The U.S Attorney’s Office in Manhattan is investigating the National Basketball Players Association after NBPA President Derek Fisher asked for independent reviews of its finances and business practices, according to an InvestmentNews article (“Financial planner involved in NBA players’ union probe: Report”).
Since 2001, the NBPA has paid $4.8 million to family members of its Executive Director, Billy Hunter, and their professional firms, according to the article. Hunter’s son is reportedly a principal at a financial planning and investment firm that advises the NBPA and players on investment matters.
At first, the NBPA executive committee agreed with Fisher’s call for an outside examination. Subsequently, however, Hunter spoke with executive committee members (out of Fisher’s presence). After that, the committee asked for Fisher’s resignation, saying he failed to uphold his duties as president.
The NBPA has since appointed a special committee, which has retained the New York law firm of Paul, Weiss, Rifkind, Wharton & Garrison to conduct an internal investigation and financial audit, while the U.S. Attorney is investigating.
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