Commanders sued for allegedly cheating fans out of
ASHBURN, Va. — The District of Columbia’s attorney general on Thursday filed a second lawsuit against the Washington Commanders, alleging that the team has cheated its residents out of “hundreds of thousands of dollars” in unreturned security deposits for season-ticket holders.
D.C. Attorney General Karl A. Racine said in a statement that Commanders executives engaged in “egregious mismanagement and illegal conduct.”
The latest lawsuit alleges the team has held onto potential refunds to season-ticket holders whose contracts with the team had expired. It claims the team still holds “nearly $200,000 in unreturned security deposits” paid by D.C. residents.
The suit alleges that the Commanders have engaged in — and continue to engage in — misleading business practices when it comes to security deposits, making them tough to receive. It said their acts were in violation of the District’s Consumer Protection Procedures Act.
According to a statement from a Commanders spokesperson, the franchise has not accepted security deposits on premium tickets for more than 20 years, nor have they taken deposits for suites in “over a decade.”
The team said it began returning deposits in 2004. Ten years later, the spokesperson said that management, as part of a comprehensive review, was instructed to send notices to more than 1,400 customers who held deposits. Team management was instructed to return all security deposits requested.
The lawsuit alleges that Washington only sent out those letters to avoid violating a Virginia law regarding withheld property.
“The team engaged an outside law firm and forensic auditors to conduct an extensive review of the team’s accounts which found no evidence that the team intentionally withheld security deposits that should have been returned to customers or that the team improperly converted any unclaimed deposits to revenue,” the Commanders’ statement on Thursday said.
Racine’s office is not the only one looking into financial improprieties…