U.S. Senator Questions USOC Gymnastics Moves

(ATR) The U.S. Olympic Committee faces a new round of interrogation by the U.S. Congress over the sexual abuse scandal at USA Gymnastics.

U.S. Sen. Charles Grassley, a Republican from Iowa and chair of the Senate Finance Committee that has jurisdiction over the USOC, is asking for answers to five questions he has following a letter in February sent by USOC CEO Sarah Hirshland.

It’s all part of a chain of correspondence between USOC and members of Congress in the aftermath of years of undetected sexual assaults against hundreds of young gymnasts by former team doctor Larry Nassar. He is now in federal prison, serving sentences that will amount to life behind bars.

Grassley wants to know more about the USOC decision to go along with plans by USA Gymnastics to seek protection of federal bankruptcy laws. The bankruptcy filing allows the national governing body to reach settlements with the dozens of plaintiffs so far who have filed for damages. Both USA Gymnastics as well as the USOC are targeted by the lawsuits.

USA Gymnastics has set aside $75 million on its books already as a hedge against the legal actions. USAG and the USOC say that neither organization faces insolvency, despite the potential of legal exposure in excess of the $75 million mark.

Grassley is particularly concerned about the USOC decision not to oppose the bankruptcy filing. He is also questioning why the USOC has halted its decertification of the gymnastics body.

The USOC initiated the certification process late last year, followed in December by the bankruptcy filing of USA Gymnastics.

Grassley appears to be keen for the USOC to exercise its powers to remove USAG as the governing body for Olympic gymnastics in the U.S.

"It remains unclear why USOC halted decertification proceedings out of "deference to the bankruptcy court" despite USA Gymnastics’ own admission that the filing was not financially motivated," Grassley writes in the April 24 letter.

"It’s also unclear why USOC would halt proceedings after issuing such a strongly worded press release declaring, "[s]eeking to revoke recognition is not a decision that we have come to easily, but I believe it is the right action.'

"Above all, it is perplexing that you would halt these vital proceedings after informing the athletic community that "you deservebetter" in reference to USA Gymnastics," said Grassley, who chaired hearings in 2018 about the sexual abuse scandal and the role of the USOC supervising USAG.

"We appreciate Senator Grassley's interest in this matter and will continue to work with all members of Congress to provide clarity and transparency into the actions we are taking to reform the culture and operations of Olympic and Paralympic sport in the United States," USOC spokesman Mark Jones says in a statement to Around the Rings.

Jones says the USOC is doing all it can to expeditiously move things forward with reorganization of the gymnastics governing body as well as USOC policies and procedures regarding athlete safety and welfare.

"Following our Section 8 complaint, USA Gymnastics filedfor bankruptcy, instituting a delay in the hearing. In the interest of expediting and resolving litigation for victims and survivors, we have made the decision to not oppose, at this time, that delay. We of course reserve the right to seek leave of the court to proceed with the hearing at any time.

"In the meantime, we are laser-focused on delivering the services and support for athletes to train in safe and healthy environments and be ready to compete in Tokyo and beyond," says Jones.

The USOC has undergone a wholesale change in management and leadership in the past year. Hirshland was brought aboard last August and in January Susanne Lyons took over as chair of the Board of Directors. A new division of Athlete Services has been created that will address issues of athlete safety and welfare.

Lyons and Hirshland have both been to Washington this year to meet with members of Congress following the gymnastics saga. It’s still not clear what action might be taken by the Congress to give the USOC more power over sports governing bodies under the Olympic flag.

Jones says that there are "robust discussions around governance reform and increasing athlete engagement and advocacy" at the USOC.

By the tone of Grassley’s letter, it’s clear he still is not convinced that the USOC is acting in the best interests of athletes. In his final question to Hirshland he sounds irked about the delay with USOC action against USAG.

"If you claimed that athletes "deserve better" than USA Gymnastics, then why have you halted decertification proceedings?," he queries in the letter.

Grassley says he wants to see a reply by May 10.

Reported by Ed Hula.