Commanders’ allegations can be acted upon by the FTC or the Attorney General

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In a letter sent this week by Democratic leaders of the House Committee on Monitoring and Reform, allegations of financial misconduct against Washington commanders and their owner, Daniel Snyder, raised the possibility of responses from various organizations.

Delegate Carolyn B., chair of the committee. A 20-page letter signed by Maloney (DNY) and Raja Krishnamurthy (T-IL), deputy chairman of the Economic and Consumer Policy Subcommittee, was sent out on Tuesday. Lina M., chair of the Federal Trade Commission. To Khan. This is according to Virginia’s Attorney General Jason S. Myers (R), Brian E. of Maryland. Frosh (D) and Carl A. of DC. Copied with Racine (D) to NFL Commissioner Roger Goodell. The commanders have denied committing any financial irregularities.

Racine’s office said Friday it would take the allegations “very seriously” and “would not hesitate to take action” if guaranteed, but it was unclear what the next steps in the case would be.

Congress describes allegations of ‘illegal’ behavior by commanders to the FTC

The FTC did not respond to a request for comment Friday. The agency admitted Tuesday through a spokesman that it had received the group’s letter, but declined to comment further.

William E., professor of law at George Washington University. Kovacic, the former chairman and former general adviser to the FTC, said in a telephone interview this week that congressional preferences and the NFL’s high profile could push the agency in the right direction. Taking action.

“You generally do not want to brush off an assembly committee, especially if you are the leader. It’s your own party. They want you to do something,” Kovacic said. “It’s disgusting to tell them to get lost. We have a lot more to do.” In fact, they have many more things: They have a whole set of ambitious, arduous plans that can negotiate greater stakes for the community. It will impress you. “

Kovacic said, however, that the FTC’s lack of criminal enforcement powers suggests that the Attorney General is more appropriate to pursue the charges.

“Maybe they are [the FTC] They found something that could be called a crime and they had to hand it over to someone else, that is, to the criminal division of the judiciary, or perhaps to the state’s attorney general, ”Kovacic said. “They have absolutely no criminal enforcement power. On the civilian side, their main remedy is to obtain a restraining order, a restraining order and a rejection order to prevent it from happening again. Do they have the power to compel commanders to return money to victims in the wake of recent Supreme Court rulings?” Now a big question.

Racine’s spokesman said in a statement Friday that his office was taking the allegations seriously.

“We take these allegations against Washington commanders very seriously, and if we find evidence that they violate district law, we will not hesitate to take action,” the spokesman said. “During AG Race’s tenure, our Consumer Protection Committee has filed dozens of lawsuits against companies that harm district residents – including some of the world’s largest companies – and we have received more than $ 12 million in relief.”

Congress is investigating allegations of financial misconduct by the commanders

The group’s letter detailed the allegations made by Jason Friedman, a former vice president of sales and customer service who has worked for the team for 24 years. Friedman is accused of withholding $ 5 million in refundable deposits from season ticket holders and concealing money to be shared among NFL owners.

The letter cites evidence that the group’s income from such practices is locally known as “juice”. It describes detailed allegations that commanders misrepresented proceeds from a Navy-Notre Dame College football game or Kenny Chesney concert at FedEx Field and that it would not be included in the NFL’s revenue-sharing team.

The panel reiterated this week that it “categorically rejects any suggestion of any kind of financial malpractice at any time.”

In an interview Tuesday, Frosh said, “If what Mr. Friedman described is accurate, it could be a violation of Maryland’s consumer protection law.”

A spokesman for the Myers office said, “We have received the letter and are reviewing it.”

If the FTC continues to look into the matter, it is expected to conduct its own investigation and return the records and order the officers to be available for interviews under oath. Commanders can compete against this compulsory process and be given time to gather and deliver information.

Kovacic said the allegations involving team ticket holders would be more relevant to the FTC than hidden revenue from other NFL owners.

“I do not find myself spending too much time helping FTC owners or wanting to allocate a lot of resources to find out if other NFL owners have been deceived,” Kovacic said. “About ticket holders, it’s a different type.”

But even on those consumer-related issues, Kovacic said of the FTC, “they sort out many things that go to the heart of their privacy authority, their broader consumer protection authority, their distrustful authority. How much time would you like to spend with season-ticket holders for Commanders? I do not know.”

The NFL said this week that the financial allegations described in the panel’s letter would come under the umbrella of the league’s current investigation led by attorney Mary Joe White, the former head of the Securities and Exchange Commission. The NFL Players’ Association did not respond to requests for comment. Since NFL players receive a portion of the league’s revenue under the game’s payroll system, allegations of hidden earnings may be subject to scrutiny by the union.

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