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Former USAG CEO Arrested For Tampering With Nassar Evidence

Steve Penny reportedly was arrested by U.S. Marshals while on a family vacation in Tennesseegetty images

Former USA Gymnastics President & CEO Steve Penny was arrested yesterday on evidence-tampering charges related to the Larry Nassar investigation, marking "just the latest in a string of black eyes" for the NGB, according to NBC's Kate Snow. Penny was arrested on allegations that when he "learned the once-famous training camp for Olympic gymnasts, the Karolyi Ranch, was being investigated" in relation to the Nassar scandal, he "ordered the removal of documents." An investigation "revealed the documents were delivered to Penny" at USAG HQ in Indianapolis. The records so far "have not been recovered and the location of the records is unknown" ("Today," NBC, 10/18). CBS' Tony Dokoupil notes Penny's arrest is "all part of an ongoing investigation into a possible cover-up" of Nassar's conduct at the ranch ("CBS This Morning," 10/18). The WALL STREET JOURNAL's Rebecca Davis O'Brien noted Penny was arrested by U.S. Marshals "while on a family vacation" in Tennessee. A lawyer for Penny said that he had "went on vacation without knowing he had been indicted in Texas." Penny stepped down "under pressure" in '17, in part "due to his handling of the Nassar scandal." He received a "severance package" worth $1M. Penny had led the NGB since '05 (WALL STREET JOURNAL, 10/18). Penny earlier this year appeared before a Congressional hearing on the Nassar scandal "repeatedly asserting his Fifth Amendment right against self-incrimination before finally being excused" (OCREGISTER.com, 10/17).

LEADERSHIP PROBLEMS: ESPN's Kate Fagan noted the "disaster that is USA Gymnastics continues unabated" after Mary Bono resigned as interim CEO on Tuesday after just five days on the job. USA Today's Nancy Armour said Bono's replacement is "going to be the fourth CEO in about 18 months," while Bono becomes the "third employee that has left in the last six weeks for circumstances that could have been completely avoided." Armour said of the people running the NGB, "They keep making the same mistakes over and over again. And it doesn't matter how many press releases they send out, how many statements they make, they don't seem to have learned from their previous mistakes" ("OTL," ESPN, 10/17). In Indianapolis, Suzette Hackney asked, "Who is making these boneheaded decisions over at USA Gymnastics?" Hackney: "Who is accountable here? Who is driving the train? Who is willing to stand up for what is right -- at last?" (INDYSTAR.com, 10/17). In N.Y., Carron Phillips writes he does not "believe a word that USA Gymnastics says." There is "no reason why anyone should have faith in USA Gymnastics" (N.Y. DAILY NEWS, 10/18).

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