PGA Tour logo in the course of the third round of the Travelers Championship on June 24, 2017 on the TPC River Highlands in Cromwell, Connecticut.
Fred Kfoury | Sportswire icon | Getty’s paintings
WASHINGTON – A number one Democratic lawmaker launched a probe Monday into the planned merger of the PGA Tour and Saudi Arabia-backed LIV Golf.
Senator Richard Blumenthal, D-Conn., in letters to the PAR commissioner Jay Monahan and CEO of LIV Golf Greg Norman.
The letter from Blumenthal comes because the PGA Tour-LIV deal faces intense scrutiny and doubt over whether the merger might be accomplished given the severity of previous claims in past litigation between golf leagues.
The Saudi government has been accused of widespread human rights violations, including orchestrating the 2018 assassination of Washington Post journalist Jamal Khashoggi.
9/11 Families United, a gaggle that also represents families of victims of a terrorist attack slammed the merger due to the involvement of Saudi Arabia. Blumenthal had previously sided with the victims’ families when one other organization, the 9/11 Justice group, protested the LIV event at a golf course owned by former President Donald Trump.
The merger announcement on June 6 was “a sudden and drastic reversal of position regarding LIV Golf,” wrote Blumenthal, who chairs the Senate Everlasting Subcommittee on Investigations. The Tour and its commissioner had previously spoken out strongly against LIV and its role in skilled golf.
Meanwhile, the Saudi government’s private investment fund that owns LIV has outlined clear plans to make use of sports investment to advance the goals of the Saudi government, in response to Blumenthal’s letter.
“The PGA Tour’s cope with PIF on LIV Golf raises concerns in regards to the Saudi government’s role in influencing these efforts and the risks of a foreign government entity taking control of a cherished American institution,” Blumenthal wrote.
Prior to the merger deal, PGA’s rivalry with LIV included legal motion between the 2. The entities agreed to stifle all pending litigation as part of a plan to mix industrial operations and rights into an as-yet-unnamed for-profit company.
Monahan told CNBC’s Squawk on the Street on Tuesday that the merger is sweet for golf despite past “tensions.”
Based on a memo to the Monahan players, the agreement would require approval by the PGA Tour board.
“We’re confident that as Congress learns more about how the PGA Tour will control this recent enterprise, it would understand the opportunities it would create for our players, our communities, and our sport, all while protecting America’s golf institution,” CNBC said in a press release on Monday.
LIV Golf declined to comment on Blumenthal’s letters.
Blumenthal asked for answers to several questions, including an overview of the company structure and records of any disputes between corporate executives and other stakeholders, by June 26.
– CNBC Jessica Golden contributed to this report.