with the NBPA's business practices and finances."
                        Before Fisher recently confronted Hunter and demanded a review of the union's business and financial practices, Garrity had been the last player in a position of power to truly challenge the union's executive director. As Garrity was shouted down, Fisher and his peers did nothing to back him that day, sources said. Fisher kept saying it wasn't the time or place for such a discussion, witnesses said. When Fisher wouldn't back him, witnesses said, Garrity seemed to understand it was pointless to keep pressing Hunter and Hall.
                        After Garrity left the 2009 meeting, sources said Hunter made a request: He told the executive committee he was owed several years of missed vacation, and that Hunter deserved $1 million in compensation. Eventually, the committee granted it.
                        Garrity and members of the executive committee had been aware of Todd Hunter's role with Prim Capital, an outside contractor to the NBPA. Todd Hunter had worked for Prim Capital of Independence, Ohio, since September 2002, when he was hired as a vice president for the financial planning and investment strategy company. Prim Capital had pitched Billy Hunter and NBPA leadership at the union's summer meeting in 2002 and entered into a signed agreement to run the union's financial awareness program for its 450 players in early 2003.
                        Todd Hunter often runs seminars with each of the 30 NBA teams each season, and an NBA official present at the seminars offers a disclaimer on the league's behalf prior to Prim's presentation. "The disclaimer is specific to Prim as they are contracted by the union as opposed to other presenters who are contracted by both of us [the union and the league]," NBA spokesman Tim Frank told Yahoo! Sports.
                        Prim Capital's chairman and president, Joe Lombardo, worked with Billy Hunter and the NBPA in two previous employments at Merrill Lynch and Prudential, and started Prim Capital in 1997. For most of the 2002-03 NBA season, Prim Capital entered into an agreement with the Players Association to provide a "comprehensive investment portfolio analysis program." Lombardo didn't return a message.
                        Yahoo! Sports obtained the NBPA's 2002-2003 consulting agreement with Prim, which was an exhibit to a complaint in a lawsuit between CSI Capital Management and Prim. The agreement reads, "The NBPA believes that its members will benefit if they have an opportunity to engage in an objective company like Prim."
                        At the beginning of Prim's agreement with the NBPA in 2003, Prim performed financial reviews for players that included the chance to cut themselves into the monies purported to be recovered on the players' behalf. The agreement allowed Prim to share in 50 percent of the savings obtained through restructuring fees through existing money managers. If Prim lowered a player's fees, Prim shared in the savings.
                        CSI Capital Management of San Francisco disagreed with the idea the union was helping to provide independent audits. CSI sued Prim for unfair business practices, slander and that Prim's ostensibly "free and objective" audits were actually being provided in an attempt to encourage players to secure Prim's services. Prim filed a countersuit against CSI and eventually a settlement was reached.
                        Philip Scott Ryan, an attorney for CSI, wrote in a letter to Billy Hunter that "allowing Prim to do audits for your union members is equivalent to having an agent auditing other agent's work. The absence of objectivity and the pressure of unending conflicts of interest are obvious."
                        The NBPA and Prim changed the structure of agreements after the CSI lawsuit, and the union began to pay Prim a flat annual fee for the services, sources said. Prim has been forbidden to take the players as clients. Over the past five years, government filings show the NBPA paid Prim an average of $501,986 a year for its services.
                        Why do teams tank? Ask a Spurs fan.

                        Comment


                        • #13
                          Re: NBPA trying to oust Derek Fisher

                          It's boring stuff to read but it does look like there's a pattern for anyone who challenges Hunter.
                          I wonder what each player must have to pay in union dues for that kind of salary to go around. What are there around 400 players and Hunters salary is 2.7 mil. with an extra million thrown in for missing vacations?
                          I don't even like Fisher but I don't think he's wrong on this one.
                          Why do teams tank? Ask a Spurs fan.

                          Comment


                          • #14
                            Re: NBPA trying to oust Derek Fisher

                            Fisher is both wrong and right. The time to uncover this crap was years ago, when Garrity was asking the questions. Not two years later after you and Hunter had a falling out.
                            Just because you're offended, doesn't mean you're right.” ― Ricky Gervais.

                            Comment


                            • #15
                              Re: NBPA trying to oust Derek Fisher

                              Originally posted by immortality View Post
                              He did force his way out Houston when he was traded to go to a better team.
                              He should not have been able to sign with another team for the rest of the season after refusing to go to Houston.
                              "Just look at the flowers ........ BANG" - Carol "The Walking Dead"

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