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USA Cricket: Another twist in USACA election drama

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By Venu Palaparthi 

The debate on the eligibility of leagues to vote has now completely shifted away from what is the right thing to do to foster an inclusive spirit of cricket. The ongoing battle can best be described as technical in nature and there is even greater evidence now than ever before that USACA is keen on using every tool available to exclude leagues from the democratic process instead of spending the time, money and energy to make USACA an inclusive and thriving organization.

Pic (Right): Election has become a technical tug of war

The court provides an opening to disenfranchised leagues

Judge Koh, in the order denying preliminary injunction in the Ram Varadarajan and CCA v. USACA case, wrote:  "The plain text of the USACA Constitution vests dispute resolution powers in the independent auditor over 'questions arising in connection with the right to vote.' Thus, there appears to be a remedy under the USACA Constitution yet to be exhausted. Failure to exhaust would bar all of Plaintiffs’ claims here."

The court's determination that the auditor was empowered to resolve their eligibility gave an opening to several disaffected leagues to appeal to the independent auditor, which they did in the hours following the publication of Judge Koh's order working through the night. It is a testament to the leagues' perseverance and passion for the sport that they acted as fast as they did. 

By the morning of the election, over a dozen leagues had already sent their appeals to the auditor, Keefe, McCullough & Co., LLP.   "To assist you, we are willing to answer any and all questions and provide any and all pertinent information that will help you independently ascertain our right to vote in this election," the leagues pleaded.

Election not yet certified

Following Judge Koh's order, the election proceeded and the business of certifying the election remained. However, by April 18, it was clear that the audit firm was on a sticky wicket.

A debate now rages on regarding this apparent contradiction between the remedy mentioned by Judge Koh, which the leagues have sought to use, and USACA's position regarding the role of the 'independent auditor.' 

USACA's lawyers have told the auditor very clearly that, "It is the Board's sole responsibility under that Section to make the determination of voter eligibility."  USACA's lawyers also noted that it was the USACA board's position that, "You [the auditors] have no authority to conduct such an independent audit."   The letter argues that, "Resolution of disputes means making a decision based on the evidence and arguments presented to you by the parties at the time of the election. It does not include conducting an entirely new and independent investigation." 

Counsel for Ram Varadarajan and CCA wrote that they, "disagree with how the USACA Board is trying to encroach on the impartiality of Keefe, McCullough & Co., LLP, in its role as the independent auditor, by imposing rules, structures, and timelines that make it impossible for you to properly perform your duties." They reminded the auditors that, "because the Board uses leagues’ membership dues to pay your fees, USACA’s member leagues are as much your clients as the Board of USACA."

The USACA board, needless to say, is eager to shut out the 32 disaffected leagues and have the election certified. In his letter to the auditors, the USACA counsel noted that the board, "does not countenance any further delay of the final certification of the election results." 

"You should decide the leagues' timely requests promptly based on the evidence submitted to you," USACA has advised the auditors.

But the lawyers for Varadarajan and CCA point out that the USACA board and counsel should not be allowed to improperly influence the auditors' decision-making and that the auditors should not rely on Mr. Chance's findings stating that Judge Koh had described the so-called compliance process as "suspicious."  

Independent Auditor may not conduct further audit, USACA says

USACA's lawyer wrote that it was the board's position that the auditors, "are not authorized under the USACA Constitution, New York law or the terms of your engagement by USACA to conduct a further audit or factual investigation or to rule upon requests submitted after the annual meeting ended." 

The counsel for Varadarajan and CCA countered that some of the information that USACA provided the auditors may have been inaccurate. A similar observation was made in connection with the information provided to the auditors in connection with at least one other league that this author has reviewed. According to one source, a handful of leagues have written to the auditors citing discrepancies in the assessments sent to the auditors by USACA.

For your reference, and so you can form your own judgement, here is what the constitution says about the role of the independent auditor in Article XXII:

Section 2: There shall be an independent auditor, appointed by the Board, who shall ensure that all voting/elections are conducted in a fair and impartial manner. Said auditor shall be a Certified Professional Accountant (CPA). The independent auditor shall:

i. Determine the number of legitimate members and shall issue the ballots to the members consistent therewith.
ii. Determine at a general meeting the existence of a quorum, the validity and effect of proxies.
iii. Receive votes, ballots or consents.
iv. Hear and determine all challenges, and questions arising in connection with the right to vote.
v. Count and tabulate all votes, ballots or consents.
vi. Determine and record the results, and do such acts as are proper to conduct the election or vote with fairness to all members.

Section 3: Upon request of the person presiding at the meeting or any members entitled to vote thereat or any other legitimate member, the independent auditor shall make a report in writing of any challenge; questions or matters determined by him/her and execute a certificate of any facts found by him/her. Any report or certificate made by the auditor shall be prima facie evidence of the facts stated and of the votes.

Business as usual?

Of course, none of this has prevented USACA and some of the newly elected administrators from continuing the process of filling key positions. Mr. Nabeel Ahmed was reportedly named acting CEO of USACA, a position that according to the constitution must be advertised. Some regional administrations have quickly moved to nominate and elect people to a variety of positions even as the membership status of several of  leagues remains unresolved.

Comments

 

hkgrohan said:

Who are the leagues who have had the guts to stand up? Good luck to them. And I wonder what becomes of those who sit on the sidelines in silence, implicitly endorsing the election and the "administration"?

"If you're absent from my struggle, don't expect to be present for my success"

April 23, 2012 2:04 PM
 

beeji said:

Nice pic with tug of war except it should be that leagues have one hand tied to their backs.  This whole election scene is a mess - obviously G(o)D and his angels didnt read the constitution before they did what they did.  Judge Koh did.  And now we have a CPA working after April 15th!

For those leagues who didn't bother challenging, it is simple - they don't care about US cricket, just their league cricket.  So why challenge the status quo and create problems for themselves?   Disgraceful.

April 23, 2012 11:51 PM
 

Texan101 said:

Its not easy to challenge and you know most of the leagues barely have enough money to run the league  on day to day basis. Plus all leagues are run by volunteers who have a day job and spend precious time away from their families so others can enjoy the games on weekend. How they will fight without money and time? Its easy to comment but hard to face it. Ask some of the people who fought in 2007-08 and ended up spending their own personal money in thousands for the legal battles. Only option is non cooperation by all the players and league executives. Are the players from non-compliant leagues willing to sit out and not go even they are selected? I don't think so. Its a sad story.

April 24, 2012 2:24 PM
 

hkgrohan said:

I suspect most of the leagues will play ball with Dainty and co. Don't be surprised if many of the disenfranchised are suddenly restored to full standing. They'll accept that restoration, thereby endorsing and condoning Dainty. There are already those who are going around saying that this was a perfectly legitimate election!

April 24, 2012 7:18 PM
 

beeji said:

@Texas101: Maybe there are leagues that have no money and no time - neither is needed to send a challenge from what I heard from those who did.   But many leagues operate like only their leagues matter and everything else is irrelevant.  Where is the sense of community?  Where is the outrage for all the USACA shenanigans?  In this context, what Faizan of NWCL did by sending the letter that he didnt have to for he had nothing to gain and much to lose is courageous.  Wish we had more Faizans in US cricket.

April 24, 2012 9:34 PM
 

Texan101 said:

Beeji you may not be aware of but legal challenges costs lots of money and I know few of the people who have to spend their own money to protect themselves. Community spirits are a rare commodity and when the time comes no one will stand by you. May be lot of leagues are just happy with their own league affairs and with limited resources and limited time, I don't blame them for not getting involved. All these volunteer work takes time away from families and only few dedicated people will do it just for the love of the game. Like I said its easy to say the things from sideline then getting into trenches and fight. All the best.

April 25, 2012 12:24 PM

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