News Article: NHL must step in to stop shady Senators owner Eugene Melnyk

[Tighthead]

Devcore had a better proposal to begin with and much deeper pockets. As soon as melnyk failed to show the financial ability or desire to move forward it should have been handed to someone who wanted to

It was all predictable. Melnyk was always going to go with "other people's money" as a strategy.

 

[Joeyjoejoe]

This seems big.

 

[Daffy]

This seems big.

Definitely interesting but I won't get my hopes up until something concrete happens.

 

[The Lewler]

Big if true. lol

But seriously, this would be wayyy too deep a troll. Makes no sense.

My money is still on some kind of services rendered to the Sens / Capital Sports and Entertainment , but obviously low level hope for sale related.

 

[supsens]

I have never seen any proposal where Melnyk is putting up 600M.
Don't tell me "That's what the team is worth so that's his share" because that is a stupid argument.
Lebreton Flats would've been a major upgrade for the Sens franchise.
It's only positive for Melnyk, it's pretty much no risk.
On top of it he wants his "partner" to shoulder all the cost risk of building the arena, taking on the rent, giving up an inordinate amount of control over the entire project and getting no value added but saying "You can buy condos next to the new Sens arena!"

That just doesn't make any sense.

They wanted him to build the arena and all public spaces in stage 1. How much do you think all that would cost?
Or do you think building materials ,land and work crews fall from heaven.
I don't blame them he would probably flog a few condos and never build the rink if you didn't force him to build it first.

 

[senswon]

Definitely interesting but I won't get my hopes up until something concrete happens.

Could it be a separate deal for the land/ building ctc?
This would be a separate deal to the sale of the team....if the aging building was of no interest to the new owners

Totally spitballin

 

[JD1]

If you are not paying to build the arena AND you ask not to pay rent for 30 years AND you refuse to give up the naming rights AND asking for high levels of control on the Lebreton project what does that make any reasonable person conclude?

That you are greedy.
That's what the judge will see.
That's it.

Well....that's not really true...after disagreeing on the risk of the project, melnyk threw out the offer that all profit goes to Ruddy along with the terms you mentioned....you left that kind of important detail out.

They both got greedy and neither one of them could realistically afford the financial risk associated with the project.

 

[Joeyjoejoe]

Well....that's not really true...after disagreeing on the risk of the project, melnyk threw out the offer that all profit goes to Ruddy along with the terms you mentioned....you left that kind of important detail out.

They both got greedy and neither one of them could realistically afford the financial risk associated with the project.

Lol one is a builder and has a reputation around the city of building shit. One is an ego maniac that bought something for cents on the dollar, and finances his low budget team through loans and credit.

Yeah definitely, they BOTH can't afford it.

 

[supsens]

Lol one is a builder and has a reputation around the city of building ****. One is an ego maniac that bought something for cents on the dollar, and finances his low budget team through loans and credit.

Yeah definitely, they BOTH can't afford it.

A builder in the city? Well [mod] perhaps you should google all the garbage,bankrupt contractors and law suits that went on with Lansdowne.

 

[Qward]

Fine. I will fund the arena. But I get to name it.

 

[NorthCoast]

Definitely interesting but I won't get my hopes up until something concrete happens.

If you watch the whole Tim & Sid clip with EF it's not about the team but rather Kraft has a group that looks to get involved in sports land deals.

Friedman seems pretty convinced that Melnyk is not selling anytime soon.

 

[BonHoonLayneCornell]

If you watch the whole Tim & Sid clip with EF it's not about the team but rather Kraft has a group that looks to get involved in sports land deals.

Friedman seems pretty convinced that Melnyk is not selling anytime soon.

Heartbreaking if true.

Am I the only one who's interest in this team at this point is entirely predicated on him selling? If he won't go, I have no interest anymore.

 

[coladin]

Heartbreaking if true.

Am I the only one who's interest in this team at this point is entirely predicated on him selling? If he won't go, I have no interest anymore.

No. My interest is in guys like Tkachuk, White, Chabot, etc...

 

[Daffy]

Heartbreaking if true.

Am I the only one who's interest in this team at this point is entirely predicated on him selling? If he won't go, I have no interest anymore.

Right there with ya. Which I can't believe I'm saying. He's turning away even the diehards now.

 

[Upgrayedd]

Heartbreaking if true.

Am I the only one who's interest in this team at this point is entirely predicated on him selling? If he won't go, I have no interest anymore.

Would actually appreciate it if somehow he could be honest about his future intent, if it is in fact to hold on for dear life then give us all the honest heads up so we can move along quickly and forget this team. Unfortunately honesty and the Ottawa Senators is a virtual oxymoron.

As for Lebreton, we already went over it again and again, Eugene was banking on the partners and city paying for everything with him putting in next to nothing as usual and then he was looking to profit above what would be considered reasonable in this type of scenario, and no it is not reasonable to ask for naming rights to a building you haven't invested in nor own...not much more to it, this owner has so very earned the "assume the worst" mantra that currently surrounds him.

 

[BonHoonLayneCornell]

No. My interest is in guys like Tkachuk, White, Chabot, etc...

I respect that opinion, just not enough for me after everything.

Right there with ya. Which I can't believe I'm saying. He's turning away even the diehards now.

It's a sad state of affairs, but the joy has been sucked out.

Would actually appreciate it if somehow he could be honest about his future intent, if it is in fact to hold on for dear life then give us all the heads up so we can move along quickly and forget this team.

As for Lebreton, we already went over it again and again, Eugene was banking on the partners and city paying for everything with him putting in next to nothing as usual and then he was looking to profit above what would be considered reasonable in this type of scenario, and no it is not reasonable to ask for naming rights to a building you haven't invested in nor own...not much more to it, this owner has so very earned the "assume the worst" mantra that currently surrounds him.

Absolutely agree, although it's hard to take his statements at face value. If I knew 100% there's no hope he's letting go, I'll just pack my bags and head off now full stop. I just keep getting pulled back in by the possibility of a sale. In a strange twist of resentment, I feel torn about whether I want it to turn around regardless, knowing Dorion and Melnyk would take joy in it and likely pile the credit all on themselves.

 

[GrantLemons]

Heartbreaking if true.

Am I the only one who's interest in this team at this point is entirely predicated on him selling? If he won't go, I have no interest anymore.

I'm mostly in the same boat, except my interest tends to be fleeting at best. I'm quite interested to see how our players develop, however I have no faith that whatever crop of young players we amass will be parlayed into a contending team due to upper management's incompetence. A business will never succeed without strong leadership in executive positions.

Some people can just completely ignore it, but I'm not one of those people. I simply can't go "all in" on a team that has complete morons calling the shots.

 

[BonHoonLayneCornell]

I'm mostly in the same boat, except my interest tends to be fleeting at best. I'm quite interested to see how our players develop, however I have no faith that whatever crop of young players we amass will be parlayed into a contending team due to upper management's incompetence. A business will never succeed without strong leadership in executive positions.

Some people can just completely ignore it, but I'm not one of those people. I simply can't go "all in" on a team that has complete morons calling the shots.

Hard to follow those in to battle that you have no faith in.

 

[Pierre from Orleans]

Hard to follow those in to battle that you have no faith in.

Well if you go into battle where your leaders are Melnyk and Dorion who are a glutton for punishment then you can guarantee that they are battled tested.

 

[Sureves]

Heartbreaking if true.

Am I the only one who's interest in this team at this point is entirely predicated on him selling? If he won't go, I have no interest anymore.

I used to watch 70+ Sens games a year: the only ones I didn't watch were either 10:00pm start times, or when I had plans I couldn't really get out of.

I watched the Leafs vs Sens game this year and I watched the first 2 periods of the Rangers game, but beyond that I haven't bothered tuning in.

It's just an absolutely horrible team that has a 0.01% chance of making the playoffs, that is playing a bunch of useless veteran players instead of young players, that has no chance of actually re-signing the players that actual do pan out due to financial limitations, to say nothing of the inability to add other pieces around them through free agency.

 

[topshelf15]

I love the kids,and love watching them play ...But Iam not interested in us building up to a team that needs a piece or two for the next 10 years,while we carry 10 mil in cap space each year

 

[TheDebater]

I believe the issue is very complex and intertwined. The team being very bad shines a spotlight on the owner; why is the team bad? Like any business, if the product is bad, you look at who is in charge and see what they are doing wrong. If the team was still competitive, I think most fans would have overlooked some of Melnyk's off ice problems. The dilemma is, however, that the team is very bad and the reasons are directly linked to decisions made by the owner due to his financial shortcomings. If he was struggling, yet continued to spend on the team, we might actually feel sorry for him and suggest he "is trying his best" even though he is not making money. At that point, one might suggest the fans could shoulder some of the blame if they continued to not attend games and sell out the arena.

Obviously the above example is not the real case here, Melnyk has cut the budget down to shreds, he has traded off any "expensive" players and disguised it all under some false notion of a re-build. The fans are not stupid, outsiders might blame us for "not showing up" but that would not really be telling the whole story.

The problem begins and ends with Melnyk, if he sells ( and I sound like a broken record), along with a few shrewd marketing moves by the new owner(s) and the fans will flock back.

 

[discostu]

This relates to the charitable organization story, but I did a little digging on something of the rules around information disclosures. Someone posted a link to the orgs CRA filings. The last disclosure was for the year ending December 31, 2017.

I wanted to verify what the timelines for a the 2018 figures would be, and per CRA :

Under the Income Tax Act, every registered charity must file an information return each year. The return must be filed no later than six months after the end of the charity’s fiscal period. For example, if the charity’s fiscal period-end is March 31, its return is due by September 30.

In terms of consequences of not doing so, CRA states the following

What happens if a registered charity does not file its information return?

If a charity does not file its information return, its registered status can be revoked and as a result, it would:

• no longer be exempt from tax, unless another exemption applies
• not be able to issue official donation receipts
• have to transfer its property to an eligible donee or be subject to a revocation tax equivalent to the full value of its remaining assets (under Part V of the Income Tax Act)

I'm not an expert, so can't weigh in on whether there are reasonable exceptions for information disclosures not being made available. This also only reports what CRA has published, and information could very well be submitted.

I think it's very likely we don't hear about this story again though. Whatever processes underway with CRA would all be behind closed doors. But, I was curious about the status of those financials and wanted to knowing the processes around late filings.

 

[Qward]

"have to transfer its property to an eligible donee or be subject to a revocation tax equivalent to the full value of its remaining assets (under Part V of the Income Tax Act)"

For clarification. Lets say you register a "charity" and over the course of operating this charity you raise $1,000,000. You pay yourself some salary for running the charity. You pay your wife for running some of the work as well. Heck, pay your kids and your friends too. If the CRA comes along and decides to perform a review *cough audit cough* and they determine you do not meet the definition of charity, you have to give that $1,000,000 to another registered charity. If you don't. They are taking your stuff.

Life lesson. Don't be a dick and make a fake charity because you are smarter than everyone else. You are not. You will get caught.

*This little blurb does not reflect on the previous incident discussed. It should not be interpeted as such. It is merely an explanation of what would happen in a hypothetical situation.

 

[BonHoonLayneCornell]

Well if you go into battle where your leaders are Melnyk and Dorion who are a glutton for punishment then you can guarantee that they are battled tested.

Battle tested for getting shit kicked in player transactions.

I used to watch 70+ Sens games a year: the only ones I didn't watch were either 10:00pm start times, or when I had plans I couldn't really get out of.

I watched the Leafs vs Sens game this year and I watched the first 2 periods of the Rangers game, but beyond that I haven't bothered tuning in.

It's just an absolutely horrible team that has a 0.01% chance of making the playoffs, that is playing a bunch of useless veteran players instead of young players, that has no chance of actually re-signing the players that actual do pan out due to financial limitations, to say nothing of the inability to add other pieces around them through free agency.

This year and last are particularly painful to watch. Just not much for compelling reasons to tune in other than Tkachuk and Chabot. The lack of interest though is as you say, not due to the current team, but rather the prospects of these idiots building it back up. I just don't believe in their ability to pull it off whatsoever.