Golden Boy Promotions has filed a lawsuit against there rival competition, Top Rank on Tuesday, accusing them of racketeering and millions of dollars in fraud. The 23-page suit filed in U.S. District Court in Nevada, is accuses Bob Arum of a pattern of purposefully trying to hide millions of dollars Top Rank allegedly owes Golden Boy related to money generated from three Manny Pacquiao fights.
Golden Boy, which owns a percentage of Pacquiao’s promotional contract, is seeking damages “in the range of $3 million to $5 million, plus attorneys fees,” Judd Burstein, the attorney representing Golden Boy. The lawsuit was filed under the Racketeer Influenced and Corrupt Organizations Act — the RICO statute — damages would be tripled if Golden Boy wins a judgment.
Golden Boy alleges numerous instances in which Top Rank failed to report revenue from the fights and falsely inflated expenses. It also contends it is concerned that Top Rank will use similar accounting for Pacquiao’s fight with Antonio Margarito on Nov. 13, which Arum recently began promoting.
On the Diaz bout, for example, the suit claims that upon Arum’s direction, Lopez sent 16 accountings to Golden Boy between August 2008 and July 2010 “which falsely claim that 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.”
The suit said that sponsorships from Pacquiao’s fight with Ricky Hatton generated $630,000 and $870,000 from the Oscar De La Hoya fight, so it is “inconceivable that Tecate, Affliction and Smart did not pay hundreds of thousands of dollars for the opportunity to sponsor the Diaz bout.”
Golden Boy says Top Rank falsely reporting Pacquiao’s purse saying Pacquiao’s purse was $15 million, but that the bout agreement on file with the Nevada State Athletic Commission, which oversaw the fight in Las Vegas, lists Pacquiao’s purse as $7.5 million, raising the question of where the other $7.5 million went.
In addition, the suit contends that Top Rank knowingly inflated the costs of the undercard by $800,000 “in an effort to show less profit for the bout, thereby fraudulently reducing the amount of money due to GBP.”
Bob Arum denied the allegations and says it’s a desperate act on Golden Boy’s part.
Source ESPN.
I think Oscar wants his boy toy Mario Lopez to do a segment on EXTRA !!
They have been neglecting each other…
ODLH is the most unique and ridiculous boxing manager or promoter in the world and earns dollars for it. Instead of promoting or managing his ward, Manny Pacquiao, he promotes Pacquaio’s opponents. It is something for RIPLEY’S BELIEVE IT OR NOT. SHAMELESSNESS, isn’t it?
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