Posted on 01/25/2007 8:19:42 AM PST by bluebeak
Tale of the tapes?
By Jason Cole and Charles Robinson, Yahoo! Sports January 24, 2007 SAN DIEGO – A federal investigation into extortion claims by New Orleans Saints running back Reggie Bush and his family has revealed the existence of taped conversations that could confirm Bush took cash and gifts while he was playing football for the University of Southern California.
Lloyd Lake, an investor in a failed sports marketing agency which attempted to launch with Bush as its first client, is the subject of a grand jury probe into the extortion claims. The agency – called New Era Sports & Entertainment – was founded by Lake and San Diego businessman Michael Michaels. Lake told Yahoo! Sports in August 2006 that he contributed a portion of the cash and gifts allegedly given to Bush and his family as part of an agreement to represent the then-USC running back when he signed an NFL contract.
According to multiple sources in an ongoing Yahoo! Sports investigation, nearly $280,000 in cash, rent and gifts was allegedly given to Bush and his family. Lake and Michaels both said in August 2006 that they planned to file a lawsuit against Bush.
The U.S. District Attorney's office in San Diego has issued grand jury subpoenas to multiple witnesses in the probe since October, requiring them to appear before federal investigators. According to a copy of a subpoena obtained by Yahoo! Sports, at least one of the witnesses was asked to produce "any recordings in your possession of conversations between Lloyd Lake and Reggie Bush, Denise Griffin, or LaMar Griffin." Denise Griffin is Bush's mother. LaMar Griffin is Bush's stepfather.
If such taped conversations involving Bush become public, Bush and USC could face penalties from the NCAA and Pacific-10 Conference, which are conducting ongoing investigations into reports of extra benefits.
If the NCAA rules that Bush received extra benefits during his playing career at USC, he could be ruled retroactively ineligible. Since some of the benefits date to the 2004 season, the Trojans' national championship that season could be rescinded. USC could face further NCAA sanctions and Bush's 2005 Heisman Trophy could be in jeopardy. The Heisman ballot indicates that an athlete must meet NCAA eligibility requirements to be considered for college football's most prestigious award.
"I respectfully decline to comment on the media frenzy regarding Reggie Bush, his family and his college career," David Cornwell, Bush's attorney, said Wednesday.
The NCAA declined to comment on its investigation, except to ask that anyone with information regarding the allegations against Bush and his family come forward. The NCAA has interviewed numerous sources in the matter, including USC coaches and officials and business associates directly and indirectly involved with Bush.
Yahoo! Sports has learned that LaMar Griffin spoke with federal investigators in the spring of 2006 and acknowledged the existence of the tapes. In an appearance before a grand jury on Jan. 12, 2007, Lake's mother – Barbara Gunner – testified that she had heard portions of tapes made by her son, in which LaMar Griffin states that Bush intended to repay New Era Sports financiers "their money," as well as for a car that was purchased for the former USC running back.
Multiple sources told Yahoo! Sports that Lake made the tapes in late 2005 to protect his financial investment if Bush backed out of their alleged agreement. New Era's goal of landing Bush as a client officially failed when Bush signed to be represented by agent Joel Segal and marketing agent Mike Ornstein in January of 2006.
Lake and Michaels told Yahoo! Sports in April 2006 that Bush and his family agreed to be partners in New Era Sports in 2004, then backed out of the venture after accepting the finances Lake and Michaels provided as part of the deal. The bulk of the benefits Lake and Michaels claim they gave to Bush and his family – including direct cash payments, rent-free living in a new home, paying off credit card debt and money for a car for Bush – were allegedly provided over a one-year period starting in late 2004.
In April 2006, Yahoo! Sports first revealed allegations that Bush and his family received extra benefits, including $54,000 in rent-free living at Michaels' $757,500 home in Spring Valley, Calif., according to Michaels and San Diego attorney Brian Watkins.
Yahoo! Sports also reported the Bush family received $28,000 from New Era financiers to settle pre-existing debt, according to Michaels and Watkins. Yahoo! Sports also reported that Bush received approximately $18,000 to purchase and upgrade a car while he was still a student at USC.
On Sept. 14, 2006, Yahoo! Sports published findings of an ongoing investigation that revealed that Bush and his family appeared to have accepted benefits worth more than $100,000 from two groups of marketing agents. The report came after Yahoo! Sports reviewed multiple travel records, documents and receipts. In addition to Lake and Michaels, extra benefits appear to have been supplied by Ornstein, Bush's current marketing agent.
NCAA by-law 12.3.1.2 states that an athlete shall be deemed ineligible if he or she accepts benefits from agents or marketing representatives. The rule further states that student-athletes, their family or friends cannot receive benefits or loans from agents. Additionally, NCAA by-law 12.1.2.1.6 states that athletes cannot receive preferential treatment, benefits or services because of the individual's athletics reputation or skill or pay-back potential as a professional athlete, unless such treatment, benefits or services are specifically permitted under NCAA legislation.
Cornwell responded to the initial reports in April by claiming that Bush and his family were victims of an extortion plot. Cornwell eventually spoke with federal authorities about the matter, claiming that Lake and Michaels tried to coerce Bush into paying the money. Griffin then told a federal investigator that Lake threatened to make the tapes public if the money was not repaid.
Gunner and Lake's former girlfriend, Maiesha Jones, have both testified before the grand jury. Lake's sister, Lisa Lake, voluntarily spoke with federal investigators. Gunner explained to the grand jury that she provided at least $60,000 to her son to help finance the business. According to a source close to the case, Jones told the grand jury about the business relationship between Lloyd Lake, Michaels and Bush.
The extortion probe has produced no formal charges. Lloyd Lake was recently released from a one-year prison term for a parole violation in conjunction with a previous drug-related conviction. If brought up on extortion charges, he could face a maximum two-year sentence. He also faces a domestic violence charge in California from an incident with Jones.
Bush just completed his rookie NFL season, helping the Saints reach the NFC championship game for the first time in team history. Bush had 565 yards rushing on 155 carries this season and had 88 receptions for 742 yards after being the No. 2 overall pick in the 2006 draft. He scored nine touchdowns in the regular season.
Bush has said that he and his family did nothing wrong in regard to the allegations of receiving extra benefits. Bush has not talked to federal investigators in the extortion probe. He also has not cooperated with the investigation by the NCAA, which does not have subpoena power.
According to a report first published by Foxsports.com, Bush requested a sideline pass from his alma mater for the 2007 Rose Bowl but USC declined, stating that it had already distributed its allotment of VIP passes.
USC coach Pete Carroll was questioned about Bush's absence from the Rose Bowl on a Los Angeles radio program on Jan. 2, the morning after the game. Radio host and Los Angeles Times columnist T.J. Simers asked Carroll: "You saw the reports that Reggie was told not to come to the Rose Bowl, to stay away from USC. Do you buy that? Do you have anything to do with that?"
Responded Carroll: "No. I know that through this investigation, because he's not cooperating the way they'd like it, there's some issues about that. Reggie gets to do whatever he wants to do. He's not part of us anymore and we can't control any of that. But there's some, I think some opinions from the NCAA that they're mad at Reggie. And, you know, they would not like him to be associated with us. But I don't know what's going on with all that. But there is some stuff.
"I did call Reggie and he didn't hear from anybody about any of that kind of stuff. We're just going to keep working along the best we can and try to keep our head above water and do the right thing and stay out of that stuff. But that stuff, it is kind of nasty. You just don't know where it's coming from and people are out to get you. It can get kind of hard."
--------------------------------------------------------------------------------
Charles Robinson and Jason Cole are national NFL writers for Yahoo! Sports. Send Charles or Jason a question or comment for potential use in a future column or webcast.
"The problem is that if something like this would cost Alabama 20 scholarships and a threat of the death penalty."
Since this is $30 grand over what Alabama got busted for they should get whollped. But they won't. You are right about the subjective and, well, arbitrary punishments.
This is how it will play out..
NCAA: "Trojans, this looks bad"
USC: "We didn't know - we can't watch the kids 24 hours a day"
NCAA: "Oh ok, makes sense - case closed.
I have to agree with you, the NCAA rules are absurd and frankly I hope they do remove USCs championship so they can start listing asterisks in their record books. And why start with Bush at USC? We know OSU players took money (Clarrett) on a recent championship of theirs; same for Florida and FSU.
My question is what Federal Law did Bush break (assume he took money hand over foot) that is so important that the U.S. Attorney General has to waste resources on this investigation? Can not the NCAA keep their own house clean? The NCAA by-laws are not Federal Laws, are they?
Why are the Feds wasting our tax dollars investigating something we have yet to determine is an actual crime?
Bush may have to give back his Hiesman if he is declared ineligible.
USC could end up an 0-13 National Champion in 2004 and 0-13 last year. So, if this happens, does USC have thier championship taken away? Does it make Oklahoma BCS Champion? Does it make Auburn AP champion?
Beside the NCAA santions that could happen to USC (Yeah right like they will ever put the SACRED TROJANS on probabtion) -- this opens up all kinds of cans of worms.
SO - the NCAA violations are not causing a Federal Investigation. The Federal Investigation is finding evidence that points to NCAA violations.
TY for the reply. So the probe is continuing because the Feds believe extortion may have occurred.
I'll assume this will eventually find its way to the IRS and the matter of whether taxes got paid on money given to Bush and his family got properly reported as income wil become the ultimate issue for him.
If the sports agent secretly recording Bush, is that crime?
So next season, suppose a disgruntled wide receiver at say, LSU, is angry at the coach/program because he has been relegated to second string, or perhaps he is still first string but not a big enough part of the LSU offense. He sets up an arrangement with someone having an agenda against LSU, takes a $50,000 payment with a 'future services' commitment similar to Reggie Bush's alleged agreement. After the LSU bowl game, the player has someone leak the arrangement to the press. You gonna call for sanctions against LSU, and have them forfeit all their games as well? What would LSU have done to warrant probation and forfeitures?
programs like USC and "the" Ohio State seem to get passes (not just Clarett, a few others have been caught there).
Both schools have the best talent booster money can buy!
I think the congress is going to have to investigate "big" college football! :>)
Oh, man, I love it.
Mold and mildew everwhere and I was at the JW Marriott. The casino was packed with retirees on the slots. Absolutely packed.
amen brother....espn radio has already spent most of the day covering USC's ass.....the question here is why did bama get as heavily penalized as they did because of the shenanigans of boosters but poor coach carroll didn't realize anything was going on with bush....my ass!
Answer : IN A HEARTBEAT!!!!! The NCAA rules are clear : If a player does something that makes him INELIGIBLE, the University will forfiet every game in which that individual played while he was ineligible.
The Precedent is there. After Alabama won the National Championship in 1992, Antonio Langham met with a sports Agent and was given $500 "ernest money" for agreeing to sign with the agent when he entered the NFL Draft. Well Langham decided to play his senior year. Right before Alabama's bowl game the next season Coach Gene Stallings learned of Langham's meeting (Alabama had gone a YEAR without knowing Langham spoke with an agent). HE immediately notified the NCAA, and nCAA records now record Alabama as going 1-12 in 1993.
Then why were there no sanctions or forfeitures related to Maurice Clarett at Ohio State, or Rhett Bomar at Oklahoma, when they were found to have received illegal benefits while playing for those schools? The individuals took the hit, the programs didn't.
The point to my original post is to illustrate the precedent you set when hammering the university for the actions of those outside the control of the university. You open the door for considerable abuse, even to where you expose the schools to the shenanigans of those who might wish to undermine the program.
The precedent is set that the NCAA rules in an arbitrary fashion. At OSU Troy Smith won the Heisman, at Alabama it would have cost the team 20 scholarships and Maurice Clarrett would have gotten the program the death penalty.
As a USC fan, you have nothing to worry about. The NCAA has no agenda against you so the school will not be affected.
In 1997, Michigan's Charles Woodson won the Heisman Trophy and Michigan won the national title. It was shown several years later, in 2001, that prior to and during his Heisman year at Michigan, 1997, Woodson took money and other benefits from Summit Management, a sports agency. Auburn's All-American Victor Riley was also shown to have taken cash, and a third player, also from Auburn, running back Stephen Davis, admitted in an interview that he took cash from Summit while at Auburn.
NCAA spokeswoman at the time Jane Jankowski said that accepting such benefits while competing would violate NCAA rules, but that the NCAA typically does not investigate such cases after the player has left the school unless there is blatant evidence that university officials knew, or should have known, about the violations. "We don't see any evidence of that" Jankowski said. Jankowski also said the NCAA would have no power to revoke Woodson's Heisman Trophy.
So first of all, apparently Auburn is on the 'favored list' as well, because I don't recall seeing any Auburn games forfeited due to the actions of these two players. Secondly, if USC didn't have any involvement or knowledge of Bush's step-father's shenanigans, this is a pretty close parallel to the Woodson case. Michigan still has their wins and their title, Woodson still has his trophy.
Well with Alabama a much more minor incident happened (the Langhaman incident detailed above) and that ended up costing them about 20 scholarships and 10 games of forfeits. That was the first time that Alabama was ever on probatation.
But your larger point stands, historically the NCAA doesn't care about cases like this unless they have a bone to pick with the team involved. For whatever reason, the NCAA wanted to hammer Alabama and they seized on the first thing they could.
Right now, the NCAA has no problem with USC and they are probably the 2nd most profitable team right now behind ND so they won't be touched.
To be clear, I don't think that USC knew directly what has going on, but they also made it their business not to know. That is how all schools do it. I don't blame them a bit.
The problem is that it is like the 55 mph speed limit. It makes everyone a violator and the NCAA can pick and choose who to hammer.
Exactly.....
Doesn't it seem weird to you though, that the people who ultimately became Bush's agents and marketing agents didn't just tell him to settle with these knuckleheads and be done with it? That's the one thing that isn't adding up for me.
Regarding Alabama, I think the impression back then and previously was that the SEC and the older SWC had a lot of trouble with boosters 'greasing' the players, and 'boosters' are seen as affiliated with the school. The NCAA probably was looking for a way to hammer them, perhaps as much for prior stuff as the 1992 issue. Although, UCLA's basketball program during the John Wooden days was probably as bad as any of them, with that Sam Gilbert guy taking care of everything for those players all those years. But as you said, they weren't going to take down St. John.
What really pisses off all of us out here is that Bush soiled the program with this thing. One of the best parts of the Pete Carroll era is the way the players have behaved (for the most part) on and off the field, as compared to the 10-15 years before Carroll arrived. USC had that bad stretch with the attitudes, the shaky academic guys getting in and staying eligible suspiciously, the defensive lineman doing the big dance on the field after a sack....when they were down by 20 in the 4th quarter, all that crap. Carroll's guys just didn't do this stuff. They still had some problems, off the field fights a couple times, stuff like that. But when starting running back Chauncey Washington didn't keep up in class, he was ineligible for two consecutive years and they took away his scholarship. He got eligible and got it back. Most of the guys seem pretty well-spoken when interviewed, they say the right things, it has just been a better group and a better program. Then stupid Reggie (primarily stupid step-dad) goes and throws a mudball all over Heritage Hall. They couldn't just wait another 11 months until the kid got drafted to start making the money? Ridiculous. Reggie's mom has worked in the sheriff's department for years. You would think that the law would have some meaning, at least with her.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.