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Has anyone else been following this - Reggie Bush

SPRING VALLEY, Calif. – In this sprawling hilltop community with a breathtaking view of Sweetwater Lake, it was no secret who lived in the 3,000-square-foot house at the corner of Apple Street and Luther Avenue.

That home, residents would tell you, was where Reggie Bush's family lived.

That is, until this weekend, when the family abruptly packed up and vacated the residence – less than 24 hours after Yahoo! Sports approached Bush's mother about information linking the property to Michael Michaels, a man who is alleged to have tried to play a role in steering Bush toward an agent and who also has ties to a sports marketing company.

Days before Bush is expected to be the No. 1 pick in the NFL draft, unanswered questions about the residence and how his mother, stepfather and brother came to live in it within the last year have prompted the University of Southern California to refer the matter to the Pacific-10 Conference for an investigation.

NCAA statutes prohibit student-athletes or their families from receiving extra benefits from professional sports agents, marketing companies or their representatives. A breach of these statutes could result in an athlete being ruled ineligible, and games in which they played could be forfeited.


USC finished 12-1 last season, its 35-game winning streak and national championship bid both ending with a loss in the Rose Bowl to Texas. Bush, a junior running back, won the Heisman Trophy and elected to skip his senior season and turn pro in January.

In response to reporters' questions about the matter late last week, USC athletic department officials said they would look into it.

"Rather than jumping to conclusions, we need to determine the facts before commenting on this report," Trojans athletic director Mike Garrett said in a statement released by the school on Friday. "We have asked the Pac-10 to look into this."

State records show the Apple Street home was built in late 2004 and early 2005, then purchased by Michaels on March 29, 2005 for $757,500. Around that time, neighbors say Bush's family moved in. Whether they had visited the house while it was being built is unknown, but there is an inscription in one of the cement slabs in the driveway reading "The Griffins '05."

Michaels is the only person who has been listed on the deed to the home.

Bush's mother, Denise Griffin, was approached in the driveway of the house on Thursday, but declined to comment.

"I have absolutely nothing to say," Griffin said when asked about ownership of the property, which is where Bush's mother, stepfather LaMar and brother Jovan lived during USC's 2005 season.

Before moving to the house on Apple Lane, Bush's family was listed as living in an apartment elsewhere in Spring Valley, a community located about 13 miles east of San Diego.

At some point after Bush's family moved into the residence, Michaels and an associate named Lloyd Lake are said to have contacted San Diego-based sports agent David Caravantes and offered to facilitate Bush's recruitment. A source with intimate knowledge of the meeting said it took place during the 2005 college football season and that Michaels was looking for a local agent to handle the contract negotiations for players he intended to sign to his marketing firm.

Michaels and Lake told Caravantes they were planning to start a sports marketing agency with Bush as their anchor client. It was also during this meeting that Michaels and Lake mentioned the potential name of the agency: New Era Sports & Entertainment.

The pitch to Caravantes was said to have been simple: He would be Bush's agent and Michaels' marketing creation would handle the promotion of the USC star. At some point after pitching this idea, Michaels informed Caravantes that Bush's family was living in a home Michaels owned. Caravantes isn't believed to have met with Bush and was never considered to be in the mix before the USC star hired Reebok adviser Mike Ornstein and agent Joel Segal of Worldwide Football Inc. as his representatives.

Repeated attempts to reach Segal and Bush were unsuccessful.

While it's unclear what official role Michaels played in New Era Sports, indications are that the company barely got off the ground – if at all. According to corporation filings in California, paperwork for New Era Sports & Entertainment was drawn up on Nov. 23, 2005, and records list the business address in Los Angeles under an attorney named Phillip M. Smith Jr.

Contacted late last week, Smith Jr. refused to talk about New Era Sports – even declining to give public details such as a phone number for the company, where the New Era offices were located or who was serving as the company's current president or manager.

Asked why he wouldn't provide such information, Smith ended the brief telephone conversation, saying, "That's really not an issue that I want to deal with." He has failed to return multiple follow-up messages left at his office.

Further attempts to identify New Era produced a single web page with a company logo (http://newerasports.tv/) that contains no active links to indicate where New Era is located, what services are provided or how the company could be contacted. Searches also produced the internet blogs of three self-proclaimed employees of New Era Sports. One such blog included the company logo of New Era and pictures of several NFL players. That blog was taken down shortly after Yahoo! Sports obtained a hard-copy of the page.

Contacted about his alleged meeting with Michaels, Caravantes declined to comment.

Michaels – who is a member of the Sycuan Indian Tribe and works as a business development officer for the tribe's development corporation – failed to return multiple phone calls and was unavailable when Yahoo! Sports visited his home on three occasions this weekend.

The Sycuan tribe, which owns a casino and resort and is engaged in a number of business enterprises in the San Diego area, denied any knowledge of Michaels' relationship with the Bush family.

"The tribe is not aware of his involvement," said spokesman Adam Day, who had been approved to speak for the Sycuan's tribal government. "Any involvement that he has in this situation is his personal involvement. It has no connection or correlation to the tribe, its businesses or Mike's employment by the tribal development corporation.

"What tribal members do on their own time is their own business. It's not the business of the tribe."

Back at the house on Apple Street on Saturday afternoon, the moving trucks had come and gone. A flier offering cleaning services for movers was hung on the front door, and all the shades had been drawn shut. Through a garage window, only a few empty cardboard boxes and straggling trinkets were visible.

Across the street, neighbor Grant Sitton could only shrug.

"I don't know, I guess it didn't work out," Sitton said. "Oh well. They have a big payday coming next week anyway."

-----

If true, USC will have to forfeit their recent PAC-10 title and Bush his Heisman image

Comments

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    stownstown Posts: 11,321 ✭✭✭
    They have talked a little about this on the dial in Houston. Obviously they want to downplay it as much as possible.

    If their previous titles get revoked, ESPN will have to redo that entire "Who's The Greatest College FB Team EVER!?!?" segment image
    So basically my kid won't be able to go to college, but at least I'll have a set where the three most expensive cards are of a player I despise ~ CDsNuts
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    Gotta be something shady going on.......a guy's name was Michael Michaels???? WTF, was he in the WWF also?

    Never trust anyone with the same first and last name!image
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    AxtellAxtell Posts: 10,037 ✭✭
    They won't revoke his heismann, they won't revoke the national titles.

    It will be tough to prove anything was done wrong, especially since he didn't sign with the agent who's house they were leasing/buying.
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    Well it happened in early 2005 so the national titles aren't in question.

    I think it looks brutally obvious as to what transpired.
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    goose3goose3 Posts: 11,471 ✭✭✭


    << <i>Gotta be something shady going on.......a guy's name was Michael Michaels???? WTF, was he in the WWF also?

    Never trust anyone with the same first and last name!image >>




    Let me expand on your last statement....

    Never trust anyone with 2 first names or 1 eyebrow.
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    stownstown Posts: 11,321 ✭✭✭


    << <i>They won't revoke his heismann, they won't revoke the national titles. >>



    The titles were a joke but I'm not so sure about the Heisman. If this proves true and they don't do anything, it condones perks to student atheletes and would be beyond hyprocritical.



    << <i>It will be tough to prove anything was done wrong, especially since he didn't sign with the agent who's house they were leasing/buying. >>



    I'm positive it was the agent who ratted Bush out. If they rented that place for below market value, that should be considered a violation in my opinion. It's not like his parents moved into comparable place; this is a 3,000 sq ft, $800,000 house. Bush wasn't born yesterday and he knew EXACTLY what was going on.

    If they were paying FMV, no blood, no foul.

    Having said that, I find it very interesting that they moved out a day after the issue is brought up.
    So basically my kid won't be able to go to college, but at least I'll have a set where the three most expensive cards are of a player I despise ~ CDsNuts
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    AxtellAxtell Posts: 10,037 ✭✭
    They didn't take away OJ's heismann.

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    << <i>They didn't take away OJ's heismann. >>



    Being found not guilty of murder doesn't revoke your NCAA eligibility. Accepting benefits, such as a $750k house, does.
    image
    image
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    stownstown Posts: 11,321 ✭✭✭
    From ESPN.com



    << <i>An attorney representing Reggie Bush says that Bush had no knowledge of an agreement between his parents and San Diego businessman Michael Michaels, the man who owned a $750,000 home the Bush family lived in for the past year.

    ...The Union-Tribune said it is unclear what rent Bush's mother and stepfather paid during their time in the house. If it is less than market value, the NCAA could consider that a violation, the newspaper said. >>

    So basically my kid won't be able to go to college, but at least I'll have a set where the three most expensive cards are of a player I despise ~ CDsNuts
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    stownstown Posts: 11,321 ✭✭✭
    And from MSNBC.com



    << <i>Whalen said he and board members will discuss the ramifications on the Pac-10 investigation, ESPN said.

    "We're doing some soul searching ourselves right now," Whalen said. "To the best of my knowledge no one has ever had a Heisman Trophy revoked."

    ESPN said that official Heisman ballots include this wording: "In order that there will be no misunderstanding regarding the eligibility of a candidate, the recipient of the award MUST be a bonafide student of an accredited university. The recipient must be in compliance with the bylaws defining an NCAA student."

    ...NCAA rules prohibit student-athletes and their families from receiving extra benefits from agents or their representatives.

    ...Any violation could also put Bush in a precarious position with the organization that awards the Heisman Trophy; the award ballot states that the winner must be in compliance with NCAA rules. Heisman officials will wait until the Pac-10 investigation is complete before deciding if any action needs to be taken, said Heisman Trophy Trust spokesman Tim Henning.

    ...Bush did not answer a question about his relationship with Michaels.

    “There will be a later time for details,” he said. “As of right now, it’s still early and we don’t want to get into all that.” >>



    Later time such as after the draft? image
    So basically my kid won't be able to go to college, but at least I'll have a set where the three most expensive cards are of a player I despise ~ CDsNuts
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    AxtellAxtell Posts: 10,037 ✭✭
    Sounds to me like quite a bit of a witch hunt...everyone realizes that the agent whose house it is isn't the one Bush signed with.

    In addition, what benefit exactly is the player receiving by his parents having a nice home? It's not like Bush was given money, cars, or the like. So I think this case will be very difficult to put back on Bush.
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    SouthsiderSouthsider Posts: 1,043 ✭✭✭
    This story just seems too convenient a few days before the draft. I wouldn't be surprised to find out that it was planted.

    Who are the suspects?

    Texans - Contract negotiating tactic to lower Bush's demands.
    Saints, Titans, Jets, etc. - Hoping Texans pass on Bush, allowing him to drop to someone else.
    Leinart, Young camps - Trying to get the Texans to pick their boy as the #1 pick.
    Media outlets/reporters - National press and attention for "uncovering" breaking news story.
    Mel Kiper Jr. - Deflect annual draft-day stories about his hair.
    President Bush - Approved leak to the press to focus criticism on some else named Bush.
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    SouthsiderSouthsider Posts: 1,043 ✭✭✭
    dp
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    I'm kinda reading between the lines, but the marketing guy that owns the house has ties to some sports agent. Apparently, he was letting Bush's parents stay in the house in the hope it would steer Bush to his sports agent. Bush chose somebody else.

    I would guess the owner of the house probably alerted the media to get back at Reggie.
    image
    image
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    << <i>This story just seems too convenient a few days before the draft. I wouldn't be surprised to find out that it was planted.

    Who are the suspects?

    Texans - Contract negotiating tactic to lower Bush's demands.
    Saints, Titans, Jets, etc. - Hoping Texans pass on Bush, allowing him to drop to someone else.
    Leinart, Young camps - Trying to get the Texans to pick their boy as the #1 pick.
    Media outlets/reporters - National press and attention for "uncovering" breaking news story.
    Mel Kiper Jr. - Deflect annual draft-day stories about his hair.
    President Bush - Approved leak to the press to focus criticism on some else named Bush. >>



    LOL at the last two, but I agree the timing is not a coincidence.

    Did anyone else find this odd? Maybe I'm reading it wrong...

    State records showed construction was completed on the home in early 2005 and Michaels purchased it for $757,500 in late March, Yahoo.com reported. Neighbors told Yahoo that the Griffins moved into the home shortly after that.

    Okay so the house cost $757,500

    San Diego County records show the 3,002-square-foot home has an assessed value of $339,394, including $99,394 for the land.

    It is now worth $339,394.

    It went down over $400,000 in a year?
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    AxtellAxtell Posts: 10,037 ✭✭
    It seems like a lot of unnecessary attention is being paid to this, and the timing does seem awfully suspect.
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    Transcripts allegedly tie Bush to sports agency
    By Charles Robinson, Yahoo! Sports

    Transcripts of parole violation hearings for New Era Sports & Entertainment associate Lloyd Lake not only detail alleged links between the marketing agency and USC running back Reggie Bush but also indicate contact with Trojan offensive tackle Winston Justice during the 2005 college football season.

    In the transcripts – acquired by Yahoo! Sports from the U.S. District Court in San Diego – Lake's attorney, Marc Carlos, contends that his client's sports agency was "in negotiations with recruiting Reggie Bush" and that the agency at some point considered "potential litigation – or a settlement involving Mr. Bush's involvement with that agency."

    San Diego-based agent David Caravantes, testifying as a character witness, claimed that he and Lake began working together in October to start a sports marketing firm that would be tied to the Sycuan Indian Tribe. That firm eventually took on the name New Era Sports & Entertainment. One of the tie-ins to the tribe was Michael Michaels, another one of the New Era founders who also works as a business officer for the Sycuans.

    The Sycuan Tribe, acknowledging it was approached by Michaels and Lake, told the Associated Press Tuesday that it had no role with New Era Sports.

    "There was a request to become partners in this New Era Sports," Adam Day, Sycuan's assistant tribal manager, told AP. "Both the tribal council and the development corporation board of directors refused to join into the business venture."

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    In the unsworn court testimony, taken on Jan. 30 and Feb. 6, in front of M. James Lorenz, Carlos produced a brochure put together by New Era Sports. The attorney then outlined Lake's role with New Era, and the marketing firm's involvement with Bush as a prospective client.

    Carlos alluded to a fallout between Bush and New Era, noting that there had even been potential litigation discussed by the agency for breach of an agreement on the part of Bush and his family.

    "He has been trying to get together a sports agency group," Carlos alleged of the attempt by Lake and others to form New Era Sports. " Apparently, they were in negotiations with recruiting Reggie Bush. And that matter is in litigation right now due to, I guess, representations made by Bush and his family to Mr. Lake's group."

    Carlos later revisited the alleged fracturing of the relationship between the Bush family and New Era, noting that a meeting was supposed to have taken place among members of the firm to discuss some form of litigation.

    "Apparently, what happened is that Mr. Bush – or through his associates – had made some type of agreement with Mr. Lake's group, the sports agency group that they had. There was a meeting to have happened. It was supposed to be on a Saturday where they were going to discuss potential litigation – or a settlement involving Mr. Bush's involvement with that agency."

    Carlos, reached Tuesday, declined to elaborate on the testimony.

    Details about Justice, a junior tackle who has made himself eligible for this weekend's NFL Draft, also surfaced during Lake's testimony. On Nov. 26, 2005 – one week before USC was to play UCLA in the regular season finale – Lake testified that both Justice and Bush were supposed to spend the night out with him. In his testimony, Lake explained his girlfriend had gotten upset with him for planning to go out with Bush, Justice and some of Bush's friends.

    "Well, I had a sports agency we had formed, and we had a guy in, Winston Justice, from USC," Lake testified. "And [my girlfriend] had planned to go out with us that night, but Reggie Bush came into town. And at that time, he was going to go out with us, so I told her all his friends were coming and that it wasn't a good night for us to go out, and that kind of got her upset."

    Lake said the group took a limousine to a club, and then eventually dropped Justice off at "Hotel Shalimar." There is no listing for a Hotel Shalimar in San Diego, however, there is an upscale $300 per-night resort in the city's Gaslamp district called "Hotel Solamar." It is unclear from the testimony whether Bush was part of the group that night.

    USC spokesman Tim Tessalone said the school was unaware of any of the details of the testimony.

    "That's the first that we've heard of it and I probably need to verify it with Winston," Tessalone said of Justice's name appearing in the testimony.

    Tessalone also told Yahoo! Sports that USC football coach Pete Carroll and athletic director Mike Garrett would be reserving comment until an ongoing investigation is concluded. An NCAA source confirmed Tuesday that the association has joined the Pacific 10 Conference in investigating the relationship between New Era Sports and Bush.

    Caravantes also gave details of the New Era Sports venture in his testimony.

    "Lloyd and I had got together in October to start a new sports management firm with the Sycuan, the Indian resort," Caravantes said. "And since then, Lloyd and myself, and some members of Sycuan and others, have put together a company called New Era Sports and Entertainment. And since October, Lloyd was a viable part of the company, helping recruit players, and in the process of merging this New Era Sports with Sycuan. In the process of this happening, you know, it obviously hurt the company because he had relationships with certain players who ended up not signing."

    Bush signed with agent Joel Segal and marketing representative Michael Ornstein. His family lived in a house owned by Michaels for most of the last year until moving out last week.

    Bush attorney David Cornwell and USC offensive tackle Winston Justice didn't return calls seeking comment.
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    Homeowner alleges Bush family paid no rent

    By Charles Robinson, Yahoo! Sports

    Michael Michaels, who owns the Spring Valley, Calif., home in which Reggie Bush's family lived for nearly a year, said Thursday he will file a $3.2 million lawsuit for fraud against the Bush family Friday to recoup unpaid rent and other finances given to the USC star's family.

    Michaels' attorney, Brian Watkins, alleged Thursday night that Bush's mother and stepfather, Denise and LaMar Griffin, failed to pay $54,000 in rent for the home that has become the center of a joint Pacific 10 Conference and NCAA investigation. Watkins also said that Michaels supplied money to the Bush family, including financing that allowed them to travel to several USC road games last season.

    Not paying rent and taking cash from Michaels could constitute extra benefits and a violation of NCAA rules by Bush. Student-athletes, their friends and relatives are prohibited from receiving extra benefits from professional sports agents, marketing companies or their representatives. A breach of these statutes could result in an athlete being ruled ineligible, and games in which they played could be forfeited.

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    According to Watkins, Michaels became involved with the Bush family after LaMar Griffin and Lloyd Lake sought to establish New Era Sports & Entertainment – with Bush as a future client – in November 2004, prior to the Trojans winning that season's national championship.

    Watkins said Michaels' role in New Era Sports was that of primary investor, and that Michaels' relationship with the family fell apart in recent months – after Bush signed with agent Joel Segal and didn't make good on a commitment to join New Era.

    "There was an agreement that they weren't supposed to live free and mooch in that house," Watkins said of Bush's family. "They were supposed to pay rent. But they never paid one dime. Their premise for not paying was that, ‘Next month, we'll pay you. Next month we'll pay you.'

    "Then it got to the extent where they were saying, ‘Well, don't worry about it, it's all guaranteed because we're going to be owners of this marketing and agency business, we'll give it to you out of our profits.' Twelve months passed by in that house, and not one dollar was paid."

    Said Michaels: "They took advantage of me."

    Bush has denied knowledge of any deal his family may have had with Michaels.

    Watkins said that after New Era Sports & Entertainment failed as a business, Michaels sought to recoup $300,000 in back rent and other finances spent while establishing New Era over the course of the last 12 months. The attorney said his claims will be documented by different forms of communication collected in recent months.

    Watkins said he had been negotiating a settlement with Bush's lawyer, David Cornwell, for the last three to four months, but moved to evict the Bush family from the home in early April.

    "Reggie said that, oh, he found them a nicer house and that's why they moved, but the truth is I served them with an eviction notice," Watkins said. "They did not pay any rent. To this date, they haven't paid any rent. We haven't even gotten the keys back from the house. That's what is going on here."

    During a 40-minute interview, Watkins laid out a timeline for the rise and fall of New Era Sports & Entertainment, along with the relationship between Michaels and the Bush family. Among the significant points alleged:

    * November 2004 – LaMar Griffin and Lake approached Michaels about investing in the sports agency. Watkins said Michaels met Bush and his family for the first time around this date, and was led to believe that the agency would eventually have Bush as a client.

    "There was the representation that Reggie would come with his stepfather," Watkins said. "Reggie ratified that."

    Shortly thereafter, Michaels introduced Griffin to the Sycuan Indian Tribe's governing council, at which time Griffin asked the tribe – while wearing a Bush USC jersey – to become investors in the agency. After the tribe declined, it was agreed that the partnership in the agency would be a three-way split between Michaels, Lake and Bush's family, according to Watkins.

    * April 2005 – Michaels allowed the Bush family to move into a new home he had purchased in Spring Valley. The rent for staying at the home was to have been $4,500 a month, according to Watkins.

    "LaMar and Denise had financial problems," Watkins said. "Then it became, ‘Oh, we need a little something. We need a little money here, we need a little money there. But don't worry, it will all be paid back with our profits from the business.' They were saying this to Michael, who was carrying the lion's share of the money put into New Era. Michael Michaels had purchased a home, and hadn't rented it out. Around this time, the Griffin family needed a place to live. Michael Michaels let them move into the house."

    * September 2005 through November, 2005 – Michaels provided money to help the Bush family travel to some road games during USC's season. Watkins did not specify the exact amounts given or the dates of travel to Yahoo! Sports.

    "Yes, there was support there," Watkins said. "The [Griffins] said, ‘Don't worry about it. We'll pay it all back. It's all part of the business.' "

    * October 2005– Michaels and Lake contact San Diego-based agent David Caravantes about a role with New Era Sports & Entertainment. Michaels and Lake offered to facilitate an interview with the Bush family.

    * November 2005 – Reports surface that Bush and his family are being advised by Reebok consultant Mike Ornstein.

    * December 2005 to January 2006 – Communication breaks down between Michaels and the Bush family. Bush hires agent Joel Segal by mid-January. With New Era out of the picture, Michaels considers ways to recoup his investment from the Bush family. "It fell apart when all of the sudden, LaMar Griffin and Denise would not return phone calls," Watkins said. "Voicemail messages, wouldn't return phone calls – they are missing in action."

    * April 2006 – Yahoo! Sports approached Denise Griffin about the home April 20. Less than 24 hours later, the family began packing up the house and the residence was vacated by April 22. One day later, Yahoo! Sports published a report about the house, including information that USC had requested a Pac-10 inquiry.

    The allegations by Watkins and Michaels conflict with some recent statements by Bush and his camp. Bush has denied knowing the financial arrangement between Michaels and his parents for the Spring Valley home, and he also denied ever having an agreement in place to join New Era Sports.

    Bush, who is expected to be the No. 1 pick in this weekend's NFL draft, declined to answer questions about the rental agreement again on Thursday, when several top prospects met with the media in New York.

    According to Watkins, the $300,000 figure "includes rent for the house and everything else" provided by Michaels. The remainder of the $3.2 million in the suit is for punitive damages.

    "We're going to contend that they never planned to go forward with this [agency]," Watkins said. "They knew it was just a ruse. They were taking money and taking money and LaMar put very little work into it. It ended up being Michael Michaels and Lloyd Lake doing all the leg work – Michael Michaels and Lloyd Lake giving all the money and everything."

    ESPN.com, quoting anonymous sources, reported Thursday night that the NFL Players Association and NFL Security had each independently concluded that Caravantes and New Era had used Watkins to demand $3.2 million from Bush. A source told ESPN that the NFLPA had filed a disciplinary complaint Thursday alleging that Watkins engaged in unlawful conduct by demanding payment in three letters dated Feb. 13, March 7 and April 26.

    A source close to Bush also told ESPN that NFL Security has contacted the top four teams in the NFL draft and told them Bush was the victim of threats.

    Watkins said the extortion claims were the last straw for Michaels, his client for the lawsuit.

    "Let me be clear about this: We never wanted to do this in the press," Watkins said. "I was going to file the lawsuit after the draft so it didn't create a hoopla. I figured, after the draft, if he gets his big contract, Reggie is more likely to settle, because he knows they owe this money. They defrauded my client. [Michaels] did all the work, gave the lion's share of the money.

    "The only reason we went public now is because the allegations have gotten so outrageous that I have to speak. When someone throws out the word ‘extortion,' we've got to speak. All that other bashing, we took it like men and smiled and prepared the lawsuit. Until they came out with this allegation of extortion. They brought this to the press. We didn't bring this to the press. We're going to be the plaintiffs in the case. They are going to be the defendants."

    Charles Robinson is the national NFL writer for Yahoo! Sports. Send him a question or comment for potential use in a future column or webcast.
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    AxtellAxtell Posts: 10,037 ✭✭
    Charles Robinson seems to have an axe to grind with Bush and his family. Heard him on the radio the other day and he was talking about how he had essentially staked out the house and was watching the comings and goings, and really seems to have a vested interest in this story...seemed to be personal for some reason.

    On the other hand, reports are surfacing that Bush's family has had threats of releasing 'personal and embarassing' information in exchange for 3+ million dollars.

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