Report: Mets, Wilpons Face More Madoff Allegations

NEW YORK (WFAN/AP) — The Wall Street Journal is reporting the Mets’ owners are “expected to face additional allegations” from a court-appointed trustee who is trying to recover money for victims of the Bernard Madoff Ponzi scheme if they fail to reach a settlement.

The Journal, citing unidentified sources, reports that attorneys for Picard have informed Fred Wilpon and Saul Katz that additional allegations about amounts invested with Madoff will be added by March 18.

The trustee, Irving H. Picard, sued Wilpon and Katz and entities related to Sterling Equities in December, seeking at least $300 million.

RELATED: Kallas: Can They Settle? | Fay Vincent: Mets’ $25 Million Loan A ‘Concern’

Picard claimed the Mets profited with their Madoff investments and ignored warnings that his high returns might be false. Losses in the Ponzi scheme are estimated at around $20 billion.

It seems every day brings more bad news for the Wilpons, who announced in January they were looking to sell a non-controlling interest in the team of 20 to 25 percent to raise several hundred million dollars.

The New York Times, citing two unidentified people briefed on the club’s finances, reported on its website Tuesday night that the Mets can’t count on receiving any more money from the commissioner’s office to help cover expenses.

“Baseball’s decision to restrict the Mets’ access to further emergency funds could leave the team’s beleaguered owners … without their best remaining source of cash as they struggle to maintain control of the team,” the paper reported.

The New York Post reported on Monday that the Mets are “desperately” seeking a new loan to cover basic operating costs.

“JPMorgan Chase … is trying to recruit other institutions to join a syndicate to put together a new loan that would tide the Mets over until they sell a minority stake in the ballclub,” reported the Post. “A well-placed source said both the Mets and Major League Baseball are exerting strong pressure on JPMorgan to make that loan happen.”

The new loan could add up to “tens of millions of dollars,” according to the paper.

“The story is inaccurate,” a JPMorgan Chase spokesman told amNewYork. “We are not in discussions to syndicate a new loan for the team.”

Wilpon has said his family was a victim in the scheme.

Will more Madoff allegations force the Wilpons to look at a majority sale? Let us know what you think in the comments below…

(TM and Copyright 2011 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2011 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

pixy Report: Mets, Wilpons Face More Madoff Allegations
  • dabooch

    Managa Mia, a little chicken soup may help. A new concession stand could be set up next the Burger Shack and maybe the court system could assign Mr. Bernnie Madoff to dole out the hot broth between his nightly stints in the can. The question should be asked, could the cross town rivals launch a life ring over to the SS Mets? Or, how about the Mets best fan Mr. Long Island D. Trump? Pistol Pete Rose could take action on the game, all he would need is a folding card table and chair. How about unloading some of the driftwood salaries D Wright, K Rod, Santa Clause Santana, Mr. Beltran, Jose`-Jose` $75,000,000 of salarie dump. The Mets will never be the same again, another promotion would be to put Bernie’s picture on the back of a Met hat, circled with a thick orange line going through it.

  • Louis Sepulveda

    The best thing would be for the Wilpons to sell the team, Stop having the fans suffer through your mistakes in Business. Trump, Cuban or anyone who could buy the team would be an upgrade.

    What I fear is the having the team still owned by the Wilpons and them not being able to spend on the team because of this Madoff Scam!

    • Charles

      Louis, the Mets do spend, Mets payroll is $150 mil, 4th in the Majors, 2nd in the NL for this year. The Mets payroll has been the highest in the NL for 7 yrs & in the top 3 in all of baseball the last 10 years.

      Mets spend money on free agents every year. Beltran, Santana, K-Rod, Alou, Martinez, Wagner, Glavine & Bay just to name a few. You think these guys came up from the farm system.

      In 1992 it was the highest in baseball when they were dubbed “the worst team money can buy” because they signed a bunch of free agents, like they still do, and finish 5th & 24 games back. Mets don’t spend money, guess again.

  • Mark Twain

    Mamas don’t let your babies be Mets fans
    Don’t let them wear Wright, Reyes, Bay, Pelfrey or even K-Rod
    Let them wear Jeter, Rivera, Cano, Pujols, Halladay and even A-Rod

    Mamas don’t let your babies be Mets fans
    Just look what it’s done to their daddies
    It’s made them miserable, jealous & envious of others
    Even of someone they love
    Mamas don’t let your babies be Mets fans

    • stats1203

      Yankee fans, find something better to do

      • Mark Twain

        This makes out day, plus teasing Mets fans is so easy, you’re easy targets, always have. You Mets fans love to dish it out, but can’t take it. Always crying.

        Yeah, you thought we forgot all the stupid comments Mets fans have made about the Yankees, the players and the fans, most not true, but we have not forgotten & now it’s pay back time. So go crying somewhere else.

        What is it, you can’t handle the truth? Mets & their fans are great joke material, have been since I was a kid in the ’70’s. So stats1203, you think you’ll be wearing your Mets jacket this summer or you’re too ashame to wear it, that’s if you haven’t burned it already? LOL,LOL

  • Paul 25

    Mark Cuban. Where are you???? Smart, passionate and fans and players love him. We need to get rid of daddy and his little boy. Save face and whatever money you have hidden and GET OUT.

    • Peter 26

      Mark Cuban. I’m surprise you’re not asking for Michael Jordan. He also owns a NBA team.

  • Cipolla

    Is Nelson Doubleday still alive? maybe he could buy back the team. I have about 21 dollars and 14 cents in my wallet, could I be a minority owner? My first act would be to stop paying Oliver Perez for his services, I would rather be sued for non-payment then give one more penny to that overpaid piece of blank. next I would sue Omar Minaya for theft of Intelligence. I really believe my IQ has dropped these past few years. Thanks alot you bunch of crooks , you could take your 8 dollar cheese fries and stuff them up your blank

  • Kevin

    Fred and Jeff, do you need a place to stay? Sell the team and you can stay with us.

  • Carol

    Do the Wilpons need a sign from God? Locusts, beetles, snakes or floods?
    The writing is on the wall for the Wilpons, sell the team and bow out with some dignity.
    MLB SHOULD NOT PRESSURE JP Morgan Chase to finance a loan to this sinking ship. This economy does not “more bad loan” debt.
    MLB SHOULD PRESSURE the Wilpons to pack up their tent and go!

    • Johnny "baseball bat"

      if only it was that easy. Do you happen to have a few hundred millions in your Prada bag? if not, it’s best you say nothing because you make it seem like MLB has control of the teams, they don’t, the Mets are a private company, such a move could lead to backlash from other owners, and low ball offers from prospective investors. Like most Mets fans, you need to forget about sports & keep watching Oprah, Sex in the City & the View, that fits you better.

  • happyman

    when r we gonna hear good news about the mets?

    • Nigalass Gage

      When they announce the NEW OWNER!

      • Vince

        NEVER!!! NEVER!!! It will be Groundhog Day forever. It will be Groundhog Day forever. It will be Groundhog Day forever.

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