Barrie goes out in a steaming heap

by James Mirtle on Sep 1, 2009 6:00 AM CDT Comment 7 comments

by Graham Hughes - AP

The auditor’s report listed more than 20 transactions going back to 2007 that it found questionable. In several instances, the report said, "we encountered several instances where we believe that Len [Barrie] used his authority as Chief Executive Officer to override or otherwise circumvent the internal control system of the partnership, to misappropriate partnership funds for personal purposes."

Among the transactions, the auditor said it discovered that almost $2.5-million in construction costs on Mr. Barrie’s personal residence was charged to the partnership. The report also said $2.5-million was funnelled from Bear Mountain to pay for Mr. Barrie’s share of the Lightning through Scansa Construction Ltd., a company owned by Kory Gronnestad, Mr. Barrie’s brother-in-law.

— David Shoalts, The Globe and Mail

The story adds that Barrie is essentially finished as an NHL owner, as he was unable to come up with the funds to buyout partner Oren Koules for the Lightning.

Surprise, surprise.

So, add this tale to the long line of ownership disasters in the past 15 years in this league, something that has been well documented given all of the Jim Balsillie business this off-season. Barrie's future dealings may not include NHL ownership, but they'll certainly bear watching, as he's been playing with investment money from many, many current and former players and could end up in quite a mess not too far into the future.

I don't know what to make of this latest bit of news involving the auditor's report, but it appears to stink to high heaven. And, given what we've seen take place in Tampa under Barrie's leadership, that seems to fit the pattern.

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Really have to wonder about NHL background checks. The feeling I got about this guy from just the initial press was “shady get-rich-quick schemer with lots of luck so far”. If I get that feeling sitting five thousand miles away and reading a couple of articles about a guy I knew nothing about before, other than that he’s a former part-time NHLer, then how come the league doesn’t look into it and it takes them a year to find out – from an investigation conducted by someone else, no less.

by Malurous on Sep 1, 2009 8:14 AM CDT reply actions 1 recs

I predict

Mr. Balsillie will be filing a new submission for Judge Baum imminently.

This may not be perfectly on topic, but am I the only one who senses that what should have been the ideal PR summer for the NHL to bask in the Penguins and Crosby’s Cup win and a North American Olympics coming up, has turned into a world class steamin pile of poop.

I mean, the list here goes on and on – Phoenix, Tampa, Paul Kelly, Dany Heatley – I love this game but I have serious doubts about the people who run it.

by CalTach on Sep 1, 2009 9:05 AM CDT via mobile reply actions 2 recs