Owners quarrel with deal in limbo
By TIM TUCKER
The Atlanta Journal-Constitution
Published on: 08/07/05
The bitter battle within the Hawks' ownership group continued Saturday, with one owner suggesting that Steve Belkin's opposition to the pending Joe Johnson trade reflects Belkin's desire to operate the franchise "on the cheap."
Michael Gearon Sr., a member of the nine-man ownership group and a former Hawks president and general manager, said Belkin has clashed with his partners over how much to spend on the player payroll.
"I think that's the real issue here — one owner simply doesn't want to spend money to build this team," Gearon Sr. said. "This franchise is in critical condition, and we want to get it out of intensive care. Steve apparently has a different goal, and I'm afraid that's to operate this franchise on the cheap."
Gearon's son, Michael Gearon Jr., also is a member of the ownership group. Informed of his father's comments, Gearon Jr. said: "I agree with everything my father said. He's absolutely correct."
Not so, said Belkin, reached in Boston Saturday night.
"What they're saying doesn't make any sense, because any contract that [Hawks general manager] Billy Knight has brought to the board, I have approved, including the Joe Johnson contract," Belkin said. "What I'm disapproving of is giving away our valuable assets of two first-round draft picks [in the proposed trade]. It's not about spending money; it's about giving away assets."
Belkin said he used his power as the Hawks' NBA governor to block the trade with Phoenix for Johnson because he believes Atlanta would be giving up too much — Boris Diaw and the two picks. He said he continues to authorize extending to Johnson, a restricted free agent, a five-year, $70 million offer sheet, which the Suns have said repeatedly they would match.
Said Gearon Sr.: "You can authorize whatever when you're fairly certain the other team [will match]."
A trade with Phoenix is the only way to be assured of getting Johnson, but Belkin said Saturday he still thinks the Hawks should make the contract offer and test whether the Suns will match. He said his partners are unwilling to go that route. They say that's because they believe Phoenix would match, leaving the Hawks without the player they covet — and without the fat contract.
"I think there's a very good possibility Phoenix would not match," Belkin said.
Gearon Sr. said it's his "understanding" that Belkin has advocated internally a Hawks payroll "in the range of $32 million," while the overall ownership has budgeted a payroll of $48 million. Gearon Sr. said by blocking the trade, Belkin is "undermining" the higher budget.
"I think Steve's goal is to run the Hawks with a very low payroll," Gearon Jr. said.
"There is no evidence to support that," Belkin said.
"Steve has consistently advocated low payrolls relative to the rest of the league for the Hawks and the Thrashers," Gearon Jr. said.
Asked Saturday if he has advocated lower payrolls than his partners, Belkin didn't answer directly. He said: "I suggested spending our money wisely. . . . The important thing is, they can't point to one instance where I didn't approve a contract."
Tensions within the Hawks-Thrashers ownership group erupted early last week when Belkin refused to endorse the Johnson trade. The other owners, who collectively hold a 70 percent stake in the operation, strongly favor the deal, but NBA rules require the team's governor to endorse it before it can be consummated.
When Belkin refused, co-owner Bruce Levenson scheduled a Friday ownership teleconference to vote on removing Boston-based Belkin as governor. He responded by going to court in Boston and getting a temporary restraining order that prohibits his partners from removing him until at least Tuesday, when a hearing will be held in Suffolk County Superior Court.
Meanwhile, the Johnson trade remained in limbo Saturday.
"If [Belkin] wants to prove to the franchise he will spend money, he can make this deal," Gearon Sr. said. "This franchise was bought at a low price because it needed money spent on it, and that's something I'm not sure he's willing to do.
"There is a broader issue here, which is the future of the franchise."
Several of the Hawks' owners said Saturday they continue to push hard for the Johnson sign-and-trade because they think it's critical to the franchise's future.
"This is the most critical free-agent acquisition in the history of the franchise," Gearon Sr. said. "And I made the next biggest, Dan Roundfield."
The Hawks acquired Roundfield in 1978. Gearon Sr., now 70, was the Hawks' general manager for two seasons in the late 1970s and the team's president through the mid-1980s under then-owner Ted Turner.
Levenson said Saturday the team's owners have no reason to question Knight's judgment about the Johnson trade.
"I spent my first year as an owner speaking to other owners with track records of success, basketball execs and top player agents," Levenson said. "I asked them all the same question: 'How do you build a consistent winner in the NBA?' All of them said, 'Trust your basketball experts to make the basketball decisions.'
"We pay Billy Knight, our scouts and coaches millions of dollars to find talent and negotiate deals. Every single one of them strongly supports this deal. As owners, we need to support our basketball experts until through bad deals they lose our confidence. Billy has a track record of smart deals and draft picks. That's why I support Billy and his staff 100 percent on this deal."
Gearon Sr. rejected Belkin's contention that two first-round picks are too valuable to give up in the deal. "We've had, I'd estimate, 33 first-round draft picks since 1972," he said, "and not one of them has evolved into a player the quality of Joe Johnson.
"When you sign draft picks, you may not get good players, but you know you're going to get the players cheap. You've got to get key free agents or key players in trades, and when you do that, you've got to pay players."
By TIM TUCKER
The Atlanta Journal-Constitution
Published on: 08/07/05
The bitter battle within the Hawks' ownership group continued Saturday, with one owner suggesting that Steve Belkin's opposition to the pending Joe Johnson trade reflects Belkin's desire to operate the franchise "on the cheap."
Michael Gearon Sr., a member of the nine-man ownership group and a former Hawks president and general manager, said Belkin has clashed with his partners over how much to spend on the player payroll.
"I think that's the real issue here — one owner simply doesn't want to spend money to build this team," Gearon Sr. said. "This franchise is in critical condition, and we want to get it out of intensive care. Steve apparently has a different goal, and I'm afraid that's to operate this franchise on the cheap."
Gearon's son, Michael Gearon Jr., also is a member of the ownership group. Informed of his father's comments, Gearon Jr. said: "I agree with everything my father said. He's absolutely correct."
Not so, said Belkin, reached in Boston Saturday night.
"What they're saying doesn't make any sense, because any contract that [Hawks general manager] Billy Knight has brought to the board, I have approved, including the Joe Johnson contract," Belkin said. "What I'm disapproving of is giving away our valuable assets of two first-round draft picks [in the proposed trade]. It's not about spending money; it's about giving away assets."
Belkin said he used his power as the Hawks' NBA governor to block the trade with Phoenix for Johnson because he believes Atlanta would be giving up too much — Boris Diaw and the two picks. He said he continues to authorize extending to Johnson, a restricted free agent, a five-year, $70 million offer sheet, which the Suns have said repeatedly they would match.
Said Gearon Sr.: "You can authorize whatever when you're fairly certain the other team [will match]."
A trade with Phoenix is the only way to be assured of getting Johnson, but Belkin said Saturday he still thinks the Hawks should make the contract offer and test whether the Suns will match. He said his partners are unwilling to go that route. They say that's because they believe Phoenix would match, leaving the Hawks without the player they covet — and without the fat contract.
"I think there's a very good possibility Phoenix would not match," Belkin said.
Gearon Sr. said it's his "understanding" that Belkin has advocated internally a Hawks payroll "in the range of $32 million," while the overall ownership has budgeted a payroll of $48 million. Gearon Sr. said by blocking the trade, Belkin is "undermining" the higher budget.
"I think Steve's goal is to run the Hawks with a very low payroll," Gearon Jr. said.
"There is no evidence to support that," Belkin said.
"Steve has consistently advocated low payrolls relative to the rest of the league for the Hawks and the Thrashers," Gearon Jr. said.
Asked Saturday if he has advocated lower payrolls than his partners, Belkin didn't answer directly. He said: "I suggested spending our money wisely. . . . The important thing is, they can't point to one instance where I didn't approve a contract."
Tensions within the Hawks-Thrashers ownership group erupted early last week when Belkin refused to endorse the Johnson trade. The other owners, who collectively hold a 70 percent stake in the operation, strongly favor the deal, but NBA rules require the team's governor to endorse it before it can be consummated.
When Belkin refused, co-owner Bruce Levenson scheduled a Friday ownership teleconference to vote on removing Boston-based Belkin as governor. He responded by going to court in Boston and getting a temporary restraining order that prohibits his partners from removing him until at least Tuesday, when a hearing will be held in Suffolk County Superior Court.
Meanwhile, the Johnson trade remained in limbo Saturday.
"If [Belkin] wants to prove to the franchise he will spend money, he can make this deal," Gearon Sr. said. "This franchise was bought at a low price because it needed money spent on it, and that's something I'm not sure he's willing to do.
"There is a broader issue here, which is the future of the franchise."
Several of the Hawks' owners said Saturday they continue to push hard for the Johnson sign-and-trade because they think it's critical to the franchise's future.
"This is the most critical free-agent acquisition in the history of the franchise," Gearon Sr. said. "And I made the next biggest, Dan Roundfield."
The Hawks acquired Roundfield in 1978. Gearon Sr., now 70, was the Hawks' general manager for two seasons in the late 1970s and the team's president through the mid-1980s under then-owner Ted Turner.
Levenson said Saturday the team's owners have no reason to question Knight's judgment about the Johnson trade.
"I spent my first year as an owner speaking to other owners with track records of success, basketball execs and top player agents," Levenson said. "I asked them all the same question: 'How do you build a consistent winner in the NBA?' All of them said, 'Trust your basketball experts to make the basketball decisions.'
"We pay Billy Knight, our scouts and coaches millions of dollars to find talent and negotiate deals. Every single one of them strongly supports this deal. As owners, we need to support our basketball experts until through bad deals they lose our confidence. Billy has a track record of smart deals and draft picks. That's why I support Billy and his staff 100 percent on this deal."
Gearon Sr. rejected Belkin's contention that two first-round picks are too valuable to give up in the deal. "We've had, I'd estimate, 33 first-round draft picks since 1972," he said, "and not one of them has evolved into a player the quality of Joe Johnson.
"When you sign draft picks, you may not get good players, but you know you're going to get the players cheap. You've got to get key free agents or key players in trades, and when you do that, you've got to pay players."
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