From the NY Times:
N.B.A. Referee Is the Focus of a Federal Inquiry
By ALAN SCHWARZ and WILLIAM K. RASHBAUM
Published: July 21, 2007
Law enforcement officials are investigating allegations that the veteran N.B.A. referee Tim Donaghy influenced the outcome of professional basketball games on which he or associates of his had wagered, several people familiar with the inquiry said yesterday.
Investigators were looking into allegations that N.B.A. referee Tim Donaghy had been in contact with people connected with organized crime.
According to a person with direct knowledge of the matter, federal officials are investigating whether Donaghy bet on N.B.A. games during the past two seasons, and whether since December 2006 he made calls that affected any game’s margin of victory while being coerced by members of organized crime.
A federal grand jury in Brooklyn is reviewing the case, which has been going on for several months and is expected to be concluded within a few weeks.
Donaghy, 40, who completed his 13th season in the N.B.A., could not be reached for comment. People involved with the situation said he was aware of the investigation, had resigned from his N.B.A. position about 10 days ago, and would surrender to law enforcement officials if charges were brought against him.
An F.B.I. spokesman, Neil Donovan, and Donaghy’s attorney, John Lauro, declined to comment. Lauro was an assistant United States attorney from 1986 to 1988 in the same Eastern District of New York office that is investigating Donaghy.
N.B.A. Commissioner David Stern issued a statement that said, “We would like to assure our fans that no amount of effort, time or personnel is being spared to assist in this investigation, to bring to justice an individual who has betrayed the most sacred trust in professional sports, and to take the necessary steps to protect against this ever happening again.” Stern added that the league would hold a news conference next week.
By agreement with the league, referees are forbidden to speak with the news media. But one veteran official said yesterday in a telephone interview: “You never think one of your own, your colleagues, would do something so stupid as to bet on games and manipulate the score.”
The official added that a group of referees may hold a news conference in the near future.
Kobe Bryant, the Los Angeles Lakers star who was in Las Vegas for workouts with the national team, was more matter of fact.
“It’s a hard pill to swallow,” Bryant said. “But it’s just the reality of the matter. As basketball players, all we can do is go out and play hard and leave it all on the floor.
“And it’s a great association. And the commissioner, I’m sure he’s going to take care of it.”
The New York Post first reported the investigation yesterday morning but did not identify the referee.
According to a person directly involved with the case, it involves no other N.B.A. official and it is focusing on whether Donaghy affected the margin of victory in about 10 or 15 games of the 60 he officiated since December 2006.
The person said that Donaghy had been betting on games before that, fell into debt, and ultimately fell under the influence of a person representing himself as a member of organized crime, who threatened to report Donaghy to the N.B.A. or harm his family if he did not cooperate.
An estimated $250 million is wagered on N.B.A. games annually, with most bettors predicting not which team will win, but whether the winner’s margin of victory will be above or below a specific number.
Improperly influencing the outcome of games typically runs afoul of either the federal Racketeer Influenced and Corrupt Organizations Act or other federal and state statutes regarding mail and wire fraud.
Donaghy’s time in the N.B.A. has been dotted with controversy. After officiating a game against the Portland Trail Blazers in January 2003, he was physically threatened by the temperamental Portland star Rasheed Wallace as they encountered each other in the arena’s loading dock. Wallace, whom Donaghy had called for a technical foul during the game, was suspended by the league for seven games; Donaghy was not reprimanded.
In April 2005, Boston Celtics Coach Doc Rivers, after Donaghy ejected him from a game, accused Donaghy of being biased against him. The Boston Globe reported that Rivers lodged a complaint with the league, but it appears the matter did not go much further.
Donaghy has faced controversy away from the basketball court as well. He was sued by a neighbor in a Pennsylvania civil court in January 2005 for yelling obscenities and setting fire to a tractor. The plaintiffs in that case, Peter and Lisa Mansueto of West Chester, Pa., declined to discuss how that case was resolved in a telephone interview last night.
According to STATS LLC, Donaghy officiated 131 regular-season and 8 postseason games the last two seasons. Donaghy called games involving every N.B.A. team during that period. He saw some teams a handful of times, like the Chicago Bulls (five games), and others a lot more, like the Miami Heat (15).
This is the third time in recent months that N.B.A. officials have come under scrutiny for their behavior.
In April, the longtime official Joey Crawford was suspended for the rest of the season for improper conduct toward Tim Duncan of the San Antonio Spurs. Duncan, who had been whistled earlier for a technical foul, was ejected by Crawford late in the third quarter for laughing from the bench after a teammate was called for a foul.
Two weeks later, two Ivy League academics completed a study that said white and black officials called fouls at different rates against white and black players — though the variance was not considered different from other interactions.
The N.B.A. has repeatedly said its system of monitoring and statistically analyzing referee calls ensures the highest level of fairness, with Stern often saying, “They are the most ranked, rated, reviewed, statistically analyzed and mentored group of employees of any company in any place in the world.”
