Fred Wilpon

The Mets and Madoff: “Bernie was part of the business plan for the Mets”


Fred Wilpon has insisted since 2008 that the Bernie Madoff mess had little impact on the Mets’ baseball operations.  Even since last week, when it was announced that he would have to sell part of the team due to the Madoff losses, the sense has been that they are exclusively personal losses and that since the team is the Wilpons’ largest asset it was logical that he turn to the team for his capital needs.

There’s an article in today’s New York Times, however, which tells a far different story: Bernie Madoff and his investments were deeply involved in the Mets, and the Mets operations were highly dependent on Bernie Madoff:

When the Mets negotiated their larger contracts with star players — complex deals with signing bonuses and performance incentives — they sometimes adopted the strategy of placing deferred money owed the players with Mr. Madoff’s investment firm. They would have to pay the player, but the owners of the club would be able to make money for themselves in the meantime. There never seemed to be much doubt about that, according to several people with knowledge of the arrangements.

“Bernie was part of the business plan for the Mets,” a former employee of the club said … interviews with current and former associates of Mr. Wilpon and Mr. Katz, as well as former employees of the club, former employees of Mr. Madoff and others, make it clear that the relationship was substantial and that the role Mr. Madoff played in the financial life of the ball club and the Wilpon and Katz families was pervasive.

The more damning part of the article, however, involves the way that the Wilpons would steer friends and even Mets employees to Madoff investments.  Indeed, former Mets GM Frank Cashen says that his deferred compensation package after leaving the Mets was invested with Madoff.  He was paid before the bottom fell out, but he says that Wilpon and Madoff worked “in unison” he says that Wilpon and his partner Saul Katz worked “in unison” to push Mets employees to invest in Madoff securities. That famous Bobby Bonilla deferred money deal was also invested with Madoff.  Madoff also reportedly got many of his investors via introductions from Fred Wilpon, who the bankruptcy trustee suing him alleged knew or should have known that Madoff was a scam artist.

If what the many sources of this article say is true, the Wilpons are more than the victims they’ve made themselves out to be.  They were an important part of Madoff’s operation, whether they themselves knew the nature of the operation or whether they simply placed stupid blind faith in their close friend.

And there is no question that, by virtue of placing team-related investments with Madoff, the financial prospects of the Mets — and not just the Wilpons — was deeply harmed as a result.

Report: Yoenis Cespedes to opt out of contract with Mets

SAN FRANCISCO, CA - AUGUST 20:  Yoenis Cespedes #52 of the New York Mets hits an rbi double scoring Jose Reyes #7 against the San Francisco Giants in the top of the first inning at AT&T Park on August 20, 2016 in San Francisco, California.  (Photo by Thearon W. Henderson/Getty Images)
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Jon Heyman of FanRag Sports reports that Mets outfielder Yoenis Cespedes will opt out of his contract shortly after the World Series concludes. Cespedes, who earned $17.5 million for the 2016 season, has two years and $47.5 million remaining on his deal which includes an opt-out clause.

That Cespedes plans to opt out isn’t surprising as he’s almost certain to get a better contract entering a weak free agent market. He hit a terrific .280/.354/.530 with 31 home runs and 86 RBI in 543 plate appearances for the Mets this past season.

It remains to be seen how the Mets will deal with potentially losing Cespedes. They can pick up a $13 million club option for Jay Bruce, but he performed terribly after joining the Mets in a trade from the Reds. The Mets could also go after free agents Jose Bautista or Mark Trumbo. Curtis Granderson and Michael Conforto will handle the other two outfield positions.

David Ortiz and Kris Bryant win 2016 Hank Aaron Awards

CLEVELAND, OH - OCTOBER 26:  (L-R) Kris Bryant #17 of the Chicago Cubs, Major League Baseball Hall of Famer 2016 Hank Aaron, Commissioner of Baseball Rob Manfred and David Ortiz #34 of the Boston Red Sox pose during the Hank Aaron Award ceremony prior to Game Two of the 2016 World Series between the Chicago Cubs and the Cleveland Indians at Progressive Field on October 26, 2016 in Cleveland, Ohio.  (Photo by Jason Miller/Getty Images)
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Major League Baseball announced on Wednesday that former Red Sox DH David Ortiz and Cubs third baseman Kris Bryant won the 2016 Hank Aaron Award in their respective leagues.

Ortiz, 40, flourished in his final season, batting .315/.401/.620 with 38 home runs and 127 RBI in 626 plate appearances during the regular season. His .620 slugging percentage, 1.021 OPS, and 48 doubles led the majors while his 127 RBI led the American League. Ortiz also won the Hank Aaron Award back in 2005.

Bryant, 24, is the likely winner of the National League Most Valuable Player Award as well. He hit .292/.385/.554 with 39 home runs and 102 RBI over 699 plate appearances. He also led the league by scoring 121 runs. Bryant is the first Cub to win the Hank Aaron Award since Aramis Ramirez in 2008.

Last year’s winners in the AL and NL, respectively, were Josh Donaldson and Bryce Harper.