MANILA, Philippines – Bob Arum’s Top Rank Inc. has branded Golden Boy Promotion’s (GBP) racketeering suit as “frivolous,” and it expects that the case will eventually be thrown out of court. GBP, owned by boxing superstar Oscar de la Hoya, accused Arum and Top Rank financial officer David Lopez of underpaying his firm in the last 3 Manny Pacquiao fights (Click here for related story). "As far as I'm concerned, this is a matter for the mediator," Arum said in a report posted on ESPN.com. "This is frivolous." GBP owns a percentage of Pacquiao's promotional rights based on the agreement they hammered before retired federal judge Daniel Weinstein. "We signed an agreement four years ago agreeing to binding arbitration on issues like this. They're going to end up paying us substantial legal fees. You can't bring an action like this if you've agreed to binding arbitration,” said the veteran fight promoter. He claimed that GBP’s suit was only meant to destroy his company’s reputation because it went public by going to a federal court. “They can't do this in a federal court. It will be thrown out. They filed this complaint because if they had done it in arbitration, it would have been confidential,” said Arum. “They know it will be dismissed and they will pay a big price for that,” he added. In a suit filed before the US District Court in Nevada, De la Hoya’s promotional outfit claimed that Arum allegedly ordered Lopez to send 16 accountings to GBP in the Diaz fight. The accountings "falsely claim[ed] that TR (Top Rank) received no income from sponsorships even though pictures of the Diaz bout show that Tecate beer, Affliction [a clothing company] and a company known as Smart were featured sponsors." GBP alleged that in the Cotto fight, Top Rank falsely reported Pacquiao's purse. GBP’s asserted that based on its financial reports, Pacquiao's purse was $15 million, which is different from the $7.5 million filed with the Nevada State Athletic Commission. GBP likewise claimed that similar “deceptions” were also present in the Clottey fight with regards to the money generated by sponsorships. There were also questions regarding the alleged inflation of travel expenses, sanction fees and training expenses for the fighters, which were allegedly done to mark down the profit of the event. Arum’s lawyer, Daniel Petrocelli, told ESPN.com GBP’s case is "completely fictitious.” "They are only doing this to get to cheap publicity. They will all bear responsibility," he said.
Top Rank's Bob Arum
Golden Boy Promotions' Oscar de la Hoya
Credits: abs-cbnnews.com
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