Chris Fawal

NFL Players Association Facing Potential Federal Probe Into Finances

The dust had barely begun to settle in the wake of Lloyd Howell and J.C. Tretter‘s resignations from the NFL Players Association. New leadership has not even been appointed. Still, controversy continues to toil in the players’ union as ESPN’s Don Van Natta Jr. and Kalyn Kahler report the existence of a federal criminal investigation into the NFLPA’s “potential misuse of funds and self-enrichment by union officials.”

The news comes off of ESPN’s acquisition of a confidential document “marked ‘privileged’ and emblazoned with the union logo on each page.” The document was provided to several other sources and players and contains a memo drafted by a senior union attorney, titled “Crisis Management,” that outlines the scope of the investigation. The memo was provided to the NFLPA’s executive committee and player representatives earlier this week.

“Immediate threats” identified by the memo indicate how “potential action by the National Labor Relations Board over ‘unfair labor practices’ and a ‘lapse of fiduciary duty oversight practices during (the) Howell tenure'” could result in the union paying “direct or foreseeable pecuniary harms.” The document doesn’t identify which specific individuals are under criminal investigation, but Tretter denied being under investigation, while Howell did not respond to attempts by ESPN to reach him.

The document’s main point is summarized in this quote:

(The) government is watching (the NFLPA’s) response (and) could quickly ramp up and expand (the) scope of (the) existing (Department of Justice) criminal investigation. (The NFLPA’s) Board (and) Officers need to show (the) government (and) fellow union members that they are acting immediately to find out (the) depth of problems at (the) union (and) related entities.

Essentially, the document claims that eyes will be closely watching how the NFLPA settles on Howell’s successor. Howell’s appointment in the first place was the result of a 16-month process in determining DeMaurice Smith‘s successor, just for the former to resign disgraced by becoming “a distraction” because of his strip club charges to the union for over $3K and rumors of conflicts of interest and a culture of secrecy best represented by Howell’s confidential agreement with the NFL to keep the details of the arbitrator’s collusion ruling from the NFLPA’s executive committee and player representatives.

Howell has since resigned from his consulting role with the Carlyle Group, per Van Natta, and OneTeam Partners, a $2BB group-licensing firm co-founded by the NFL and MLB’s Players Associations on which Howell held a board seat, is under FBI investigation for its financial dealings.

NFLPA president Jalen Reeves-Maybin released a statement announcing the Association’s intention to hold a vote for an interim executive director earlier this week. Tretter was considered a frontrunner, along with NFLPA chief player officer Don Davis, before Tretter’s sudden resignation. Since then, several other names have been rumored as candidates.

Mike Florio of NBC Sports reported rumors of NFL Players, Inc. president Matt Curtin and NFLPA associate general counsel Chris Fawal being options. The document names Davis, NFLPA senior director of player affairs Lester Archambeau, NFLPA chief operating officer Teri Smith, former NFLPA president Dominique Foxworth, and Foxworth’s successor, former NFLPA president Eric Winston, as candidates, as well, in what it calls the union’s “triage plan.” Foxworth was also considered for the job during the 16-month process that led to Howell. ESPN even adds that multiple sources have identified Smith as the potential interim successor of his successor.

It’s believed that the 32 teams’ player representatives could choose an interim executive director as soon as this weekend. The document asserts that the interim director will serve as the “Triage Manager” and shouldn’t be required to abstain from running for the permanent job whenever that election occurs.

The document ultimately makes several other opinionated claims like the possibility that players may sue the union for the January collusion decision situation or that there should be improved oversight of an investment advisor for the NFLPA’s discretionary funds. In the end, it maintains its main assertion that the NFLPA must take “prudent and definitive actions” to fill the “leadership vacuum” in order to avoid federally ordered, court-supervised oversight of the union as a result of a federal criminal investigation.