Liston-Clay I; Where the money went?

February 25, 1964
REVENUE;
* Live Gate;,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, $402,000
* Closed Circuit Theater Ticket Buys,, $4,000,000
* Radio Broadcast Rights,,,,,,,,,,,,,,,,,,,,,$115,000
* Overseas Radio Broadcast Rights,,,,,,,,$125,000
* Community Antenna (Cable TV),,,,,,,,,$100,000
* Advertisers (TNT Network),,,,,,,,,,,,,,,$125,000
* Motion Picture (Future Movie Rights),,,$50,000
* Other Fight Related Revenue,,,,,,,,,,,,,$15,000

TOTAL $4,922,000

 

Soon to be posted on a 'site' near you.
After I calculate the #'s, I'll post it later today.

Be patient, it only took 3-days for U.S. District Attorney to figure that out, and thats with about 20-people working for him.

 

February 25, 1964
PAY-OUTS
* Sonny Liston,,,,,,,,,,,,,,,,,,,,,$1,365,000
* Cassius Clay,,,,,,,,,,,,,,,,,,,,,,,,$630,000
* Theatre Operators,,,,,,,,,,,,,$1,752,000
* TNT Network,,,,,,,,,,,,,,,,,,,,,,,$362,000
* Inter-Continental Promotions,,,$813,000

TOTAL PAY-OUTS $4,922,000

 

Of course, the numbers added up exactly when all the revenue was tallied.

But, the 'live gate' was supposed to bring in $625,000, not the $402,000 posted,
so Liston and Clay were shorted in total $223,000.
But it got worse, Bill MacDonald only turned in $225,000 of the $402,00 'live gate'
receipts.
So Liston and Clay were really shorted $400,000.

This portion of the fights revenue became a deep routed problem, and took years to
settle.
On February 2, 1966, this case was heard in the U.S Circuit Court.
Sonny Liston, President of Inter-Continental Promotions Corp. vs. Bill MacDonald of
Dundee-MacDonald Enterprises.
ICP was seeking $400,000 in owed money obligations from Bill MacDonald.

 

jaffay,

That's where everything gets convoluted.
The Florida State Attorney General and the Miami Beach Boxing Commission withheld only Sonny Liston's purse from Inter-Continental Promotions Corp., pending an investigation.
They could only get their hands on $367,000 of the $402,000 'live gate' receipts,
as Bill MacDonald took $35,000 cash before the commssion could get access to the money, to pay for day of the fight costs to the preliminary boxers, concessions, attendee's working the fight, and other immediate neccessities.

The commission said they would withhold the $367,000 until their investigation was complete, in determing if any
'foul-play' was involved, including fixing of the fight, and Sonny Liston's so-called shoulder injury.

But Bill MacDonald pleaded with the Boxing Commssion to release funds to him, so he could pay all the sub-contractors that he owed for services at the fight, which included security, publicity, printing, lighting, electrical and other direct fight-related costs.
Bill MacDonald stated that he would be responsible for reimubursing any funds back to the Liston camp, since he was the local promoter, and had a working relationship with ICP, the main promoter.
The Boxing Commission agreed, that it was of the utmost importance that the local businessman get paid for their services.

Bill MacDonald also produced a Bond Gurantee for $300,000 to provide insurance on any lost funds.
The Commission agreed to release $142,000 back to Bill MacDonald, so he could pay his
fee's to the contractors (MacDonald showed proof of bill statements that he needed $142,000).
The Boxing Commission withheld the rest of the 'live gate' purse of $225,000, which would be released to Sonny Liston after the investigation.

Suprisingly, the Miami Beach Boxing Commssion did not attempt to withhold any of the revenues that Sonny would
receive from TNT, Corp and the closed circuit theatre operators, upwards to $965,000.

 

THE CUTS
Cassius Clay's fight purse was fairly simple.
$630,000

BREAK-DOWN
$405,000 (22 1/2% of closed circuit theatre net revenue. Clay did not get any money from Private screening contracts)
$225,000 (Live gate; Pre-fight contract)

$315,000 for Cassius Clay
$315,000 for Louisville Sport Group (Management Team)

Bill MacDonald owed Cassius Clay an additional $33,000 for a personal services type agreement, as part of his 3-week media circus, which was to be paid from the 'live gate' receipts, after the fight.
No ones sure just how much of that 'self promotion tour money' he got.

Cassius Clay also received $50,000 from ICP, as part of the agreement to allow ICP to promote Cassius Clay's next fight, if he won the title.
Which he did.

 

INTER-CONTINENTAL PROMOTIONS CORPORATION
ICP; Inter-Continetal Promotions, Sonny Listons promotional
management corporation.
The Fight Promoters.

$813,000 TOTAL PAY-OUT (37 1/2% of closed circuit theatre net revenue)

$365,850
Robert Nilon and James Nilon
Robert and James were brothers of Jack Nilon, (Sonny Liston's manager)
The brothers were both Executive Vice Presidents of the ICP, Corporation.
They owned 45% of the shares and split the $365,850 Fee.
Their cut $182,925 each (22 1/2% each)

$406,500
Sonny Liston; President of the ICP, Corporation
Sonny Liston originally owned 50% of the ICP Corporation shares.
Sonny owned the most shares in the corporation, and had final say in all
dealings and contracts, despite being illiterate (not being able to write or read, except for minor writing).
But, Sonny had turned over nearly half his shares in the
ICP, Corporation to Samuel Margolis. Margolis owned (22 1/2%) of the corporation, for reasons unbeknownst to all, except that Sonny Liston liked him.
$182,925; Sonny Listons cut from ICP; (22 1/2%)
$182,925; Samuel Margolis cut from ICP, (22 1/2%) by way of Sonny Listons shares.

Sonny had also turned over another 5% of the ICP Corporaton shares to Camden, New Jersey Attorney,
Salvatore J. Avena, for no particular reason.
$40,650; Salvatore J. Avena cut from ICP, (5%) by way of Sonny Listons shares.

Note; Sonny Liston turned over (27 1/2%) of the ICP Corporation shares to (2)
people who did absolutely nothing in Inter-Continental Promotions, other than knowing Sonny Liston.
In total $223,575 or 55% of Sonny Liston's ICP return from the Liston-Clay I fight.

$40,650
Garland Cherry, Attorney for Iinter-Continental Promotions Corporation
Kassab, Cherry, Curran Law Firm
Garland Cherry owned 5% of the corporations shares.

Inter-Continental Promotions gave Cassius Clay $50,000 for the rights to promote his next fight, if he won the title
from Sonny Liston.
All parties above contributed in the $50,000 amount, with equal portions of the shares in ICP.
Nilon Brothers,,,,,,$22,500
Sonny Liston ,,,,,,,$11,250
Samuel Margolis,,, $11,250
Salvatore J. Avena, $2500
Garland Cherry,,,,,,, $2500

 

TNT NETWORK

$362,000

TNT Network, Inc.
Theatre Network Television, Corp.
President; Nate Halpern
Was the largest Theatre Television Company in the United States.
They handled the live feed broadcast from the Convention Hall, in
Miami Beach.
The live feed was broadcast in black & white.
Steve Ellis was the fight announcer, and Joe Louis provided commentary.

TNT utilized (6) cameras.

Sonny Liston was made on Officer in the TNT Network Corporation,
before the fight.
Actually he was made a 'spokesperson' to handle theatre broadcast race relation problems in the south,
primarily in New Orleans. Several theatre owners wanted to broadcast the fight in segregated only viewing.

The fight was broadcasted to 250 Theatres and Private screening halls,
with approximately 550,000 spectators.
Gross amount $4,000,000

The theatre operators gross revenue $1,752,000 (approximately 45%)

 

SONNY LISTON

$1,365,000

Sonny Liston was to receive this portion from ICP, as payment
from the closed circuit theatre receipts, which also included
an agreed fee of $400,000 from the live gate.
Adjusted it was;
$965,000 (40% of the closed circuit theatre net revenue + other ancillary rights)
$400,000 (Live gate; Pre-fight contract)

The contract with Jack Nilon (Sonny's manager) was somewhat
confusing. Jack's expenses to run the operations, training camp,
sparring partners, equipment, food, transportation, hotels, telephone,
insurance, business meetings, clothes, lawyers, trainers, medical needs,
fitness instructor, hangers ons, cook, valet, doctor on call, massage therapist, and other incidentals added up.

Plus there were other portions of Sonny's other earlier contracts that were still being deducted.
Also, several lawyers, who handled Sonny's legal battles, drunk driving
and other issues.

Add to the demands of Liston, always wanting more money and special considerations, put things between the manager and fighter at edge.

By September 1964, 2 months before the first scheduled re-match
to be held in November, at the Boston Garden, Jack Nilon had enough and would resign as Sonny's manager.

In August 1964, when the Nevada State Boxing Commssion were debating over whether to sanction the
rematch between Ali vs. Liston, and while reviewing the contracts, Las Vegas officials came to the conclusion, that Sonny Liston only owned 10% of himself.
With numerous secondary contracts, percentage splits and personal loans, Sonny Liston didn't even own himself on
simple personal service contracts.
The boxing officials in Las Vegas determined, that with all the baggage surrounding Mr. Liston, they felt that he had left himself open for possible conflicts of interest and behind-closed-door dealings.

 

I'll have to yank that from my files,,,,,,,,,,,,Oh it gets worse:nut

The rough numbers;
Live Gate,,,,,,,,,,,,,,,,,,,,,, $200,000
Closed Cicuit Revenue,,,,$4,000,000