Case 1:17-cv-03081-RJS Document 8 Filed 05/03/17 Page 1 of 5 UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK ------------------------------------------------------------------------X MAKUHARI MEDIA LLC : Plaintiff, : - v. - : FEDERAL BUREAU OF INVESTIGATION, Defendant. : : ------------------------------------------------------------------------X AMENDED COMPLAINT 1. This is an action under the Freedom of Information Act, 5 U.S.C. § 552 (“FOIA”), to order the production of Federal Bureau of Investigation (“FBI”) records concerning the investigation and prosecution of former National Basketball Association (“NBA”) referee Tim Donaghy for wire fraud and illegal sports gambling. Defendant FBI has improperly withheld these records despite a properly filed FOIA request. PARTIES 2. Plaintiff Makuhari Media is a film production company whose documentaries have been viewed by millions worldwide. 3. Makuhari Media is developing a documentary project centered on legal and illegal sports betting. 4. The FBI, a component of the Department of Justice, is an agency of the United States with possession and control of the records sought by Plaintiff. JURISDICTION AND VENUE 1 Case 1:17-cv-03081-RJS Document 8 Filed 05/03/17 Page 2 of 5 5. This court has jurisdiction over this action pursuant to 28 U.S.C. § 1331 and 5 U.S.C. § 552(a)(4)(B). 6. Makuhari Media’s principal place of business is New York City and therefore venue is appropriate under 5 U.S.C. § 552(a)(4)(B). FACTS Background of Request 7. In July 2007, it was revealed that the Federal Bureau of Investigation (“FBI”) was investigating former NBA referee Tim Donaghy as part of a criminal probe. Donaghy was suspected of collaborating with a professional gambler to bet on NBA games, including ones he refereed. 8. In addition to widespread media reports on the matter, then-NBA Commissioner David Stern held a July 2007 press conference to promise full transparency once the FBI concluded its investigation. 9. In August 2007, Donaghy plead guilty to conspiracy to engage in wire fraud and transmitting betting information through interstate commerce. 10. In July 2008, Donaghy was sentenced to 15 months in prison for his participation in the gambling scandal. 11. Donaghy claimed in a court filing that the league routinely encouraged referees to manipulate results in favor of star players or teams. Donaghy further claimed that he began cooperating with prosecutors even before he was charged, and that he provided the government a road map to widespread misconduct in the NBA. 12. Due to his plea deal, Donaghy’s claims regarding NBA corruption were neither proven nor disproven, and therefore remain unresolved nearly a decade later. See, e.g. Munson, Lester, 2 Case 1:17-cv-03081-RJS Document 8 Filed 05/03/17 Page 3 of 5 “Donaghy's guilty pleas don't answer all the questions,” ESPN.com, Aug. 15, 2007, available at http://www.espn.com/nba/columns/story?columnist=munson_lester&id=2976241. (Exhibit E) FOIA Request and Denial 13. On March 16, 2017, Andrew J. Muscato, a documentary filmmaker and Managing Member of Makuhari Media LLC, filed a FOIA request seeking documents relating to the investigation and prosecution of Tim Donaghy (the “Request”). (Exhibit A) 14. The FBI assigned the Request case number 1369410-000. 15. On March 21, 2017, the FBI denied the Request, primarily because it sought information concerning one or more third party individuals without a signed waiver. The FBI also applied exemptions 6 (information that, if disclosed, would invade another individual’s personal privacy) and 7C (information compiled for law enforcement purposes that could reasonably be expected to constitute an unwarranted invasion of personal privacy). (Exhibit B) 16. On March 27, 2017, Plaintiff’s attorney filed an administrative appeal, arguing that the Request had been inappropriately interpreted as a Privacy Act Request when in fact it relates to a specific prosecution and therefore requires no waiver. (Exhibit C) 17. Plaintiff further appealed on the basis that exemptions 6 and 7C are inapplicable because Mr. Donaghy has no privacy interest due to his public prosecution and conviction, and even if he did, the public interest in determining whether the FBI adequately addressed corruption in the NBA far outweighs Mr. Donaghy's de minimus privacy interest. To wit, Mr. Donaghy has written an autobiographical account of his experience, titled “Personal Foul: A First-Person Account of the Scandal That Rocked the NBA.” Prior Dissemination by the FBI 3 Case 1:17-cv-03081-RJS Document 8 Filed 05/03/17 Page 4 of 5 18. Upon information and belief, relevant segments of the FBI’s investigatory file have already been disclosed to members of the public; specifically, to Sean Patrick Griffin, author of a book “Gaming the Game: The Story of the NBA Betting Scandal and the Gambler Who Made It Happen.” According to the book’s blurb, Dr. Griffin obtained access to witness statements and confidential law enforcement files. (Exhibit F) 19. The foreword of Mr. Donaghy’s autobiography was written by former FBI agent Philip Scala, the supervisory special agent who uncovered Donaghy’s gambling scheme. Mr. Scala has stated that he believes Donaghy’s claims concerning corruption in the NBA. See Marzulli, John, “Ex-FBI big bets on Donaghy: NBA dirt charges true, Gambino squad vet says,” New York Daily News, August 2, 2008, available at http://www.nydailynews.com/news/crime/ex-fbi-big-bets-donaghy-nba-dirt-charges-truegambino-squad-vet-article-1.312776. (Exhibit G) Constructive Denial 20. The FBI acknowledged the administrative appeal in a March 27, 2017 letter. (Exhibit D) 21. By failing to adjudicate Plaintiff’s administrative appeal within twenty working days, the DOJ has constructively denied Plaintiff’s access to agency records by failing to produce - or formally deny – Plaintiff’s administrative appeal. 5 U.S. Code § 552(a)(6)(A)(ii). CAUSE OF ACTION Violation of the Freedom of Information Act for Wrongful Withholding of Agency Records 22. Plaintiff repeats and realleges paragraphs 1-22. 23. Defendant FBI has wrongfully withheld agency records requested by Plaintiff. 24. Plaintiff has constructively exhausted all administrative remedies. REQUESTED RELIEF 4 Case 1:17-cv-03081-RJS Document 8 Filed 05/03/17 Page 5 of 5 WHEREFORE, Plaintiff requests this Court: (A) Order defendant to provide access to the requested documents in their entirety; (B) Expedite this proceeding as provided for in 28 U.S.C. § 1657; (C) Award plaintiff costs and reasonable attorney fees in this action, as provided in 5 U.S.C. § 552(a)(4)(E); and (D) Grant such other and further relief as may deem just and proper. Dated: April 27, 2017 By: _/s/ Daniel Novack______________________ Daniel Novack NY BAR ID: 5010863 Law Office of Daniel R. Novack 4 New York Plaza (2nd Floor) New York, NY 10004 Phone: (201) 213-1425 Email: Dan@NovackMediaLaw.com Counsel for Plaintiff 5 Case 1:17-cv-03081-RJS Document 8-1 Filed 05/03/17 Page 1 of 3 March 16, 2017 VIA FOIA PORTAL TO: Federal Bureau of Investigation FROM: Andrew J. Muscato Managing Member, Makuhari Media LLC Dr. Ryan Rodenberg Dear Sir or Madam, I am a documentary filmmaker writing on behalf of myself, my company Makuhari Media, and Dr. Ryan Rodenberg, an academic and author. I am requesting records under the provisions of the Freedom of Information Act. 5 U.S.C.§ 552. Request We seek all documents relating to the FBI’s investigation of former National Basketball Association (“NBA”) referee Tim Donaghy. Background In July 2008, former NBA referee Tim Donaghy was sentenced to 15 months in prison for his participation in a gambling scandal. For further background, please read the ESPN article “Donaghy sentenced to 15 months in prison in gambling scandal.” (attached) [Available at: http://www.espn.com/nba/news/story?id=3509440] Fee Waiver Makuhari Media is a documentary production company whose previous films have explored corruption in professional sports. These films have been distributed by ESPN, Epix, BBC Worldwide, and Netflix. Dr. Rodenberg is an academic who frequently publishes papers and articles about sports law for public consumption. Our collaboration is being undertaken to further Dr. Rodenberg’s research and to educate the public about sports betting via a documentary film. Under 5 U.S.C. § 552(a)(4)(A)(iii), I am entitled to a fee waiver because disclosure of the information sought is in the public interest, is likely to contribute significantly to public understanding of the operations or activities of the government, and is not primarily in the commercial interest of the requester. Case 1:17-cv-03081-RJS Document 8-1 Filed 05/03/17 Page 2 of 3 Electronic Records Please furnish all responsive records in electronic format. Further Correspondence All correspondence regarding this request can be directed to: andrew@makuharimedia.com and sportslawanalytics@gmail.com. Please be aware that under 5 U.S.C. § 552(a)(6)(A), a FOIA request is considered constructively denied after twenty business days. If you have any questions, do not hesitate to contact me. Thank you for your prompt attention to this request. Sincerely, Andrew J. Muscato Ryan Rodenberg Page 2 of 2 3/15/2017 ESPN.com ­ Donaghy sentenced to 15 months in prison in gambling scandal Case 1:17-cv-03081-RJS Document 8-1 Filed 05/03/17 Page 3 of 3 Tuesday, July 29, 2008 Donaghy sentenced to 15 months in prison in gambling scandal ESPN.com news services NEW YORK ­­ Disgraced ex­NBA official Tim Donaghy admitted that he'd brought shame on his profession Tuesday as a federal judge sentenced him to 15 months behind bars for his participation in a gambling scandal that still has the league on the defensive. U.S. District Judge Carol Amon sentenced Donaghy to prison time, plus three years of supervised release, saying he'd let the sport down by taking thousands of dollars from a professional gambler in exchange for inside tips on games ­­ including ones he refereed. "The NBA, the players and the fans relied on him to perform his job in an honest manner," Amon said. Donaghy listened with his arms folded but showed no emotion. He told the judge that "I've brought shame on myself, my family and the profession." Defense attorney John Lauro asked Amon to give his 41­year­old client probation, saying the ex­official was a gambling addict who destroyed "the career he loved" and needed treatment, not incarceration. "Every news account begins with the words 'disgraced referee,'" Lauro said. "He will live with that the rest of his life." Donaghy also had sought to make amends by revealing "the good, the bad and the ugly" about the league's officiating, the attorney added. During the NBA Finals, Donaghy said in a court filing that the league routinely encouraged refs to ring up bogus fouls to manipulate results, while discouraging them from calling technical fouls on star players. In the end, Amon refused Donaghy's plea to stay out of prison, though she imposed a penalty that was not as tough as the 33 months he could have received. Donaghy actually received two 15­month prison sentences, one for each count he pleaded guilty to in August, but Amon ruled they will be served concurrently. Donaghy must surrender on Sept. 23. Amon said she would honor Donaghy's request and recommend that he serve his sentence at a federal prison camp in Pensacola, Fla., to be closer to his four daughters in Bradenton. However, the bureau of prisons has the final say on where he will go. Case closed for him. For the NBA, the damage lingers. Commissioner David Stern has made several moves to quell doubts about the integrity of the NBA's officiating, with more developments to come. Former Army Gen. Ron Johnson has been hired as senior vice Tim Donaghy apologized in court, saying he "brought president of referee operations, Bernie Fryer and Joe Borgia shame on myself and my family." were promoted to new management positions and the league reassigned Ronnie Nunn, who had been the director of officials for five years. Still pending is a league­commissioned review of officiating by former federal prosecutor Lawrence Pedowitz. "I am conducting additional interviews and hope to obtain additional information from the government. My review is well­advanced but not complete," Pedowitz said Tuesday in a statement. No date has been set for the report's release. http://www.espn.com/espn/print?id=3509440 1/1 Case l't7-cv-03081-RJS Document 8-2 Filed 658/033 Federal Bureau of Investigation Washington, D. C. 20535 March 21, 2017 MR. ANDREW MUSCATO MAKUHARI CIO LAW OFFICE OF DANIEL R. NOVACK 4 NEW YORK PLAZA 2ND FLOOR NEW YORK, NY 10004 FOIPA Request N0.: 1369410-000 Subject: DONAGHY, TIMOTHY (2007 NBA GAMBLING Dear Mr. Muscato: - This acknowiedges receipt of your Freedom of Information Act request to the FBI. The number listed above has been assigned to your request. You submitted your request via the FBI's system. We have reviewed your request and determined that it is compliant with the terms and conditions of the system. You will continue to receive correspondence online. ii? We have reviewed your request and determined that it is not in compliance with the terms and conditions of the system. Future correspondence will be mailed to you. You have requested records-concerning one or more third party individuals. The FBI recognizes an important privacy interest in the requested information. You may receive greater access to these records if they exist by providing one of the foliowing: (1) an authorization and consent from the individual(s) express authorization and consent of the third party); (2) proof of death proof that your subject is deceased)"; or (3) a justi?cation that the public interest in disclosure outweighs personai privacy a ciear demonstration that the public interest in disclosure outweighs'personaf privacy interests). In the absence of such information, the can neither con?rm nor deny the existence of any records responsive to your request, which, if they were to exist, wouid be exempt from disclosure pursuant to Exemptions and 5 USE). 552 and Express authorization and consent. if you seek disclosure of any existing records on this basis, enclosed is a Certification of Identity form. You may make additional copies of this form if you are requesting information on more than one individual. The subject of your request should complete this form and then sign it. Aiternatively, the subject may-prepare a document containing the required descriptive data and have it notarized. The original certi?cation of identity or notarized authorization with the descriptive information must contain a legible, originai signature before FBI can conduct an accurate search of our records. Proof of death. if you seek disclosure of any existing records on this basis, proof of death can be a copy of a death certificate, Social Security Death index, obituary, or another recognized reference source. Death is presumed if the birth date of the subject is more than 100 years ago. Public interest Disclosure. if you seek disclosure of any existing records on this basis, you must demonstrate that the public interest in disclosure outweighs persona! privacy interests. In this regard, you must show that the pubiic interest sought is a significant one, and that the requested information is likely to advance that interest. Fax your request to the ?Work Process Unit at (540) 868?4997, or mail to 170 Marcel Drive, Winchester, VA 22602. if we do not receive a response from you within 30 days from the date of this letter, your request be closed. You must include the request number with any communication regarding Case Document 8-2 Filed 05/03/17 Page 2 of 5 this matter. For your information, Congress excluded three discrete categories of law enforcement and national security records from the requirements of the ,E?Lee 5 U.S.C. 552(c). As such, this response is limited to those records, it any exist, that are subject to the This is a standard noti?cation that is given to all our requesters and should not be taken as an indication that excluded records do, or do not, exist. You may ?ie an appeal by writing to the Director. Office of information Policy (OIP), United States Department of Justice, Suite 11050. 1425 New York Avenue, NW, Washington, DC. 20530-0001, or you may submit an appeal through OlP?s FOlenline portal by creating an account on the following web site: Your appeal must be postmarked or electronically transmitted within ninety (90) days from the date of this letter in order to be considered timely. it you submit your appeal by mail, both the letter and the envelope should be clearly marked "Freedom of information Act Appeal." Please cite the Request Number assigned to your request so that it may be easily identi?ed. . You may seek dispute resolution services by contacting the Office of Government information Services at 877-684-6448, or by emailing ogis@nara.gov. Alternatively, you may contact the FBl's FOIA Public Liaison by emailing toipaquestions?lictbiggy. lf you submit your dispute resolution correspondence by email, the subject heading should cleariy state ?Dispute Resolution Services.? Please also cite the Request Number assigned to your request so that it may be easily identified. For questions on how to reasonabiy describe your request, please email us at foipaquestions@ic.tbi.dov. You may also visit and select ?Services,? ?Records Management,? and "Freedom of information/Privacy Act? for additional guidance. Enclosed for your information is a copy of the Fact Sheet and a copy of the Explanation of Exemptions. Sincerely, David M. Hardy Section Chief; Recordilntormation Dissemination Section Records Management Division Enclosure(s) 7I18l16 Case Document 8-2 Filed 05/03/17 Page 3 of 5 FBI FACT SHEET The primary functions of the FBI are national security and law enforcement. The FBI does not keep a file on every citizen of the United States. The FBI was not established until 1908 and we have very few records prior to the 19205. FBI files generally contain reports of investigations of a wide range of matters, including. counterterrorism, counter?intelligence, cyber crime, public corruption, civil rights, organized crime, white collar crime, maior thefts, violent crime, and applicants. - The FBI does not issue clearances or non-clearances for anyone other than its own personnel or persons having access to facilities. Background investigations for security clearances are conducted by many different Government agencies. Persons who received a clearance while in the military or employed with some other government agency should contact that entity. Most government agencies have websites which are accessible on the internet which have their contact information. An identity history summary check or ?rap sheet? is NOT the same as an file.? It is a listing of information taken from fingerprint cards and related documents submitted to the FBI in connection with arrests, federal employment, naturalization or military service. The subject of a ?rap sheet" may obtain a copy by submitting a written request to CJIS Division Summary Request, 1000 Custer Hollow Road, Clarksburg, WV 26306. Along with a specific written request, the individual must submit a new full set of his/her fingerprints in order to locate the record, establish positive identification, and ensure that an individual's records are not disseminated to an unauthorized person. The fingerprint submission must include the subject?s name, date and place of birth. There is a required fee of $18 for this service, which must be submitted by money order or certified check made payable to the Treasury of the United States. A credit card payment option is also available. Forms for this option and additional directions may be obtained by accessing the FBI Web site at The National Name Check Program (NNCP) conducts a search of the Universal Index (UNI) to identify any information contained in FBI records that may be associated with an individuai and provides the results of that search to a requesting federal, state or local agency. Names are searched in a multitude of combinations and phonetic spellings to ensure all records are located. The NNCP also searches for both ?main? and ?cross reference? flies. A main file is an entry that carries the name corresponding to the subject of a file, while a cross reference is merely a mention of an individuai contained in a file. The results from a search of this magnitude can result in several ?hits? and ?idents? on an individuai. in each instance where has identified a name variation or reference, information must be reviewed to determine if it is applicable to the individuai in question. The Dissemination Section (RIDS) searches for records and provides copies of files responsive to Freedom of Information or Privacy Act (FOIPA) requests for information. RIDS provides responsive documents to requesters seeking reasonably described information." For a FOIPA search, the subject's name, event, activity, or business is searched to determine whether there is an associated investigative file. This is called a "main file search? and differs from the NNCP search. FOR GENERAL INFORMATION ABOUT THE FBI, VISIT OUR AT . . (W) (on) (no) (13(6) and) (W3) 030(9) (10(1) (10(2) (10(3) (10(4) (10(5) (kll?) (10(7) Case Document 8-2 Filed 05/03/17 Page 4 of 5 EXPLANATION OF EX EMPTIONS SUBSECTIONS OF TITLE 5, UNITED STATES CODE, SECTION 552 (A) speci?cally authorized under criteria established by an Executive order to be kept secret in the interest of national defense or foreign policy and (B) are in fact properly classi?ed to such Executive order; related solely to the internal personnel rules and practices of an agency; speci?cally exempted from disclosure by statute (other than section 552b of this title), provided that such statute (A) requires that'the . matters be withheld from the public in such a manner as to leave no discretion on issue, or (B) establishes particular criteria for w1thhold1ng or refers to particular types of matters to be withheld; trade secrets and commercial or ?nancial information obtained from a person and privileged or con?dential; inter-agency or intra?agency mern orandums or letters which would not be available by law to a party other than an agency in litigation with the agency; personnel and medical ?les and similar ?les the disclosure of which would constitute a clearly unwarranted invasion of personal privacy; records or information compiled for law enforcement purposes, but only to the extent that the production of such law enforcement records or inforrnation( A could reasonably be expected to interfere with enforcement proceedings, would deprive a person of a right to a fair trial or an impartial adjudication, could reasonably be expected to constitute an unwarranted invasion of personal privacy, could reasonably be expected to disclose the identity of con?dential Source, including a State, local, or foreign agency or authority or any private institution which furnished information on a con?dential basis, and, in the case of record or information compiled by a criminal law enforcement authority in the course of a criminal investigation, or by an agency conducting a lawful national security intelligence investigation, information furnished by a con?dential source, would disclose techniques and procedures for law enforcement investigations or prosecutions, or would disclose guidelines for law enforcement investigations or prosecutions if such disclosure could reasonably be expected to risk circumvention of the law, or could reasonably be expected to endanger the life or physical safety of any individual; . contained in or related to examination, operating, or condition reports prepared by, on behalf ofagency responsible for the regulation or supervision of ?nancial institutions; or . geological and geophysical information and data, including maps, concerning wells. SUBSECTIONS OF TITLE 5, UNITED STATESCODE, SECTION 5523 information compiled in reasonable anticipation of a civil action proceeding; material reporting investigative efforts pertaining to the enforcement of criminal law including efforts to prevent, control, or reduce crime or apprehend criminals; . information which is currently and properly classi?ed pursuant to an Executive order in the interest of the national defense or foreign policy, for example, information involving intelligence sources or methods; investigatory material compiled for law enforcement purposes, other than criminal, which did not result in loss of a right, bene?t or privilege under Federal programs, or which would identify a source who furnished information pursuant to a promise that hiSI her identity would be held in confidence; material maintained in connection with providing protective services to the President of the United States or any other individual pursuant to the authority of Title 18, United States Code, Section 3056; required by statute to be maintained and 'used solely as statistical records; investigatory material compiled solely for the purpose of determining suitability, eligibility, or qualifications for Federal civilian employment or for access to classi?ed information, the disclosure of which would reveal the identity of the person who furnished information pursuant to a promise that hisi?her identity would be held in con?dence; testing or examination material used to determine individual qualifications for appointment or promotion in Federal Government service he release of which would compromise the testing or examination process; material used to determine potential for promotion in the armed services, the disclosure of which would reveal the identity of the person who furnished the material pursuant to a promise that hisiher identity wriuld be held in con?dence. FBUDOJ Case Document 8-2 Filed 05/03/17 Page 5 of 5 Department of us?ce [if Identity FGRM OMB No. momma EXPIRES 133532;; hirer}: Act Statement, In accordance with '38 CPR Section 3641(6) permits} data suf?cient to identify the Edit-ideas submitting requests by mail under the Privacy Act of 29%, 5 15.3.6. Section 32322:, is required. The purpose of the soiicitation is ta ensure that the records of inelivi?uais who are the subject of Die-partner}: of Justice of records are not mong??ly disrloeed by the. Department. Requeete will not he prooeseed if this infer-13536911. i; not ?rmished. Fake mini-ma?a} on this; fem}. may the requester te cziminei penalties under 18 USE. Sectien 1001. emits: Seminar 5523(i}(3}. Public. repar?ng burden far ?air sensation of infommtiea is estimated it} werege 0.56 11mm per responge, including the time for rat-?iewiag mute-59115, Searching existing date. someea, gathering and mahrtnining the date treated, and eonmieting and reviewing the re?ection of information. Suggestiem for reducing thie burden may be :sabmitted to the Of?ce at? Information and Regt?atm'y Affairs, Of?ce of Management. and Budget, Pubtic {feeRepmts eat 8103-0315}, Wilmington, DC ZGSUK. FuEi Name of Requester I Citizemi?p Stat-?5 2 $ttcial Seetrrity Number 3 .511 {?tment Address Date Oth?h . Place. afBi?h . OPEONAL: Authorization to Release information to Anether Person This farm is ?1350 to he completed by a requester W116 is authorizing relating tr: himgei'f a: herself to be released ta another person- Ful?l 5 v.5: than E?i?a?n) I authorize the Department ef Justice tr: retezme any and all infamatien retaking to: me to: Print or Type Enme I tiedate trader penalty of perjury under the have of the United States 13f America that the foregeing is tme amt correct. anti {223:1 am the. pereen named above, and Itmderetend that any falsi?cation'of this statement is punishable under the ymvieiem of 33 1.3.3.6. Ser?eu 1801 by :1 ?ne of . not more than 310.8% er by imprisonment of net mare than ?ve. years; or bath. and that requestng er obtaining my recer?ie} under fake pretenses i3 pmishabte under the promisiens of 5 {3.3.0 552::{fx3} by a fine cf net eme? than 'Signatm'e? ?3 Date Name of individual wire is the mtb?ect $5 the swarms) eeught. Imiividm} mthn?t?ting a request. under the Privacy Act 9f 19% must be either ?it eitizen of?the Uttited State-rs at an alien Iaw??ly admitted for pernnment Iresideuce,? p1 errant to 5 USE. Sectien 5323(3)(3)- Rec-11mm wit} be pmcesseci as Freedam 5f I?fmmat?m Act requests gamma-f to 5 {18.6. Section rather than Primey Act requests, for indivirimlss who are not United States :5;er or a?iiem inw??iy athnitted for perm residence. Providing yen: social scarcity munber is t?eltmtary. You are asked to provide 3mm" social security muuber only to facilitate the identi?cation ofreoorde relating to you ?Without your eociai security nutmeg the Department may be newbie to Estate any 01? 311 regards pertaining tr: you. Sigmmre of indiv?duai who is the er?aject efthe record 550113111. [303-363 3/27/2017 FOIA ­ Freedom of Information Act Case 1:17-cv-03081-RJS Document 8-3 Filed 05/03/17 Page 1 of 1 Appeal Confirma��on Original Request Information Tracking Number : Requester Name : Date Submitted : Request Phase : Request Track : 1369410­000 Andrew Muscato 03/16/2017 Submitted Simple   Appeal Information Appeal Number : Requester Name : Date Appealed : Basis for Appeal : DOJ­AP­2017­003191 Mr.  Daniel R. Novack 03/27/2017 Mr. Muscato and Dr. Rodenberg's request has been inappropriately treated as a FOIPA request. The request is not for Mr. Donaghy's FBI file; rather, it is for the materials related to his prosecution. Therefore, it is not necessary to provide authorization. Further, exemptions 6 and 7(C) are inapplicable because Mr. Donaghy has no privacy interest due to his public prosecution and conviction. Even if he did, the public interest in determining whether the Department of Justice adequately addressed corruption in the National Basketball Association far outweighs Mr. Donaghy's diminimus privacy interest. To wit, Mr. Donaghy has written a book about his experience. To the extent that Mr. Donaghy ­ or others ­ have any privacy interests, they can be protected through redaction. Sincerely, Daniel R. Novack, attorney for Mr. Muscato, Dr. Rodenberg, and Makuhari Media.   https://foiaonline.regulations.gov/foia/action/registered/appeal/successAppeal?appealExternalRequest=true&appealId=NrejjaatNlANhZ4NpOFu9YIiUji5M6gi 1/1 Case 1:17-cv-03081-RJS Document 8-4 Filed 05/03/17 Page 1 of 1 1425 New York Avenue N.W. Suite 11050 Washington, DC 20005 Daniel R. Novack 4 New York Plaza 2nd Floor New York, NY 10004 March 27, 2017 Dear Mr. Daniel R. Novack, This is to advise you that your administrative appeal from the action of the FBI regarding Request No. 1369410-000 was received by this Office on 03/27/2017. The Office of Information Policy has the responsibility of adjudicating such appeals. In an attempt to afford each appellant equal and impartial treatment, we have adopted a general practice of assigning appeals in the approximate order of receipt. Your appeal has been assigned number DOJ-AP-2017003191. Please mention this number in any future correspondence to this Office regarding this matter. Please note that if you provide an e-mail address or another electronic means of communication with your request or appeal, this Office may respond to your appeal electronically even if you submitted your appeal to this Office via regular U.S. Mail. We will notify you of the decision on your appeal as soon as we can. If you have any questions about the status of your appeal, you may contact me at (202) 514-3642. If you have submitted your appeal through FOIAonline, you may also obtain an update on the status of your appeal by logging into your account. Sincerely, Priscilla Jones Digitally signed by Priscilla Jones Date: 2017.03.27 15:47:59 -04'00' Priscilla Jones Supervisory Administrative Specialist Case 1:17-cv-03081-RJS Document 8-5 Filed 05/03/17 Page 1 of 2 ESPN.com: NBA [Print without images] Wednesday, August 15, 2007 Donaghy's guilty pleas don't answer all the questions By Lester Munson ESPN.com Disgraced NBA referee Tim Donaghy admitted in federal court in Brooklyn, N.Y., on Wednesday that he sold inside information to professional gamblers seeking to score on NBA games. Donaghy's plea of guilty to two felonies and the continuing investigation into gambling on NBA games raise numerous questions. Here are some of the questions and their answers: What exactly has Donaghy admitted? In court papers and in interviews with the FBI, Donaghy has admitted that he began gambling four years ago in violation of NBA rules. Although his plea in court Wednesday didn't include an admission that his bets during those four years included NBA games, the charges against him as outlined in court documents say that he did, and that he bet on games he officiated. He apparently did not do well on his bets. He admits that in December 2006, in an effort to supplement his income, he began delivering inside information on NBA players, referees and coaches to James ("Sheep") Battista, a professional gambler who attended the same high school (Cardinal O'Hara High in Springfield, Pa.) as Donaghy, although they were two years apart. When Donaghy's information proved to be correct and Battista won his bets, Donaghy collected $2,000. Donaghy's information must have been good because Battista soon started paying $5,000 for each winner. What proof does the FBI have of Donaghy's chicanery? Donaghy made literally hundreds of cell phone calls to place his bets and convey information to Battista. Most of the calls went to a Battista messenger, Thomas Martino. The FBI has the phone records of all three men and can show the pattern of calls just before games began and bets were placed. The evidence on Donaghy is similar to the phone records that proved Pete Rose was betting on baseball games when he managed the Reds in 1987 and that led to his lifetime ban from the sport. In addition to the phone records, the FBI can show cash payments made to Donaghy when his information led to winning bets. Did Donaghy's gambling and his work for Battista affect the outcomes of NBA games? Yes. Maybe not always by determining the winner and the loser, but the FBI agents who investigated Donaghy concluded that Donaghy "compromised [his] objectivity as a referee because of [his] personal financial interest in the outcome of NBA games." The actual effect may have been a change only in the point spread, but Donaghy easily could have gone far enough to turn a winner into a loser, or vice versa. As the investigation continues, we will know more about his calls and their effects on specific games. What information did Donaghy provide to earn his $5,000 per game? Court papers indicate that Donaghy told Battista the identities of the refs assigned to a game, described injuries, and analyzed "interactions between players" and "other personnel." The identity of the officiating crew is supposed to be kept secret until game time. But Donaghy, like all 60 NBA referees, knew the schedule and used it in his scheme. Injury information, especially at the last minute in games Donaghy officiated, could be especially advantageous to gamblers. Donaghy's insights on coaches and player rivalries, after 13 years in the league, also could be advantageous to gamblers. How does an exchange of information about a basketball game become a federal crime? Case 1:17-cv-03081-RJS Document 8-5 Filed 05/03/17 Page 2 of 2 The federal case against Donaghy is based on an arcane legal concept known as the "intangible right of honest services." Law professors and judges of higher courts have analyzed and debated "intangible rights" for decades, but in Donaghy's case, it means that the NBA was entitled to honesty and integrity from Donaghy in his work as a referee. Instead of honesty and integrity, the NBA has its worst scandal ever and the integrity of its product is under attack. To achieve his dishonest goals, court documents say, Donaghy made hundreds of cell phone calls, allowing the government to rely on the "intangible rights" concept and to charge him with wire fraud. And his dishonesty allowed the government to charge him with transferring gambling information across state lines, another federal crime. It's a serious set of charges, and Donaghy faces a possible 25 years in the penitentiary. Donaghy faces 25 years in prison for a gambling scheme that lasted six months. Michael Vick is negotiating with authorities for a term of 18 months in the penitentiary in a dogfighting scheme that lasted for six years. Is NBA gambling that much worse than dogfighting? Both are serious crimes. Donaghy does face a 25­year sentence, theoretically, but a prison term of that length is unlikely. The length of the potential term is the result of major changes in federal gambling laws. The changes were designed to destroy offshore sports gambling with Internet bookies. Donaghy is caught under the tough new law. But if he succeeds in assisting the government in its investigation of significant targets, he will be eligible for a lenient sentence. The NBA is likely to argue and lobby for a stiff prison term, but the final decision on Donaghy's time in jail will come from U.S. District Court Judge Carol Bagley Amon. Vick faces charges under a new federal law that is aimed at dogfighting, but the penalties established by the legislation are significantly less than the penalties for gambling violations. It is a quirk in federal crime laws. Many would argue that dogfighting should result in penalties more severe than the penalties for gambling, especially when there is so much legal gambling in the U.S. If Donaghy has already admitted everything, who is the FBI's target in this investigation? Battista was betting big money. In the patois of sports gamblers, he is known as a "mover." He would move the big money around in small parcels, trying to avoid changing the spread with his bets. If Battista put all the money down in one place, he would move the odds against his bet. It appears from court papers that he was betting other people's money. Who are the other people? Are they the targets of this investigation? There is more to come. What's next in this investigation? It does not appear that any other NBA referees are involved. That could change, but it appears to be unlikely. Both Battista and Martino have been arrested and will soon appear in court. As federal agents and prosecutors continue to investigate, we will learn more about others involved in the scheme. Are mafia families involved? Rumors persist to that effect, but there is not yet any solid indication of crime syndicate involvement. Lester Munson, a Chicago lawyer and journalist who has been reporting on investigative and legal issues in the sports industry for 18 years, is a senior writer for ESPN.com. Case 1:17-cv-03081-RJS Document 8-6 Filed 05/03/17 Page 1 of 1 Gaming the Game: The Story Behind the NBA Betting Scandal and the Gambler who Made it Happen Sean Patrick Griffin Barricade Books, 2011 ­ Games & Activities ­ 331 pages 0 Reviews In June 2007, the FBI informed the NBA that one of its referees, Tim Donaghy, was the subject of a probe into illegal gambling. Within months, the public knew the broad outlines of a scheme involving Donaghy betting on games he officiated with a co­ conspirator, longtime Donaghy acquaintance and professional gambler Jimmy Baba Battista. They were joined in the scandal by a mutual childhood friend, Tommy Martino. By November 2008, each man had pleaded guilty to charges relating to the conspiracy, and was in federal prison. The story was over. Or so it seemed to be. Researched with dozens of interviews, court documents, betting records, referee statistics, and unique access to witness statements and confidential law enforcement files, GAMING THE GAME looks inside the FBI's investigation and beyond to provide the definitive account of the scandal. Jimmy Battista's remarkable decades­long bookmaking and betting career is examined, including and especially his role as architect of the widely publicized scandal. Battista, who ­ unlike his co­conspirators ­ never spoke with federal authorities, reveals for the first time the intricate details of the scheme, most of which only he knows. Case 1:17-cv-03081-RJS Document 8-7 Filed 05/03/17 Page 1 of 3 NBA dirt charges true, Gambino squad vet says BY JOHN MARZULLI DAILY NEWS STAFF WRITER Saturday, August 2, 2008, 11:57 PM Retired FBI Agent Philip Scala stands outside Sparks Steak House, where he had rushed to scene (below) when Gambino boss Paul Castellano was gunned down in 1985. (WARGA/NEWS) The man who put away John Gotti, baby-sat Sammy (Bull) Gravano, raided an Al Qaeda bomb factory and helped uncover the NBA betting scandal says Tim Donaghy told the truth. Philip Scala, the recently retired FBI supervisory special agent in charge of the Gambino squad, which uncovered Donaghy's scheme of betting on basketball games he had of ciated, said he believes the disgraced referee's claims that other refs were dirty. Scala, one of the most respected law enforcement of cials in the metropolitan area and a tower of integrity in the bureau, spoke exclusively with the Daily News about his storied career. Case 1:17-cv-03081-RJS Document 8-7 Filed 05/03/17 Page 2 of 3 Donaghy, one of the most infamous turncoats he handled, came under withering criticism from the NBA for his allegations that other referees xed the outcome of games. "He was as emotional and remorseful as I've ever seen a cooperator," Scala said, just days after Donaghy was sentenced to 15 months in jail. "In the course of my relationship with him, I had the insight that he was intent on repaying his debt to society, restoring his family's faith in him and trying to make something better out of his life." Donaghy and his lawyer went to the government last year as soon as he learned the feds were on to him. He was subjected to grueling debrie ngs, then the feds set out to corroborate his claims by interviewing scores of people, including other referees. But when prosecutors wrote a letter to the federal judge outlining Donaghy's cooperation, defense lawyer John Lauro was outraged that the information about other NBA referees and of cials had been omitted simply because no criminal charges were brought. "Donaghy, for some reason, looked up to me," Scala said. "He came to me one day and said, 'It means a lot to me if you could answer this question: Do you believe that I've told the truth?' I told him, 'I believe you.' "I wanted to know why he was asking, and he said, 'I'd appreciate it if you'd call my dad' - and I did that for him," Scala said. Donaghy's father, Jerry, a retired college basketball referee, also wanted to know if the FBI agent believed his son was telling the truth about everything. Scala said he was not merely offering his opinion of the disgraced referee, rather it was his informed assessment of his credibility after his unit - of cially known as C-16 - conducted an exhaustive investigation. "Donaghy told us the truth. Sammy Gravano told the truth; Mikey Scars (Gambino capo Michael DiLeonardo) told the truth," Scala said referring to some of his infamous Ma a rats. "That doesn't mean everything they said ends up in an indictment." Scala, 58, t, dapper and sporting a salt-and-pepper beard and mustache, has put together a consulting rm called Path nder that is collecting information about corruption in professional sports. He brings to the table nearly three decades of investigative experience spanning Gotti's assassination of Gambino boss Paul Castellano, the Retired FBI Agent Philip Scala stands outside Sparks Steak House, where he had rushed to scene (below) when Gambino boss Paul Castellano was gunned down in 1985. (MONASTER/NEWS) 1993 raid on an Al Qaeda bomb factory in Queens that earned him a citation for bravery and the takedown of 62 gangsters last February on racketeering charges. Scala, the son of a baker, grew up in Ozone Park, where his parents instilled the core values of hard work, sacri ce and earning an honest dollar. He attended Archbishop Molloy High School and later earned a master's degree in psychology from New York University and another in business from St. John's. His e-mail address includes the word "tough," but the soft-spoken Scala is a devout Catholic who attends Mass daily and opines on Aristotle's perspective on a life in balance: "Stupidity and cowardice are the extremes; the center is virtue and heroic bravery." "My belief is there's good in everyone," he said. "But I have been in contact with some people who became evil incarnate." Case 1:17-cv-03081-RJS Document 8-7 Filed 05/03/17 Page 3 of 3 Scala won't name the two or three folks in that hellish category, in part because one remains on the street. He remains tight-lipped on many subjects because he still retains "top secret" clearance from the government for consulting work. There will be some good war stories in a book he's working on, though. Here's one: After Gravano stunned the underworld by defecting, Scala was assigned to guard the prize witness in a hotel room on Governors Island. "We were watching TV and there was a piece on the nightly news about Jeffrey Dahmer," Scala recalled. "Sammy said, 'Look at this sick bastard,' and an agent said to him: 'Sammy, you killed 19 people.'" The glib Gravano got the last word: "You can't compare me to Dahmer; what I did was business." The December 1985 night Castellano was gunned down in front of Sparks restaurant in midtown, Scala raced from his home in Queens to the scene where the powerful mobster lay dead in the gutter. Retired FBI Agent Philip Scala stands outside Sparks Steak House, where he had rushed to scene (below) when Gambino boss Paul Castellano was gunned down in 1985. (XANTHOS/NEWS) The renegade killing of a boss without the permission of the leaders of the four other mob families was a "watershed" event, Scala said. Gravano solved the Castellano murder case against Gotti, and opened the oodgates for powerful turncoats as never before. Like Donaghy, DiLeonardo, a former capo and close friend of John A. (Junior) Gotti who has started a new life in the witness protection program, also left an impression on Scala. "I have respect for him now; not for him in his dark days," Scala said of DiLeonardo. "Redemption is possible, but some people need to spend the rest of their days in jail." jmarzulli@nydailynews.com © 2016 New York Daily News Retired FBI Agent Philip Scala stands outside Sparks Steak House, where he had rushed to scene (below) when Gambino boss Paul Castellano was gunned down in 1985. (RICHARDS/AP)