Wild owner's loans helped secure sale of Predators

Bruce Bisping, Star Tribune

Craig Leipold

By MICHAEL RUSSO, Star Tribune

Last update: July 31, 2008 - 7:17 AM

Print this story

More from Minnesota Wild

According to the Tennessean, former Nashville Predators owner and current Wild owner Craig Leipold lent a California financier accused of fraud in several lawsuits, and the Predators, $20 million to help finalize the sale of the Predators and open the door for Leipold to purchase the Wild.

The financier, William (Boots) Del Biaggio, who owns 27 percent of the Predators, filed for bankruptcy in June and faces a federal investigation and a handful of lawsuits claiming he defrauded lenders.

Leipold sold the Predators for $176 million a month before his Jan. 10 announcement of the $260 million purchase of the Wild. He and the sports and entertainment giant, AEG, which is owned by Los Angeles Kings owner Philip Anschutz, are listed as creditors in the bankruptcy.

AEG lent Del Biaggio $7 million last October, while the Nashville newspaper reported Leipold lent Del Biaggio $10 million and the Predators another $10 million to help seal his deal to sell the Predators to Del Biaggio and a group of Nashville businesspeople.

NHL Commissioner Gary Bettman has said he never was told about the loans to Del Biaggio when the Predators' sale was finalized in December. If Bettman had been told, perhaps the league would have been alerted to Del Biaggio's financial troubles.

Del Biaggio has reportedly bragged that he avoided the NHL's screening process, which the league has denied. Bettman told the Tennessean that Del Biaggio didn't disclose the two loans on his ownership application papers, and that it would have been his responsibility, "not necessarily," Leipold's or AEG's.

AEG is suing Del Biaggio. The Star Tribune requested an interview with Leipold on Wednesday.

Wild Vice President of Communications Bill Robertson said Leipold declined to comment on the situation. The Wild organization did release the following statement, although it's regarding Del Biaggio's bankruptcy and not the loans Leipold made: "Mr. Leipold is disappointed to learn of these developments regarding Mr. Del Biaggio. Mr. Leipold has been pursuing his legal remedies, and he will continue to assert his claims against Mr. Del Biaggio in accordance with the applicable bankruptcy court procedures. In deference to the judicial process, Mr. Leipold prefers not to comment on the pending litigation against Mr. Del Biaggio at this time."

Parrish cut loose

Wild veteran Mark Parrish, 31, cleared waivers Wednesday and was released by the team after it filed paperwork to buy out the remaining three years of his contract. Parrish immediately became a free agent.

Parrish will receive $5,566,667 over six years, or he can negotiate a lump sum payment. The Wild will spread the cap hit over six years. It'll be charged $727,778 in Years 1 and 2 and $927,778 in Years 3-6.

For this year, the Wild saves $1,922,222 against the cap, and now sits at $52,649,277 against the $56.7 million cap.

A disappointed Parrish said his agent, Minneapolis-based John Vollan, has begun talking to teams.