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On this page I will include some news and editorials as I find or write them. The opinions contained herein may reflect the beliefs of Owen Neale and no other person, organization or company. They do not reflect the opinions of any external club, association or organization affliated with the sport of bobsleigh. If a person wishes to add and information or their own opinions to this page then please e-mail me.

A little background...

During September 2008, the Alberta Gaming and Liquor Commission (Gaming) concluded a hearing into the activities of the Calgary Bobsled Club. As a former member of the club executive I was called by Gaming and asked several dozen questions about my past with the club. On August 27, 2008 I was asked to attend a hearing at the Gaming offices in Calgary.

Gaming made a descision based on the hearing. This link will open a document that is a copy of the "Decision Following a Hearing Before a Panel of the Board of the Alberta Gaming and Liquor Commission" pdf-file (1.1MB) It is important to carefully read this document before continuing. Also, this is the document I'm referring to when you see the following line or one like it (eg. Ref. Gaming Document, Page 1, Section I, Paragraph 1.) later on in the webpage.

The following is a copy of the body of the email that was sent to the Calgary Bobsled Club Members Thursday, November 27, 2008 @ 4:40 PM.

Subject: Calgary Bobsled and Skeleton Club

Dear Fellow Calbob Member (and friends)

This email is well overdue but in an effort to let athletes be athletes, officials be officials I for one have been guilty of being less than communicative in a vain attempt to solve our issues.

History:

As many of you know Calbob has been in existence for over 20 years providing sliding opportunities to local athletes in the sports of bobsled and skeleton. An incredibly expensive sport but one we have been able to subsidize heavily by our association with Alberta Gaming and our ability to work Bingos and Casinos.

Our operating budget on a yearly basis is close to $50,000 of which 99% is paid to CODA for sliding expense, race entries and sled storage. Nicely a revenue of $50k has been forthcoming from bingos and gaming. These funds are strictly legislated about what we can spend money on, and we have been heavily audited in the past to ensure we are complicent. In fact gaming money gathered from bingos and casinos is essentially ‘gamings’ money, they just let you spend it on bobsled/skeleton stuff if it meets their criteria. So that sled you slide in is essentially theirs and the reason you haven’t been able to buy shoes, helmets etc very easily is that can not come out of gaming funds – storage, new sleds, race fees etc no problem.

Current Situation:

Recently we were audited by Alberta Gaming. Close to $200,000 of revenue was audited and like in previous audits all was fine – we had a small issue of not being able to find a receipt for painting a sled, an issue of a club member doing work on sleds and getting paid for it and using gaming bought sleds and gaining rental from sleds from intl nations. The total amount was minimal and paid back immediately to the gaming account from our general account.

However during the course of the audit it was revealed that a former, disgruntled club member had in fact called Alberta Gaming and revealed a number of ‘tales out of school’ against the club. The issues raised questioned our accounting techniques and accountant, accused us of falsifying gaming documents, questioned our association with our skeleton group, Rocky Mountain Skeleton, and he brought into light with Gaming that we were in fact NOT eligible to receive gaming funding due to the fact that we do not provide any services to either youth, aged or disabled as per Alberta Gamings legislation.

Gaming Legislation:

http://www.aglc.gov.ab.ca/pdf/charitable_gaming/charitable_gaming_policies_handbook.pdf

Specifically Page 64 – Sub Clauses 6 and 7

As we are now deemed ineligible for funding we can not get our licensee back and with no license we can not fund raise through gaming. Additionally and due specifically to many vindictive lies and petty allegations leveled against our club President, Kathy Carry has been removed from any dealings with Alberta Gaming therefore essentially removing her from the club.

If that was the end game of these sleuthing, back stabbing allegations then I congratulate you, however a simpler and less painful way would probably have been to have nominate an alternative at an AGM.

Future:

To move forward as a club we must present to gaming an eligibility document outlining that 50%!! of their revenue goes towards one or all of the three groups mentioned above. Obviously we need to do this to move forward to sustain as a club and literally to keep our (their) equipment as club equipment for our members to use. This will reduce our revenue by 50% so obviously a number of changes will occur in the future over how we fund raise, how we operate as a club and how expenses incurred by members are compensated.

Currently we are working with our provincial organizations and CODA to build a junior program that will render us eligible but as outlined above severely reduce our operating revenue available to you.

Once the above is complete I will be stepping down as my role as VP and inadvertently President since Kathy has been removed, those that know me know my passion for the whole ‘going down the hill’ side of our wonderful sports, I am sickened by the events of above and has consumed mine, Kathy’s, Sarah Paes’s and Bill Shead’s time and patience. Literally the actions of one (though I know he did not do this all on his own) has affected not only our club, but other clubs and both provincial associations.

I would suggest anybody wanting to step up to any role inside the club to do so immediately so that you can hit the ground running and be involved in the solution moving forward. I also send this email to our friends at Foothills Bobsled Club so they can be aware of this legislation and a personal offer of help negotiating this mine field so you too can become eligible for future funding.

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The person that wrote this told me once that an email written with a lot of passion should never be sent until a 24 hour cooling off period had passed. That person may have forgotten their own advice before hitting the send button.

The rest of the webpage will be devoted to addressing the statements made in the email sent to the Calgary Bobsled Club (CBC) members. The orignal email wording will be in blue my comments will be in red, any text taken from the Gaming PDF document will be in purple and the text taken from the Gaming Policy Handbook will be in green. I will go through the document sentence by sentence. If I skip a sentence, the interpretation is that I agree with the statement as printed in the email.

Subject: Calgary Bobsled and Skeleton Club The Alberta Corporate Registry lists the club name as the Calgary Bobsled Club, with a status of "struck". There is no record of being named the Calgary Bobsled and Skeleton Club. Ref. Gaming Document, Page 2, Section III, Paragraph 2.

Our operating budget on a yearly basis is close to $50,000 of which 99% is paid to CODA for sliding expense, race entries and sled storage. Based on a simple calculation the club was spending $500 per year on sled maintenance, repairs and equipment acquisition. Between 2004 and 2006 the club had expenses of $3,400 (expenses with no supporting documents paid to club member for sled maintenance). $3,052 (miscellaneous expenses - no supporting documentation). Ref. Gaming Document, Page 4, Section VI, Paragraph 3. This amount is significantly higher than the $1,000 claimed in the email for the same 2 year period.

Nicely a revenue of $50k has been forthcoming from bingos and gaming. During the audit period June 1, 2004 to May 31,2006 CBC earned gaming proceeds totalling $187,118 and expended $131,468 of this amount. Ref. Gaming Document, Page 1, Section III, Paragraph 1. This revenue forthcoming from bingo is $43,000 higher than stated and the expenses total is $10,000 per year higher than stated in the email. Does the sender know the correct amounts? Or is this more misinformation?

the reason you haven’t been able to buy shoes, helmets etc very easily is that can not come out of gaming funds These items can be obtained with Gaming funds. The change is that all the equipment must be returned to the club at the end of each sliding season. Gaming Handbook Page 109. Standard: 4. a-e.   In the past the athletes kept the equipment. Sometimes, thinking the equipment had been earned by working a Gaming event, the athletes sold the equipment rather than return it to the club.

like in previous audits all was fine After reviewing an Executive Summary report dated March 13, 2008 prepared by the Forensic Audit Branch of the Regulatory Division of Alberta Gaming and Liquor Commission (AGLC), the Board, without hearing, imposed the following penalty under Section 91(1), Gaming and Liquor Act (GLA), on the Calgary Bobsled Club (CBC). Ref. Gaming Document, Page 1, Section I, Paragraph 1. Does this sound like the audit was "fine"?

we had a small issue of not being able to find a receipt for painting a sled the total owing of $39,103... and $3,052 for unsubstantiated expenses. Although Ms Carry committed to providing outstanding receipts to resolve all audit issues, she only provided receipts for $236, which amount was deducted from the $3,288 originally requested. Ref. Gaming Document, Page 6, Section VIII, Paragraph 3. The club needs to find a SINGLE receipt for $3,052 that was spent painting a sled. Or is this more misinformation?

using gaming bought sleds and gaining rental from sleds from intl nations. $4800 in rental revenue collected and put in the general account. Ref. Gaming Document, Page 6, Section VIII, Paragraph 3. Rental income from equipment bought with Gaming funds must go back into the clubs Gaming bank account. Gaming Policy Handbook Page 110. Standard: 6

The total amount was minimal The $12,344 was subsequently reduced at the Hearing to $11,252... Ref. Gaming Document, Page 7, Section IX, Paragraph 1. If $11,252 is considered minimal. How much money does the club have in is General bank account?

However during the course of the audit it was revealed that a former, disgruntled club member had in fact called Alberta Gaming   He did call AGLC with concerns about CBC.   Ref. Gaming Document, Page 5, Section VI, Paragraph 5.   My phone call to gaming was made on September 15, 2005. On that date CBC was having it's annual general meeting. As Vice-president of the club I knew that people would asking about the status of the club's casino license.   Kathy Carry had been telling club members, for months, that our application was on hold. The reason was that gaming was auditing our shoe and helmet purchases.   During my call to gaming I was told that the club did not have an application for a Casino.   When I corrected Gaming and said it was on hold, I was told that licenses are either in progress or denied.   Calbob did not have an application in either list.   Meaning that Calbob (Kathy Carry) had never submitted a Casino application.   A 100,000 watt red light went off inside my head as Gaming told me that I was being fed misinformation by Calbo's president (Kathy Carry).   Immediately I went to vist a lawyer I knew.   After telling him what Gaming told me, he insisted that I resign at the AGM that night.   His thinking was that this was the tip of a VERY LARGE iceberg and that when Gaming did conduct a foresnic audit of the club that there would be serious consequences.   That night at the AGM I was asked about the status of the casino license by a club member.   When I said that no application had ever been sumbitted, Kathy corrected me and said that we did have have an application, but it was on hold.   I then corrected Kathy and told her what Gaming had said.   Kathy then stated that "Gaming does not know what they are talking about."   At this point I resigned from the club and told people that my lawyer had advised me to do so.   One person made the comment "When did Shelly (my wife) become your lawyer?"   Seeing as no other person there could see the same red light I could, I left the club.   This, to me, is the defining moment in the club' problems.   No matter what the members are told they would only listen to Kathy.   At this time Kathy could have saved the club from the trouble that was coming.   She could have said that she had never filed a casino application, as she was too overwhelmed with her career, ancient PC accounting package, and life.   I know that people like Ross, Sara, Johanne Smith, Dennis Troughton and (even) I would have been happy to help sort out the issues.   The reason that I resisted calling gaming from 2003 to 2005 to ask about our application was that I was afraid that it would raise a "red flag" against Calbob.   Obviously, if the vice-president doesn't know what is going on with the club there must be problems and the audit process should be started.   Jackie DiSalvo, Gaming Hearing Officer, confirmed this belief during her phone call TO ME in May 2008.

and revealed a number of ‘tales out of school’ against the club.   Another way of saying "What happens in Vegas, stays in Vegas." Tales Definition   The orignal call that I received from gaming, May 2008, told no "tales out of school" as I held the traditional Calbob company line.   However, as the call went on I began to feel physically sick to my stomach as I told each lie.   During the spring of 2008 Calbob did something that was very hurtful and embarrassing to me. (enough said)   The combination of the feelings were enough to convince me to answer each question from Jackie DiSalvo,  as truthfully and fully as possible.

and he brought into light with Gaming that we were in fact NOT eligible to receive gaming funding due to the fact that we do not provide any services to either youth, aged or disabled as per Alberta Gamings legislation.   9. An adult sports group may be eligible for licensing if the Board determines at hearing that the public benefit to the community derived from the adult sports program is of such importance that it warrants an exception to the policy that adult sports groups providing only programs for adults are not eligible for gaming licensing. Page 67 Number 3.22 Rule 9. Gaming Policy Handbook   I've been actively encouraging ABA, as I don't belong to Calbob, to meet with Gaming to make sure that rule 9 is applied to Calbob, ABA and Foothills Bobsleigh.   Bobsled is an Olympic sport, that statement should garner the necessary level of importance.   ABA should continue to get Gaming licenses as it is a governing body. Page 65 Number 3.22 Rule 4.   If we wait until gaming cancels all applications, due to the fact that we are a sport for Adults, the moment will be lost.   We need to be proactive and educate Gaming about the sport. We also need to encourage athletes,  family and friends to contact their Member of Legislative Assembly (MLA) as well as the Cabinet Minister in charge of Gaming.   As well Gaming has an excellent record for funding Olympic Sliders.   Duff Gibson (Gold medal Torino 2006) and Jeff Pain (Silver medal Torino 2006) both worked bingos.

As we are now deemed ineligible for funding we can not get our licensee back   The issue before the Panel relates to a recommendation from the Regulatory Division to revoke the status of CBC  a group eligible to receive gaming licenses due to the failure of CBC to produce supporting documentation for $12,344 expended  during the audit period June 1, 2004 to May 31, 2006. Ref. Gaming Document, Page 7, Section IX, Paragraph 1.   The failure to provide supporting documentation for $12,344 is the reason Calbob is inelegible for funding. Not because I mentioned the following pages from the policy handbook at the hearing.   Gaming Policy Handbook Page 64 – Sub Clauses 6 and 7

due specifically to many vindictive lies and petty allegations leveled against our club President, Kathy Carry has been removed from any dealings with Alberta Gaming therefore essentially removing her from the club.   The Panel further directs Kathryn Carry to remove herself from any executive position with CBC for a 3 year period and directs that CBC holds an AGM to appoint a new Executive. Ref. Gaming Document, Page 7, Section IX, Paragraph 5.   Vindictive? Petty? She won't cooperate with Gaming. She has single handedly collapsed the best bobsled club in the world.   The club owes thousands of dollars to Gaming. Here's the best part. No one dropped the dime. Gaming figured it out themselves, when Kathy failed to file several years worth of financial reports.   I don't see where Kathy has been removed from any dealings with Gaming. Calbob, yes, she is banned for 3 years from an "Executive Position".   I think she can still be a club member. Also, how Calbob is going to  establish and implement proper accounting procedures   (Ref. Gaming Document, Page 7, Section IX, Paragraph 5.)  if the new Treasurer is not allowed to talk to her?

If that was the end game of these sleuthing, back stabbing allegations then I congratulate you, however a simpler and less painful way would probably have been to have nominate an alternative at an AGM.   Mr. Dominikovich indicated that he was the one who asked Ms. Carry to stay on.   Ref. Gaming Document, Page 6, Section VII, Paragraph 4 (from top of page) They always had difficulties getting a quorum to hold AGMs, especially as they have to have 50% of the membership present.   Ref. Gaming Document, Page 6, Section VII, Paragraph 4 (from top of page)   She corrected Mr. Neal's (sic) evidence as CBC bylaws require 75% of the membership to be present at AGMs   Ref. Gaming Document, Page 5, Section VI, Paragraph 2 (from top of page)
I, obviously, am not very good at sleuthing and back stabbing.  It took 3 years from my resignation before Kathy was forced out of the Calbob executive by Gaming.   During that time I never called Gaming or mounted a gossip campaign to achieve my "end game".   Talk about taking the "Tiki Tour".
Removing a board member is not as easy as one would think. If you want Kathy to leave you have to get two-thirds of the members to agree that she should leave.   Ross is one of many that didn't her to go, the rest didn't care as long as they could slide.
  See Calbob by-laws Page 2, Rule 2, Subsection e (second paragraph of club bylaws page 2).
Here is a link to page 2 of 7 of the Calbob bylaws Page 2
Or wait for 5 years for her term to end. In this case September 15, 2010.
See Calbob Bylaws. Page 2, Rule 3. Subsection vii, Item 1.
Again, page 2 of 7 of the Calbob bylaws Page 2
Then an AGM has to be held, which was almost impossible to do as Kathy didn't want to hold them as less than 51% of the club members would show up.
According to the General By-Laws of the Calgary Bobsled Club The AGM attendance number is 51%.
  See Calbob by-laws Page 6, Rule 5, Subsection c
Here is a link to page 6 of 7 of the Calbob bylaws Page 6
Lastly, to vote her out at election time, you need 7 (yes, 7) other directors to be in place or be winners over her in an election.
  See Calbob Bylaws. Page 2, Rule 3. Subsection vii, Item 1.
Page 2 of 7 of the Calbob bylaws Page 2
Again, as most club members were continuing to slide, why would they want to change the status quo? Several of us had gone along with the situation for over 10 years.

Here are the links to all the Calbob by-law pages. Page 1    Page 2    Page 3    Page 4    Page 5    Page 6    Page 7   

To move forward as a club we must present to gaming an eligibility document outlining that 50%!! of their revenue goes towards one or all of the three groups mentioned above.   Therefore, the Panel directs CBC to:
    *    repay its gaming account $11,252 or provide a repayment plan satisfactory to the Regulatory Division by October 15, 2008; and
    *    establish and implement proper accounting procedures, satisfactory to the Regulatory Division by October 15, 2008.
The Panel also directs that Regulatory Division conduct an eligibility review on CBC, to explore its relationship with RMSC (Rocky Mountain Skeleton Club).   The gaming account of CBC is to remain frozen until these conditions are met to the satifaction of Regulatory Division.   ...and directs that CBC holds an AGM to appoint a new Executive.
  Ref. Gaming Document, Page 7, Section IX, Paragraph 3-5.   The items above are the future of the club. I'm sure that the $11,252 has been repaid, only the club executive knows the correct answer.   Figuring out how to avoid failing the Regulatory Division elegibility review is future. Here is an idea. HIRE A LAWYER to represent the club and give advice!!!   When Calbob fails the Regulatory Division elegibility review of its relationship with RMSC. There could be serious consequences.   Regulatory Division's recommendation that CBC license not be reinstated and that it be required to donate its remaining funds,  in additional (sic) to all assests purchased with gaming funds to a charitable or religious group that are in good standing with AGLC.   Asset would include all skeleton sleds operated by RMSC that were purchased with gaming funds and improperly transferred to RMSC.   Ref. Gaming Document, Page 7, Section VIII, Paragraph 2.   This potential punishment from Gaming would be the death sentence for Calbob and RMSC. Possibly the equipment and money could be given to ABA, ASA or Foothills Bobsleigh.   The real question becomes what would any of those groups do with the equipment? Sell it, trash it, fix it?

Currently we are working with our provincial organizations and CODA to build a junior program that will render us eligible but as outlined above severely reduce our operating revenue available to you.
Read the Gaming handbook again! You don't need to set up a junior program to become eligible for funding.   You need to convince gaming that Bobsled is an adult sport group that is eligible because the benefit to the community is of such importance that it warrants an exception to the policy.
Page 67 Number 3.22 Rule 9. Gaming Policy Handbook

I am sickened by the events of above and has consumed mine, Kathy’s, Sarah Paes’s and Bill Sheard’s time and patience.
  Should the status of CBC as a group eligible to receive gaming licenses be revoked for failure to provide supporting documentation for expenditures during the audit period June 1, 2004 to May 31, 2006?   Ref. Gaming Document, Page 2, Section II, Paragraph 1.   Ms Carry was advised when CBC was suspended that she could request a Hearing before the Board within 30 days receipt of the letter, however, a hearing was not requested.   Ref. Gaming Document, Page 2, Section III, Paragraph 1.   Ms Carry was contacted on June 21, 2006 and verbally advised of the audit and this was followed up by a letter.   Over the course of the next year and a half many telephone messages and letters were sent to Ms Carry requesting she provide information for the audit.   From June 21, 2006 to January 2, 2007 the auditor was only able to obtain some cancelled cheques and faxed copies of invoices.   On February 16, 2007 Ms Carry provided some more information, however, the information was still incomplete.   The auditor made several unsuccessful attempts to obtain addtional information.   Ref. Gaming Document, Page 2, Section III, Paragraph 3.   Ms Carry advised that at the time of the audit, CBC's Board was going through some changes and was to all intents and purposes dysfuntional.   She admitted not having a lot of time to control the activities going on.   In the fall of 2006 her home was being renovated and the accounting records of CBC were boxed and stored with other household items.   She explained this to the auditors at their first meeting.   Ref. Gaming Document, Page 3, Section IV, Paragraph 2.   Ms DiSalvo could not reconsile CBC having that amount of dollars sitting in its general account and not acquiring a suitable accounting package to some some of the accounting issues.   While she understood that CBC provides funding for athletes, she pointed out that it has already had its bank account frozen for refusal to co-operate.   She pointed out that a package of information sent to Ms Carry in May was returned to AGLC as Ms Carry refused to pick it up.   She noted that she had been with AGLC for 6 years, completed some 400 audits and this is the first time she had to go to Hearing because a group would not provide its books and records.   Ref. Gaming Document, Page 6, Section VIII, Paragraph 1.   ...was that although she had provided some information, it was still incomplete.   Ref. Gaming Document, Page 4, Section V, Paragraph 2 (from page top).
Sickend? We need a moment to review. The club never submitted financial statements to Gaming for 2004, 2005 and 2006.   Therefore Gaming thinks that the club should have its license suspended and accounts frozen.   Kathy is sent a notice of the suspension of its Gaming license and that Calbob can request a hearing into the matter.   But the club doesn't reply.   So Gaming decides to audit the club.   Kathy does barely anything to help Gaming conduct the audit. More red flags go up.   Then Kathy throws the directors under the bus, when she claims that the board was dysfunctional. I'd be sick if I'd read that too.   However, she still doesn't do anything to make it look like Calbob wants to cooperate. She continually won't turn over documents.   Ms DiSalvo is left wondering is going on with the club. No other club has ever refused to cooperate. More red flags.   Lastly we get to the Hearing of August 27, 2008, over 2 years after the initial letter to the club.   Guess what? There are still missing documents. Read the pdf from Gaming, Kathy asks Gaming to provide a summary of the missing documents at the Hearing!   People should be sick about this. They should be upset about the loss of time. Their patience should be worn thin.   Kathy Carry, for reasons unknown to me, continually did things that were detrimental to the club. People should be sick about this.

Literally the actions of one (though I know he did not do this all on his own) has affected not only our club, but other clubs and both provincial associations.   I'm blushing. You give me too much credit. Oops, you took some back. Kathy deserves a good chunk of blame as well. The entire club deserves blame as nobody every stood up to her.

Once again I beg everyone to read the Gaming document. If you want to contact me to discuss this, please feel free. Remember I gained NOTHING material from doing this. However, there has been a weight taken off my shoulders.

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