MLB At A Crossroads, Day 64: Pohlad Company Loaned Selig $3M

MLB Commissioner Bud Selig — while serving both as Brewers Owner and interim Commissioner in '95 — "put up the collateral for a $3 million loan" to the Brewers that came from Tempus Investment Corp., a company owned by the family of Twins Owner Carl Pohlad, according to Furst, Souhan & Brackin of the Minneapolis STAR TRIBUNE. Selig and Pohlad are "central figures" in MLB's plan to contract two teams before next season. MLB Exec VP/Administration & Chief Legal Counsel Robert DuPuy said that the loan was guaranteed by the Brewers shareholders, which at the time included Selig. According to documents filed with the WI Secretary of State, Selig used accounts and securities worth over $795,000 as collateral for the loan. The loan "was never disclosed to other team owners and was repaid two days before an owners' meeting in September 1995." DuPuy added that he was "confident that the owners would have approved the loan." DuPuy: "There was no need to (disclose the loan to owners). It was paid." DuPuy contacted the Star Tribune late yesterday to disclose details of the loan, "several hours after Selig said he had no recollection of it." But Selig, when asked if there are any rules barring loans between owners, said, "It depends on the circumstances. I am fully aware of the rules." Pohlad "also said he could not recall that a loan was made." Asked if such a loan would be a conflict of interest, Pohlad said, "No. We are in the business of lending money. Why the hell would it be a conflict? Every loan stands on its feet." DuPuy said the loan came "right after the strike when teams had a lot of financial difficulty" (STAR TRIBUNE, 1/8). More DuPuy: "There's nothing improper about it at all. ... They'll say it was a conflict, but if they wanted to do it secretly, they wouldn't have done a public filing of the collateral. This is out in the open" (ST. PAUL PIONEER PRESS, 1/8).

WAITING ON THE DON: In St. Paul, Charley Walters reports Pohlad "still hasn't been approached" by AL business exec Donald Watkins about purchasing the Twins. Watkins is scheduled to meet Thursday in N.Y. with Selig and members of the MLB owners finance committee. Pohlad, on Watkins: "I can't figure out what the hell he's trying to do. All he has to do is bring a check" (ST. PAUL PIONEER PRESS, 1/8).

TAIL WAGS THE DOG: Expos P and union player rep Javier Vazquez said of MLB potentially operating the Expos in '02, "You're going to tell me that's not a conflict of interest? They're not going to want us to win. Why would you want to win with a team you're trying to get rid of? I expected this would be a strange winter, but not this weird" (Toronto GLOBE & MAIL, 1/8).

Print This Article