More indictments of NBA referees are "anticipated" for
tax evasion "stemming from the reimbursement of on-the-job
travel expenses," according to a report by Mark Asher of the
WASHINGTON POST. Terry Grady, attorney for ref Mike Mathis,
who was indicted Wednesday, said that there may be "as many
as" 15 refs who could be charged. So far, three have been
indicted. Grady: "I don't know what the government is going
to do, but I believe there are still that many being
considered." Asher notes that as part of the NBA's CBA, the
league "permits the referees to travel first class on
flights scheduled for longer than two hours. However, the
labor contract allows the referees to downgrade the tickets
and keep the money saved. The referees are required to
submit receipts to the NBA, so the league can report
additional income to the IRS. In all three indictments, the
government charges that the referees submitted bogus
receipts to the NBA." In the case of Mathis, the government
said he failed to include approximately $69,000 as taxable
income in his returns for the years '89-92. Grady said his
client did not attempt to defraud the government. The
indicted refs will still be paid by the NBA, which has had
no further comment. Refs Union head Fred Slaughter: "We are
just disappointed it couldn't have been resolved in a manner
other than criminal indictment" (WASHINGTON POST, 2/21).
