Selig to seize Rangers; creditors to force team into bankruptcy

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What was merely suggested a week ago now appears all but certain. In response to Major League Baseball’s warning that it was going to seize the Texas Rangers from Tom Hicks and invalidate the debt that held by the creditors to Hicks Sports Group, the creditors have voted to reject the deal, reports Daniel Kaplan of Sports Business Journal.

The result of this is that when baseball makes its move — which should happen following the owners’ meeting scheduled for later this week — the creditors will sue, forcing the Rangers into bankruptcy court and potentially opening the sale up for other bidders.  It would be up to a bankruptcy judge to determine whether that comes to pass or, alternatively, if Selig is within his powers to kick the creditors to the curb.

Which seems like a lose-lose for baseball.

If the creditors prevail it quite obviously delays the sale of the team and possibly takes Chuck Greenberg and Nolan Ryan out of the owners’ suite in favor of a higher biddder, should one emerge.  This is clearly not what Selig wanted, inasmuch as everyone seems pretty pleased with the Greenberg/Ryan team.

But say baseball wins the battle, is able to shrug the liens off the Rangers, and pays them a pittance to go away, thereby paving the way for the sale. If that happens, isn’t every bank and investment fund who ever considered lending money to a sports team going to freak out? Why on Earth would any of them give money to a sports team if they have good reason to believe that the debtor could simply refuse to pay up and then have the league come in and invalidate the debt in the first place?

Sure, there’s a lot to be said for team owners being forced to operate within their budgets and not rely on so much debt.  I’ve said plenty on the subject in the past. But I don’t think most team owners agree with me on that score, and they can’t be all too happy about the prospect of having all sources of credit dry up.

Ken Giles: ‘I’m actually enjoying the game more than I did for my entire tenure in Houston’

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Blue Jays closer Ken Giles hasn’t exactly turned things around since joining the Blue Jays on July 31, when the club sent embattled closer Roberto Osuna to the Astros. Giles posted a 4.99 ERA in 30 2/3 innings with the Astros, then put up a slightly less miserable 4.58 ERA in 17 2/3 innings with the Jays. Still, he’s much happier with the Jays than he was with the Astros, even after winning the World Series with them last year. He said to Rosie DiManno of the Toronto Star, “I’m actually enjoying the game more than I did for my entire tenure in Houston. It’s kind of weird to say that because I won a World Series with that team. But it’s like, I just felt trapped there. I didn’t feel like myself there. Overall, I felt out of place.”

Giles also said “the communication was lost” with the Astros and it was something that came easy with the Jays. He said, “When I came here, they stayed patient with me. I said hey, I want to work on this thing till I’m comfortable. All right. OK, I’m comfortable, let’s move on to this next thing. Pitching, you can’t just try to fix everything at once. For me, I had to take baby steps to get my groove back. The Jays allowed me to do that. Yeah, the team was out of contention, but it doesn’t matter. It’s still my career. I still have to prove myself. Them being so patient with me, understanding what I want to do, was very, very big.”

Giles, 28, has two more years of arbitration eligibility remaining. He has shown promise despite his overall mediocre numbers. In non-save situations this season (with both the Astros and Jays), he has a 9.12 ERA. But in save situations, his ERA is a pristine 0.38. Giles could be a closer the Jays find themselves leaning on as they attempt to get back into competitive shape. Since it sounds like Giles is quite enamored with Toronto and with the Blue Jays, a discussion about a contract extension certainly could be had.