The Ethics Cloud Over Ballmer's $2 Billion B-Ball Buy
theodp (442580) writes '"It is hard to imagine any more heinous way of earning money than by benefiting from racism," writes Rick Cohen, who argues that Donald Sterling and the NBA owners are being unjustly enriched by Sterling's racism, which led to the $2 billion sale of the L.A. Clippers to ex-Microsoft CEO Steve Ballmer, a record-high sum for an NBA team. "Indeed, the only losers in the Sterling affair are the players," adds the NY Times. "What held promise as a possible D-Day in the N.B.A., a day when N.B.A. owners stood up to be counted and voted Donald Sterling out of the league, instead turned into a great day for the status quo." Forbes contributor Robert Wood speculates that if he plays his cards right, Sterling's windfall could be tax-free.'
Ethics? Ethics in the corporate world is what gets you the most cash. The corporate assholes live in a scruple-free culture.
I thought the story would be about the pimp who organized the entire scam....Baseball team will have to do for now....
Is it that he's being paid a market price for his team? How could it have been otherwise?
Here's Slashdot cheering the thought police. The man was baited into saying something in a private phone call. Where are our privacy champions now? What a bunch of frauds. We cheer Snowden because the media tells us to, but then champion spying on someone because the media tells us to.
What an incredibly stupid thing to post on Slashdot. the ONLY link to technology is Ballmer's name.
that no matter what, ** SOMEONE ** is gonna bitch about ** SOMETHING ** no matter what happened. Can't please all the people all the time.
The NBA should cancel the team's franchise.
Cancel ALL the contracts of the players and put them into the draft pool.
The worst team could get Blake Griffin.
The Lakers would like to be the only team in town again.
Sterling gets NOTHING, the NBA would have to defend itself.
The other owners would not like the precedent of losing a franchise.
That would send a clear and harsh message.
Anything else is just decoration for the masses.
Sterling never did anything illegal, he was just an old biggoted man. There exists no punishment society can inflict on him beyond personal actions like boycotting or just not liking him... So what gives? Why do people think that he can be robbed of an asset for being a biggot?
He has first amendment protections to be as big of a douchebag as he wants. His privacy was violated by his mistress and he was doing nothing illegal. The NBA has no grounds to force him out or deny him profit from the sale of an asset he shouldn't be forced to sell.
...especially not on this site. Beyond the fact that mentioning "Steve Ballmer" sends certain IT industry people off the deep end, there's really nothing significant here. It just feels like a me-too article posted at the tail end of scandal...
I'm pretty sick and tired of this crusade against capitalism all over the world, where anyone who makes a lot of money is either evil, unethical, or oppressive to his employees.
Then you have folks like Thomas Picketty who preach to the socialist choir, and writes all the shit the lefties wanna read. Nevermind he's a millionaire himself.
We need more Ron Pauls.
This sounds like there is an interesting story, but I'm on the other side of the world and no nothing of basketball, what did he do/say ?
So, what was he supposed to do? Give the team away? They kicked him out of the league. The only way to get him out of the league is to force him to sell the team. The team is, apparently, worth $2 billion. Thus...
I think he's a racist asshole as much as the next guy but, seriously, what did anyone expect? He wasn't going to give the team away, that's for damn sure.
Donald Sterling planned this to find a way to avoid unecessary taxes. good on him.
The whole racist recording was a set up by him and his girlfriend, who also will gain from the sale.
Um, hi. I have "ads disabled" checked for excellent karma. Ads are _not_ disabled. They are very annoying and potentially malware laden. Please fix.
A dancing sweaty clown
Took us 30 years to fire this no talent ass clown from our company, all because employees rarely voted with their (heavily diluted) share awards, now MSFT is going to break $50 and bust $60 per share (assuming they don't further dilute it for more lame stock awards).
Seriously? Are you saying if you say the wrong thing, horrible as it may be, you should lose all your assets? 2 billion dollars worth? I'm fine with him having to sell his franchise as there are franchise rules he had to abide by, but they can't just take his money from him because he said something mean.
We ought to outlaw selfishness. Everyone should always work towards the common good.
How inappropriate to call this planet Earth, when clearly it is Ocean.
More like "Ignore my checkbox to Disable Advertising". I'm still seeing banners at the top of the content and at the top of the right column.
Get free satoshi (Bitcoin) and Dogecoins
'"It is hard to imagine any more heinous way of earning money than by benefiting from racism," ... Well, lets think, you could run a child prostitution ring, child slavery, people trafficking, run a pharmacutical firm/country that denies poorer people medicine or be a banker. Not hard to imagine at all. (not sure what the rest of the summary was about as I did not read it.
For the hundredth time, vulcan, we're not joining any goddamn federation of planets!
SJW's don't eliminate discrimination. They just expropriate it for themselves.
nt.
Fuck systemd. Fuck Redhat. Fuck Soylent, too. Wait, scratch the last one.
I couldn't care less if he bought the Vatican.
Sure you can, if there are rules in place for penalizing you for being mean. And a person can agree to abide by those rules.
Absent those rules, you can also decline to enrich somebody, without taking everything from them, and Sterling's assets are not solely or entirely the LA Clippers, so that's a moot point. The NBA isn't concerning itself with those other assets.
Ah, no. Unless there is a plan to divy up $2B that I don't know about.
I come here for the love
...that Sterling would be laughing all the way to the bank on this one, I'm happy for him.
The First Amendment may not apply to corporations (when it should apply to all that do business within the US), too bad he didn't get even more than 2 billion for the team...
Donald Sterling is a piece of shit but he owns the team. He's spent his money investing in the team (even if he's done a crappy job of it, since, well, forever), just because he's a racist bigot doesn't mean anyone should have the right to just take the team from him after he's put very large sums of money into it.
So, the NBA did the next best thing--they're going to force his hand to sell the team. And because he's being forced to sell the team, I see nothing wrong with him getting market value for it. Los Angeles has two teams, and Ballmer really wants to put a team in Seattle since douchebag deceiver Clayton Bennett moved the SuperSonics to Oklahoma City.
So,
1. The African American community can rejoice that a piece of shit racist is no longer there to profit from them, at least within the Clippers organization
2. The NBA avoids any further PR issues regarding Sterling and they can tout their commitment to diversity
3. Ballmer gets a team like he's wanted for quite some time now
4. The Seattle community will finally have a basketball team again
5. Sterling gets a good sum of money to stay the fuck away
I'm missing what exactly this guy wants to happen? What, is the NBA supposed to strip the team from him without compensation and give it to African Americans as a community-owned team or something? He was already suing for being forced to sell the team, yeah, I'm sure that'll go over well.
And if he is to be compensated, sure, the NBA could try to put a cap on the amount of money he gets paid (and this is also legally questionable), but if that's the case, how do we determine who gets the team if potential owners can't compete by being the highest bidder?
So what the fuck does this guy expect? This is the best possible legal outcome for all parties involved!
Scorta futuere amo!
Will someone please think of the poor millionaire ball players? It's just not fair!
The two rules for success are:
1) Never tell them everything you know.
Looks like spending $425k on lobbying to defeat the WA State income tax may have helped Ballmer save nearly $200 million on this $2B deal: Income Tax Quashed, Ballmer To Cash In Billions
He spent 2.2 Billion just to have the opportunity to throw chairs in public again?
There are many things you can buy for 2.2 Billion. This is one of them.
It is hard to imagine any more heinous way of earning money than by benefiting from racism," writes Rick Cohen
I find the whole thing hilarious, all the old man said was "I don't want to be around or associated with blacks" to a woman who is on video as saying
"Blacks are stupid and crazy"
http://nypost.com/2014/06/01/s...
Then the media circus is queued and he is "forced" to sell the team, winds up getting 2 billion tax free.
Racism never entered into it, if a person says "I don't want to be around those kinds of people" it isn't "racism" it's a personal preference.
My suggestion is that things went exactly the way Sterling wanted them to, and it's hilarious, the other option is that he was played to get the team out from under him.
"If any question why we died, Tell them because our fathers lied."
The signatures on the letter reads like a who's who of ISP industry presidents and CEOs, including AT&T's Randall Stephenson, Cox Communications' Patrick Esser, NCTA president (and former FCC commissioner) Michael Powell, Verizon's Lowell McAdam, and Comcast's Brian Roberts.
Case closed, we all know they know what's best for us, right?
There is a war going on for your mind.
What you say is obviously communist.
The real way forward is that 99% of the people must work for the common good, of which the 1% gets more than everybody else. Because they deserve it.
I don't want to see anyone robbed of anything. But this just goes to show that not much has changed in this country. Sterling et al. believe they actually are superior to black people and black people are more like property than anything, no matter how much they get paid. $2 Billion goes a long way to confirming that belief. As do the comments to this story.
What surprised me is that people actually expected a different outcome. Did they forget where they were? The lesson here as usual: black people are simply not apart of the economic experience the same way white people are. It's going to take more than boycotting one owner and corrective attempts from one sports league to change that. Until that day comes, we're going to have this "welp, blacks shown their place once again".
I know slashdot loves to hate on the rich and all, but lets have some facts here.
This entire gripe seems to be based on the premise that he's filed as an "S Corporation" and therefor "It's not taxed! OMG!"
Well, that's not accurate.
From Wikipedia:
In general, S corporations do not pay any federal income taxes. Instead, the corporation's income or losses are divided among and passed through to its shareholders. The shareholders must then report the income or loss on their own individual income tax returns.
He'll be paying taxes. It's just a matter of how and when.
Then there's the argument that he may win $1billion from the NBA during a lawsuit. Well good. This is the united states. He should be able to say what he wants no matter how stupid and offensive it is, then we should be able to boycott his business. The NBA may or may not have been right in what they did, I've no knowledge of the particulars of their contract. But that is exactly what this is, a contractual dispute.
Wow .. I wish I could be a loser to the tune of a million or two a year.
What a great opportunity to take something said in private, blow it all out of proportion, just to make a social statement. I hope I never become rich and famous and have to worry about someone illegally taping a private conversation and making it public so everyone can throw a hissy-fit. As long as I'm just a regular person, my special friends won't have an opportunity to blackmail me for something so ridiculous.
It is NOT illegal to be a racist. It is NOT illegal to have private racist thoughts. It is illegal to discriminate.
One can attack actions, but it is Orwellian to attack private comments. Everyone on here that whines about privacy should be shouting at the treetops against this invasion of privacy.
I rarely read replies, it's my opinion and if you thought about your opinion a little more, I'm OK with that.
In other words, you want us to be communists.
Communism is great so long as everyone involved are always equal and always are treated as such.
We all know that such a scenario is outside of human nature - even if we were to implement a perfect communist system today, 10 or 20 or even 50 years down the road there would be stratification between citizens in such a system and it would turn into a scenario similar to what communism has brought to China, or had brought to and eventually destroyed the USSR.
Because of human nature, communism will _never_ work.
I just RTFA. Even though some of the techniques the author speculates go beyond questionable into the realm of "no fucking way could he get away with that" (claiming a forced sale, claiming a loss), NONE of them actually eliminates taxes on his gain. They change the amount; they shuffle the timing around; but again NONE of them results in a "tax-free" windfall.
He merely liquidated assets he already owned that were worth that much.
What's the difference?
"Section 1033 of the tax code allows you to defer taxes when your property is taken involuntarily, like eminent domain. Mr. Sterling can argue the Clippers sale was forced on him by the NBA."
So who wants to bet Donald Tokowitz and his accountants planned this from the start?
Dream on, anonymous coward. There is NO WAY IN HELL that any of the current or prospective franchise owners would ever agree under any circumstances to any clause like that. Do you think they would ever subject themselves to the possibility of losing their capital gains on the whim of public opinion's judgment of something they said in private? Besides, even if they did (which they wouldn't) that would be the mother of all court battles to determine if the contract term applied. And it would NEVER be invoked again.
thought that Ballmer reeked of Ethics?
- Zav - Imagine a Beowulf cluster of insensitive clods...
Obviously the old creep issued some really nasty remarks and the NBA really doesn't need owners that degrade the climate of the sport. Conversely we very well have an elderly man who is more or less in the throes of dementia. Questions such as how does the Americans With Disabilities Act pertain to unfortunate or ugly remarks by an afflicted person may be relevant. Beyond that is the glaring issue of forcing his wife to sell as well. After all, she is an individual, and deserves the full protection of the law just as we all do. The NBA took the position that she must sell due to the fact that she is married to the creep. And even above all of those issues is an even more troublesome issue of allowing any party other than the judiciary to assign punishments. Suppose you are running a business and discover that you have a racist as an employee although he is rather quiet about his beliefs. Can you fire him with impunity? Keep in mind that racism is sometimes perceived where it does not exist or the group in question may not be popular. For example if you employ someone from Palestine and fire him he will find a lot less recourse in the American justice system than if you fired a Jewish person. Also many businesses use false pretenses when discharging an employee. Can society afford to get involved in all of this sort of thing?
Capitalism is great so long as everyone involved are always equal and always are treated as such.
Insert example from history (or the present here). Plenty to choose from.
Because of human nature, capitalism will _never_ work.
Here, fixed that for you, now you just need to throw in an example from history. Yeah, I could do it, but why should I do all the work?
Mobile Safari gets banners at the top and obnoxious floaters at the bottom. On iPhone the floater often goes off the side and doesn't zoom right, making the dumb "hide" button hard/impossible to get at.
It's better than Beta, but not much.
the feminists were out w/torches & pitchforks b/c the show made a sex scene between Jamie & Cersei more "rapey" than same incident was in the book. someone wrote "there is NOTHING worse than rape!" to which I replied "the woman at the beginning of that episode who was hunted, shot in leg w/arrow, mauled by dogs & left to bleed out in woods might beg to differ..."
But Sterling got rich as a personal injury lawyer, and then mega-rich as a slum lord. He's the one man in America *everybody* can despise. Ballmer has actually found a situation where he can step in and people will heave a sign of relief.
Well played, sir. Well played.
Post may contain irony: discontinue use if experiencing mood swings, nausea or elevated blood pressure.
And I'm sick of how statistically speaking, anyone who makes a lot of money is either evil, unethical, or oppressive to his employees.
There are two kinds of statistics --- the kind you look up, and the kind you make up.
[Archie Goodwin, in Rex Stout's Nero Wolfe novel Death of a Doxy (1966), Statistics]
...funny how the NBA doesn't come down on players who call each other the n-word while on the court, etc....they just don't happen to be recorded or it doesn't happen to come up.
Funny how that works.
It is hard to imagine any more heinous way of earning money than by benefiting from racism
Sure. But it's hard to imagine a sweeter and more praiseworthy way to earn money than at the expense of racism. Ballmer would have paid Sterling WAY more for the team if Sterling hadn't been outed as a scumbag.
Next you'll say all those Union (Civil War) or Allied (WWII) soldiers had a heinous way of earning money by killing racists.
but why should I do all the work?
Not sure if this joke was intentional or not...
Wow. A rich bastard gets even richer. Shocking news. (yawn).
'"It is hard to imagine any more heinous way of earning money than by benefiting from racism," writes Rick Cohen
I guess Rick Cohen has never been to or heard of a donkey show.
If you prefer to live in a state that requires two-party consent to record, be my guest.
Just don't ever complain if a police officer ever takes away your camera as they're beating you senseless. (In other words, when an injustice is being committed, you cannot expect the unjust to permit their acts to be made public. One-party consent states doesn't have this issue.)
The NBA is a private association with it's own governing charter. It's a billionaires club. If all of the other members of the club hate you because you have a LONG HISTORY of being a total racist, cheapskate, and litigious dick, it is within their right to throw you out. Additionally, his wife had him declared incompetent, so legality is even less of an issue. As for the "baiting", even if we ignore his long history of bad behavior, he insulted Magic Johnson - one of the greatest players of all time, and the guy who's statue he walks by every time he enters the Staples Center - IN HIS APOLOGY. Yes, he said he was a bad influence him for HAVING HIV. Yes he said he could be "doing more" for the community - the guy who opened hundreds of new businesses in black neighborhoods across LA. Oh, and that apology took him a week, and in the meantime, he said he should have just "paid her off". Also, BOTH teams (including his own) were going to refuse to play (in the playoffs) if the commissioner didn't act. NO ONE liked him, not even those who worked for him. If you want to talk about freedom, how about the freedom to not have to deal with this jerk? I believe they always had the legal authority to kick him out, but his history of litigious dickishness would have cost them billions in legal fees and bad PR. Carpe Diem. And Ballmer (not famous for his likability) will be a HUGE upgrade.
Perhaps a better attack would be to explain the fallacy of the remarks on communism and how it actually does\doesn't work instead of your non-response.
Rich are not harming anyone? Walmart comes in and now, due to their economies of scale, nobody else can compete. 50 jobs just became 10.
providing the employees jobs Yes, and they can demand frequent urinalysis to verify I'm drug free (and who knows what else). Or demand I sign a contract that gives them ownership of anything I do in my off-time. I've seen plumbers working part-time barred from fixing their own mother's sink due to those contracts. Employers do like to provide only part-time work insufficient to live off of. Or, for programming jobs, demand insane levels of overtime that nowadays can put you below minimum wage (thanks Seattle). Check out some of those warehouse web-package-fulfillment jobs sometime. The working conditions are brutal! Folks get permanently disabled or killed, all so the fat cat at the top can get rich.
The issue is what protects the rich from harming the working class for profit, and the answer is distressing little. We've seen this pattern through history. The french revolution triggered by the year without a summer. Germany in the 1930s... It always ends very badly for the rich.
Upthread somebody mentioned that the league legally owns the team and the franchise owners are more like operators. That didn't sound right, so I did some research. This tidbit from a news article makes it sound like that is the case:
The ownership hearing had been scheduled for next Tuesday after the NBA charged Sterling with damaging the league with his racist comments that were recorded and released. A three-quarters vote of owners to support the charge would have terminated the Sterlings' ownership, and the league would have sold the team.
If the contract you signed allows the league to terminate your ownership you should not be whining about your $2 billion windfall. To stop the league from doing this, Sterling's wife (acting as a legal representative of the Sterling family trust) sold the team to Ballmer. The sale was entered into voluntarily, and even if it wasn't it sounds like the league has the ability to just confiscate the team.
Enigma
Remember racism is not illegal. Discrimination based on race in the workplace is.
Thoughtcrime is currently not illegal, but they (the media + the powers that be) are trying their damned hardest to make it so.
Remember that guy, Harvard University President or something, he was caught saying "maybe we shouldn't be so obsessed with pushing more women into math/science, after all women on average show less aptitude in those fields". He was vilified in the media as being worse than the Devil and Hitler combined. He was fired like the next day. All for saying what pretty much every average Joe knows already.
I swear, I'm all for high tech and scientific research, except when it comes to mental technology. Because if they ever make a thought detector, you just KNOW they're gonna use it to sniff out people with impure thoughts and round them up. They're trying to do it right now even though they don't have a mental detector.
Toss every single employee of the organization into prison for life. Toss THEIR families out on the street and burn all their houses to the ground. Then pass a Federal law enslaving all white people in America.
Would THAT make amends or should we wage genocide on them as well?
We've traded someone who flings rascist insults to a grown man who flings chairs.
Who said progress wasn't dead?
-- Political fascism requires a Fuhrer.
He lost the difference between what it was worth to him and what he got by selling it. If this was not a loss, then he would have sold it spontaneously, which he obviously didn't.
Don't forget the taxes. If he claims this is a forced sale then he saves $300M on taxes. That could put a dent into that "loss", maybe turn it into a "win".
I don't get all of the talk about how this is a reward. He could have sold the team at any time of his choosing.
The reward comes from the IRS, if he claims this is a forced sale then he saves $300M on taxes.
Nobody is being "enriched by Sterling's racism". The guy owned the team already; he was already rich. Forcing him to sell the team merely turned his capital asset (the franchise) into liquid assets (the money from selling it). What exactly are you proposing, he be stripped of his property for uttering a racist comment? What next, stripping people of their property because they make a derogatory comment about gays/Muslims/Christians/women/vegans/capitalists/socialists/lumberjacks? Seriously, it's time to let Sterling fade into obscurity.
He may claim that the sale is an Section 1033 involuntary conversion.
This would skip the capital gains tax.
But his statement that violated NBA rules that forced the sale was voluntary.
I don't see how he can claim that the train that he put (perhaps unintentionally, perhaps not) in motion is not of his own doing.
Sorry Jack . . . CA is an all-party consent state, and therefore the recording itself was illegally obtained. What that bitch did absolutely violated CA law and the real question people should be asking right now is why she isn't in jail yet. You think that wouldn't happen if one of us upstanding citizens decided to record some CA legislature, for example, accepting a bribe? We'd be in the clink faster than Ballmer can throw a chair.
NBA players are well paid by an professional sports standards, and with Sterling gone they rid of one the NBA's worst owners even when ignoring the most recent scandal.
Pics or ... oh hell!
Have any players been banned for life for causing physical harm?
http://en.wikipedia.org/wiki/L...
Nope, Javaris Crittenton is currently involved in the legal system for murder. Gilbert Arenas pulled a gun on another player over a dispute in the lockerroom.
There are a number of other examples, but I guess causing actual harm is less bad for the NBA than embarrasing the NBA and its sponsors.
Bring back the old version of slashdot.
In capitalist USA, productive assets are transferred based on media campaigns against people. See also Brendan Eich.
This is insane. Forcing someone against his will to sell his team *because you don't like words he said in private and which were recorded, probably in violation of the law and almost certainly without his knowledge* and begrudging him (and his innocent wife) his profit isn't enough - you want also for the other owners to forfeit theirs too because of it?
He's a doddering, bigoted anachronism. How is that worse than violent felonies that have been committed by some NBA players? Should they be banned from the NBA?
Perfect!
The guy my ex girlfriend left me for dropped her for someone he works with! Your spell works fast! Of course she called me but I want nothing to do with her. I love knowing I had everything to do with this, kizzekpespells@outlook.com is the best spell caster in the world.
Wonder why percentage of Microsoft employees were African American?