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Squelching
Some Rumors

by Jack Koffman
The Ottawa Citizen
January 9, 1976

Suddenly, less than 24 hours after Ottawa Civics had made their losing 3-2 debut in the new home called the Civic Centre before an extremely huge turnout of 8,457 someone came up with a disturbing report.

"Owner Ivan Mullenix," the chap said Thursday, "has given the Founders Club here 10 days to come up with the money — a reported $1.2 million — or he'd call the whole thing off."

But Mullenix, out of St. Louis via Denver, dismissed the story most emphatically the moment it was brought to his attention.

"It's no secret," the 38-year-old Mullenix said before leaving for Denver late Thursday, "that I want to get out of hockey. But the suggestion that I'm holding a pistol over the heads of the group trying to raise the necessary purchase money is way out of line. I'd like to have them phone me in 24 hours and say they've got the money and want to sign the papers. But I'm not looking for miracles. I'm anxious to see this club find a home and Ottawa could be the answer. I'm willing to wait rather than shut the door on the city and the athletes."

Mullenix bad something to say on another subject introduced by a newspaperman. The case of the Mystery of Ralph Backstrom.

Is he here to stay or will his contract prompt him to pull out of the ex-Denver club?

"We think Mr. Backstrom (that's the term the millionaire owner uses in discussing the former Ottawa Junior and Montreal Canadiens NHL ace) belongs to us on the contract he has signed with our orgnization," explains Mullenix. "We could be wrong."

"But, no matter what, I want to make things clear: We want compensation if another WHA club signs him because he's a valuable hockey property; We'll make every effort to meet his wishes if he wants to move because he's proven a gentleman and a talented hockey player off the ice and on it."

Meanwhile, before the start of the Wednesday game, Backstrom told me he's still serious about moving elsewhere.

"I hate to be playing the same old record," Ralph explained, "but I've been around hockey, the pro kind, 16 years or so and I want some guarantees. It isn't a case of big money but simply a matter of making sure Idon't have to move again two months from now. I'm afraid Ottawa can't give me these guarantees and I can get them elsewhere."

Meanwhile, back on the ice at the Civic Centre, Jean Guy Talbot took time out from practice to try and explain his feelings about the amazing reception tendered his Civics before and after their opener here Wednesday.

"Imagine how young second-year pros like Gary MacGregor (21) and Frank Rochon (22) felt to hear the club get a standing ovation before and after the game!" said the coach.

"Remember, they played in Chicago last year with the Cougars when there was no financial support or interest. Then they were in Denver this season with an average of about 3,000 or so in a beautiful building which holds 17,000 or so. They could hardly believe it all. The same goes for me and all the other players. It's encouraging to get such support and to have many friends willing to wish you well."

Talbot also pointed out his club is about due to break a bad habit. In fact, he insists they will do it the next time the chance comes up.

"We lost nine home games in Denver this year by one goal and now have done the same thing in our only home game here. But we looked real good against New England Whalers even though we only scored twice and lost. I told the boys it'll all change at any moment if we keep trying as hard and as well as we did against the Whalers."

The Civics leave today for a game in Phoenix Saturday night and play Sunday in Winnipeg before returning to take on Gordie Howe and Houston Aeros here next Thursday.

 
Ike Threw a Spear
Through the Balloon

by Bob Mellor
The Ottawa Citizen
January 16, 1976

If a flimsy hope remains that Ottawa is still the home of a WHA franchise today, that hope rests entirely with the league.

And if the league doesn't move swiftly and decisively, it may be making one of the greatest blunders in the history of an organization that's already had a few.

This city was asked to prove that it wanted pro hockey here by people who engineered the move of the Denver Spurs to the city.

The hockey fans and the citizens of this national capital community responded beyond all expectations, startling the bejabbers out of the people who asked for their support, converting blase scriveners of the sports beat into goggie-eyed enthusiasts, and no doubt, even surprising themselves. They did everything that was asked, and more.

They proved to the WHA that the city wanted pro hockey, was hungry for it, and would figuratively clasp a team to its bosom. We're told the impression wasn't lost on the WHA people who were here a week ago. Ottawa's debut had been the talk of the league at the meetings during the All-Star Game.

And, the town was "turned on," partly because the knowledgeable fans of this town realized that the players wanted a home even more badly than they wanted to give them one, i.e. they were putting out.

Yesterday, somebody threw a spear through the balloon.

The spear-chucker was Ivan (Ike) Mullenix. the team owner, who flatly turned down the best offer which the Founders Club felt this town could afford — a million dollars. Andy Joyce, one of the two negotiating lawyers for the group, said that left them half a million dollars apart.

That also, obviously, left Mullenix only two of the three options he had said were available to him last week. If he couldn't make a sale, he could either operate it himself — which he didn't want to do — or fold it up.

Now, as of this writing. he hasn't told anybody that's what he'd do. But, yesterday was payday for the Ottawa Civics — or should have been. Nobody got a cheque.

Then it developed that Ralph Backstrom had been peddled off to New England, and he left this morning in order to join them in time for their next game against Cleveland tonight. That has to mean the deal was made several days ago.

And suddenly, out of the woodwork come reports that Indianapolis and Cleveland have bought up the contracts of various Ottawa players.

Mr. Mullenix's intentions come under a great deal of question in the light of those reports. It wasn't until Thursday the Founders said they'd gone as far as they could go. The player deals couldn't have been made without a headstart.

They could still be headed off if the league chose to put a "freeze" on the players' contracts. But unless the boys get paid, they're technically free agents, because their contracts have been breached.

Mullenix? The guy who could provide most of the answers couldn't be reached fast night.

His financial difficulties with Denver Sports, Inc., which is the organization owning the team, are probably such that it's cheaper to go bankrupt — and pay nobody — than to sell for a million dollars.

if his intentions were otherwise than to fold the franchise, he'd have made sure to get word to Ottawa Thursday night that operations would continue, unless he's thoroughly stupid, which I doubt.

The only logical conclusion is that he's liquidating everything he can. The team? They've been on the merry-go-round too. They've delivered two great hockey games here. Thursday night, even under the circumstances which existed, they played their butts off, running the Houston Aeros into overtime.

Among others of them, Bryon Baltimore said last night: "We'd have loved to see it carry on here. The people have been just fantastic, and not just in the support they gave us at the games. Little things, like the cabbie who wouldn't take any money. He gave us a free trip because we were members of the Ottawa Civics. I tell you — that never happened in Denver or Chicago."

It was a subdued crowd in the Civic Centre last night, particularly for a sellout. There appeared a reluctance to cheer for a team the crowd had learned, just before game time, wasn't really theirs, as they'd hoped it would be.

The most depressed group were probably members of the Founders, who as Joyce put it, had literally "given up their lives" in the two-week round-the-clock effort to negotiate a transfer of ownership and keep the team going in the meantime. Some were still maintaining last night they wouldn't give up but without much heart in the statements.

Bud Poile, the league's vice-president in charge of hockey operations, was among the people in town Thursday night. Poile has been highly laudatory in his remarks about Ottawa's reaction to the return of WHA hockey.

"Look," he told some members of the Founders last night, "sometimes the best deals you can make are the ones you don't."

If there's any more to that than just the cliche, then perhaps there's a possibility that the league can turn things around at that emergency meeting on Saturday but that appears to be what it hangs on.

And, if it means anything, Poile was huddling with Jean-Guy Talbot last night about travel arrangements for their scheduled game in San Diego Saturday night.

So there's still a maybe but it's up to the league.

There are a lot of reasons why Ottawa should be in the WHA, and most of them were stated most eloquently by the presence of two full houses.

But unless the league believes strongly enough in the need of a sixth Canadian team to make it possible, well, that's it. Their loss is at least as great as ours.

 
Short Season for Pro
Hockey in Ottawa Area

by Tom Sarsfield
The Ottawa Citizen
January 16, 1976

Ottawa's professional hockey season apparently came to an abrupt end Thursday night at the Civic Centre when Ivan Mullenix, the man who had been "arranging" a sale of his Denver Spurs to Canadian capital interests, pulled the rug from under the Founders Club.

While a $500,000 difference in the purchase price was supposed to have been the stumbling block, Mullenix, from all accounts, was busy disposing of all his talent to any World Hockey Association club interested.

As it stands, that's the finish, unless the Founders Club is taking a completely wrong interpretation of the Mullenix moves.

The players said nothing about the situation but obviously knew something was going on.

They held a meeting prior to leaving their hotel for the Civic Centre and it was reported that such matters as injury insurance and salaries, due last night from Mullenix, were discussed.

It's history now that they played the game and played it well and also documented is the deal between the Founders Club and Mullenix, which the club owner refused.

In a statement issued late Thursday afternoon, the Founders Club announced that all negotiations between the club and Mullenix had been terminated.

Their final proposal, turned down by Mullenix, was that they would pay $1 million for the team, players, franchise and other team assets with $400,000 to be paid by April 30, 1977 and the balance to be paid over 10 years, without interest.

Mullenix would have received $150,000 by April 30, 1976, another $150,000 by September 30, 1976 and the final $100,000 by April 30, 1977. The other $600,000 would have been paid over 10 years to the WHA, being the amount which Mullenix still owed the league for the franchise.

In return the Founders Club would have assumed all operating expenses of the team from January 1, 1976, including the payroll — approximately $100,000 — due Thursday night.

The story started in November of 1975 with members of the Founders Club and WHA officials discussing how a franchise might be secured for Ottawa.

It was New Year's Eve before anything happened and that was a sudden announcement from Mullenix that he was moving his team, then known as the Denver Spurs, to Ottawa.

Mullenix arrived in Ottawa January 5 and discussions followed. At that time Mullenix made it clear that he was interested only in selling the franchise and when he left here, he took with him a tentative proposal from the Founders Club.

Wednesday, following the WHA All-Star game in Cleveland, Mullenix made two proposals to the Founders Club. One called for a price of $1.5 million dollars, the other for $1.375 million, the difference between them being the time over which payments would be spread.

Ottawa reprresentatives in Cleveland brought the proposals back and neither was acceptable to the Founders Club.

They then made their final offer, the $1 million package to Mullenix and his refusal was received Thursday. He replied by telephone from the offices of a bank in Denver, reportedly the bank to which he owes $2 million.

In that conversation he told the Founders Club he didn't know what his future plans were. He had made it clear when he was here that the Civies would finish their schedule in Ottawa, sale or no sale.

The Founders Club also announced that monies paid for season tickets, less the proportioned share for the two games played here, would be refunded on or before February 20, 1976. All other contributions, less organizational expenses incurred in Ottawa would be returned on or before January 31, 1976. The reason for the delay in refund of season ticket money is that a substantial part of the funds are held on deposit for 30 days by means of a guaranteed investment certificate.

It was also revealed that all local Ottawa expenses incurred in staging the two games here would be paid before any funds received from those games would be paid to Mullenix or his firm, Denver Professional Sports Inc.

Founders Club spokesmen David Gavsie, Andy Joyce and Gerry Levitz said that on the basis of projections, the $1 million figure was the highest the Founders Club could go. At best, it was a breakeven proposition with a non-profit community-owned organization the only viable method of operating it.

It was pointed out at the meeting when the announcement was made that if Mullenix should choose to continue operating the Civics in Ottawa, the Founders Club would have to decide where it would fit into the picture. At that time this was considered a possibility but later events just about ruled this out.

Ottawa officials who went to Cleveland said they met with an enthusiastic welcome from other franchise holders, particularly in the Canadian Division into which the team was transferred.

WHA officials were so sure of the team staying in Ottawa that schedule revisions had been made and Poile was emphatic in saying that the WHA wanted a team in Ottawa.

Prior to news of the sale of the players, Poile had indicated that the league could prevent Mullenix from selling them, but also said that Mullenix was up to date in his commitments to the league and up until last night at least, as far as payroll was concerned.

The sale report didn't sit well with Wayne Belisle, owner of another financially troubled franchise in St. Paul, Minn., the Fighting Saints.

He said he doubted the league would allow the franchise to disband.

"The league is not going to allow the Civics to fold," he said.

"Indianapolis tried to buy four players and Cleveland two, but the league trustees voted against it in Cleveland Wednesday," he added.

Backstrom, in announcing his move, said he made it regretfully and held off until the breakdown in negotiations was made official Thursday afternoon.

As for the Founders Club, they haven't given up hope of bringing professional hockey to Ottawa. According to Joyce, "We're not dead, the possibility of other franchises, present or new are under consideration."

Meanwhile in Denver, city officials say they are going to auction property seized from Denver Spurs to help pay taxes owing to the city.

They say Mullenix has not approached the city about paying the debts which amount, with penalties, to about $63,000. Office furniture from the team's Denver offices and furniture confiscated from an apartment Mullenix rented in the team's name have been seized.

 

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