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April 25, 2002
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Will Chinese Gov't Hinder Yao's Decision To Play In NBA?

The city of Beijing "has yet to approve any move" to allow Chinese 7-foot-5 C Yao Ming to be eligible for the NBA Draft in June, according to Smith & Wise of the N.Y. TIMES, who write that the government "published strict new regulations today for Chinese athletes who want to play professionally abroad." Smith & Wise: "Chief among the new rules, clearly crafted with Yao in mind, is one requiring Chinese athletes abroad to turn over at least half their pretax earnings, including endorsement income, to Chinese government agencies for the length of their careers. That could cost Yao millions of dollars a year." Yao will "be a test case for China's decision to let its elite athletes play abroad while keeping them on a tether by which it can tap their earning power and recall them at will to play on national teams in international competitions." Shanghai Sharks Deputy GM Li Yaomin said that "because China's athletes are trained in a government-sponsored system, they are beholden to the state." However, Smith & Wise write that the "news of Yao's latest potential hurdle to play in the United States caught the league and the players union off guard." The news also reportedly "stunned Yao and his family." The regulations say that the China Basketball Association "will get 30 percent of any money he earns, while 10 percent will go to the central government's State Sports Administration and another 10 percent will go to the Shanghai government." The "remaining half will be split between Yao, his team, his coaches and his registered agent, after which Yao will have to pay taxes." Smith & Wise: "If Yao refuses to abide by the rules, the penalties are dire, including unspecified fines, expulsion from China's national team and an attempt by China to invalidate all contracts signed by Yao overseas." NBPA Exec Dir Billy Hunter: "If they are saying he's going to come on the condition that he sends half his money back, well, we would not recognize any written agreement to that effect. That does not work with the rules of the [CBA]." But Hunter said that if Yao "were to give someone his money 'after he has received it, that's on him'" (N.Y. TIMES, 4/25).


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