Atlanta Spirit co-owner labels Belkin as ‘evil’

Rockville, Md. — Now there’s no question what seven of the owners of the Hawks and Thrashers think of the eighth, Boston-based Steve Belkin.

They think he’s plain evil.

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Seven of the Atlanta Spirit owners want to buy out partner Steve Belkin.

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In a memo cited in court Tuesday by Belkin’s attorney, Atlanta Spirit LLC co-owner Bruce Levenson mentions “Belkin’s misdeeds” as a business partner and says his wrongdoings should have a “not-so-subliminal affect against the evil Belkin.”

The eight owners have been sparring for years — sometimes over petty stuff such as who got the best seats at that NBA All-Star Game. But Tuesday they were lined up in a Maryland courtroom asking a judge to hammer out the process for the other partners to buy out Belkin, who owns a 30 percent stake in the teams.

Belkin’s attorney, Jack Fabiano, argued that the other owners wanted Belkin out of the group ever since they bought the Hawks and Thrashers in March 2004. At the time, Belkin was the Hawks’ representative to the NBA, but even though there was such an agreement, “they were crowing about how they built relationships with the players,” Fabiano said.

Belkin stepped down as governor after the others wanted to sign then-Phoenix Suns guard Joe Johnson, and he didn’t. “Your honor, you’ll probably hear more about Mr. Johnson than you care for,” Fabiano said.

Rob Remar, an attorney representing the other owners, focused on the botched buyout process, including the valuation of the teams, that has landed them all in court.

He urged a Maryland circuit court judge not to honor an appraisal by J.P. Morgan, which would require the other owners to pay Belkin $142.8 million for his 30 percent stake in the teams. Belkin picked J.P. Morgan after he was the first one to object to an appraisal by CitiGroup Private Bank.

But, the seven other partners also objected to CitiGroup’s appraisal, done in the fall of 2005. Now, they don’t know what to do. The contract that spells out the processes for the seven owners to buy out Belkin says whichever side objects to the first appraisal can pick a second one.

But it didn’t say what happens if both sides objected. Now they are asking the judge to decide on the right process so they can agree on a price.

Remar said Belkin’s lawsuit, which has dragged on for more than three years, is about his desire to “control and dominate” the other owners, who live in Atlanta and Washington. And, it’s about greed, he said, during opening arguments.

The trial is expected to last about two weeks.

Fabiano argued that Belkin completed his side of the deal — he let the owners sign Joe Johnson, and he stepped down as NBA governor. So, now, the other partners should pay up — $142.8 million — plus millions in interest.

“We ask the court to give Mr. Belkin what he bargained for,” Fabiano said, saying an appraisal one completed by J.P. Morgan, should be honored. “He was supposed to get a return, and he hasn’t gotten a nickel.”

The case is in Maryland because the owners previously agreed to litigate there. Each side has the right to appeal the judge’s decision, which could drag the already protracted legal process on for another nine months to a year, leaving the ownership of the teams in limbo yet again.

In the long run, the decision could affect whether the group known as the Atlanta Spirit will be able to financially support two professional teams. According to recent court documents, the Spirit has lost more than $174 million since the 2002-03 season, including $50 million in the past two years alone.