Criminal Investigation Underway for NFLPA

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Big news in the world of football! Yes, that’s right. The NFL Players Association (NFLPA) has found itself the center of a federal investigation led by the Department of Justice (DOJ) and the FBI. The probe is digging into some serious allegations like misuse of union funds and self-enrichment by top officials. According to reports from Don Van Natta Jr. and Kalyn Kahler of ESPN, things are looking pretty grim for the NFLPA.

As per a confidential memo, which ESPN got its hands on, this could well be the biggest crisis in the union’s long history of 68 years. This revelation arrives at a time when leadership changes are swirling, and legal issues continue to pile up.

The memo was crafted by a senior attorney within the union and has been shared with the NFLPA’s executive committee and player reps this week. And it’s not pretty—it signals that the organization needs to brace itself for potential financial actions that could smell a lot like criminal misconduct.

Among the concerns, there are highlighted possibilities of violations related to federal labor laws. The spotlight falls on failures from the recently resigned executive director, Lloyd Howell Jr. Just before his exit, reports emerged alleging that Howell had a conflict of interest due to connections with The Carlyle Group. Plus, he’s been accused of improperly spending union funds on personal outings, which included trips to strip clubs. Not a great look, right?

The turmoil thickens with another separate ongoing FBI inquiry into OneTeam Partners, a significant sport-licensing venture worth $2 billion that the NFLPA launched alongside the MLB Players Association. Howell and MLBPA leader Tony Clark sit on the board there. This has caught the federal government’s attention; if the NFLPA doesn’t show constructive actions, the DOJ might just escalate their investigation.

The memo cautions that the National Labor Relations Board (NLRB) might impose financial penalties for labor violations, targeting possible payments for any harm caused. Another troubling sign? There’s a concerning lack of oversight on the union’s vast discretionary funds—around $1.2 billion—without a regulated investment adviser in sight.

Things are shaking up at the top too! Both Howell and the director of strategy, J.C. Tretter, have resigned, presenting a leadership gap at the NFLPA. The memo lays out a ‘triage plan’ that’s pointed out five interim executive director options, including both internal officials and past NFLPA heads like Domonique Foxworth and Eric Winston. It’s important to note that these individuals are merely recommended and not officially chosen. Interestingly, former executive director DeMaurice Smith, who led the union from 2009 until 2023, has shown no interest in stepping back into a leadership role.

Adding to the intrigue, the memo disclosed that Lloyd Howell Jr. kept the executive committee and player representatives in the dark about a significant arbitration ruling from earlier this year (January 14). The arbitrator determined there wasn’t enough evidence to show that NFL owners had conspired to block guaranteed contracts, but they did push teams to limit those guarantees. Howell’s choice to withhold the arbitration outcomes might leave the union open to lawsuits from its own players.

What’s your take on this situation? The saga continues, and we’ll keep an eye on how it unfolds as the NFL gears up for the season ahead.

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