Frank McCourt has a "slush fund," secret partners and pays his kids to do nothing


John Weinbach of FanHouse reports some more unseemliness from the land of Frank McCourt and the Dodgers:

Over the past 18 months, the Los Angeles Dodgers paid nearly $4 million
in “consulting services” to [the John McCourt Company], an entity that
has done virtually nothing for the club, even as the team has made a
concerted effort to raise ticket prices, trim payroll and acquire
players on the cheap. Moreover, the club paid two of Frank and Jamie
McCourt’s adult sons large salaries — $400,000 and $200,000 per year,
respectively — for services that are undefined and could not be
described by either Frank or Jamie McCourt, according to court documents
filed in the couple’s divorce case.

Jamie McCourt’s attorneys call the John McCourt company a “slush fund” which Frank uses to hide money.  My guess is that she’s less critical of the big salaries her kids make for apparently do-nothing jobs.

In addition, there are apparently two limited partners in the Dodgers — guys no one ever knew about, but who provided considerable funds to the McCourts to buy the team — whose debt gets converted into “sizable equity” in the team if the McCourts default on the loans.

On the one hand this is shocking — and Josh Fisher does his excellent-as-usual job breaking down all of the implications, complete with an apt comparison to the Texas Rangers, who are poster children for what happens when good teams go into bad debts like the McCourts seem to have done.

On the other hand, I would not be at all shocked if multiple teams in Major League Baseball operated in just the same way, complete with family jobs, slush funds, silent partners and all manner of vehicles which, either intentionally or by happy accident, work to conceal the amount of cash a baseball team really earns and where its money is spent.  Baseball teams are almost all purely private companies, most of which are family owned. Despite their antitrust exemption and all of the tax money they consume in the form of public stadiums and the like, we know just as much about their operations as we do the corner gyro shop, and that’s just the way they like it.

The only difference here: we have a divorce case in which these machinations are laid bare.  And however distressing it is for Dodgers fans to see where all the money that should be going towards starting pitching is going, these revelations are educational and useful.

Kyle Schwarber has not been medically cleared to play the outfield

CLEVELAND, OH - OCTOBER 26:  Kyle Schwarber #12 of the Chicago Cubs reacts after hitting an RBI single to score Ben Zobrist #18 (not pictured) during the fifth inning against the Cleveland Indians in Game Two of the 2016 World Series at Progressive Field on October 26, 2016 in Cleveland, Ohio.  (Photo by Ezra Shaw/Getty Images)
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Earlier, Craig asked if Cubs slugger Kyle Schwarber would play the outfield now that the World Series has come to Chicago, where there will be no DH. The answer to that is no, it appears. Cubs president of baseball operations Theo Epstein said that Schwarber has not been medically cleared to play the outfield, CSN Chicago’s Patrick Mooney reports.

Schwarber returned to the Cubs sooner than expected after suffering a fully-torn ACL and LCL in his left leg during an early April collision with teammate Dexter Fowler in Arizona. In preparation to join the Cubs for the World Series, Schwarber went to the Arizona Fall League and reportedly saw over 1,000 pitches from machines as well as Single-A pitchers. He doesn’t look like he’s missed a beat as he went 1-for-3 with a walk and a double (that was very nearly a home run) in Game 1, then drew a walk and hit two RBI singles in five plate appearances in Game 2.

At least right now, however, it appears Schwarber will serve as a bat off the bench for Games 3, 4, and 5 until he gets medical clearance.

Trey Hillman is leaving the Astros to manage in South Korea

DENVER, CO - JUNE 1:  Trey Hillman #45 of the Los Angeles Dodgers walks onto the field to relieve Zack Greinke #21 (not pictured) after relieving manager Don Mattingly (not pictured) who was ejected earlier in the inning during a game against the Colorado Rockies at Coors Field on June 1, 2013 in Denver, Colorado. The Rockies beat the Dodgers 7-6 in 10 innings. (Photo by Dustin Bradford/Getty Images)
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Ken Rosenthal of FOX Sports reported on Thursday that Astros bench coach Trey Hillman is leaving the team to manage the SK Wyverns in South Korea. According to Jeeho Yoo of Yonhap News, Hillman will earn $600,000 in each of two years plus a $400,000 signing bonus.

Hillman, 53, managed the Royals from 2008-10 but the team wasn’t very successful, putting up a 152-207 record before he was fired early in the 2010 season. Hillman was the bench coach for the Dodgers from 2011-13, served as a special assistant for the Yankees in 2014, and had been the Astros’ bench coach for the past two seasons.

Per’s Brian McTaggart, the Astros released a statement which read:

Trey Hillman has accepted the managerial position of the SK Wyverns baseball club of the South Korean Professional Baseball League (KBO). We thank Trey for his contributions to the Astros success over the past two seasons and wish him the very best.

This won’t be Hillman’s first time working in baseball overseas. He managed the Nippon Ham Fighters in the Japan Pacific League from 2003-07.