Henry Fined $500,000 For Revenue Sharing Comments

In early December 2009, Red Sox principal owner John Henry wrote a lengthy email about baseball's revenue sharing system. Henry revealed this afternoon that he was fined $500,000 by MLB for those comments.

The large markets aren't allowed to give their opinions. I made statements which turned out to be true, or at least there were various documents that were leaked after that. But anyway, the large clubs are not allowed to talk about it.

Henry's words can be read here, some of which is snipped below:

Change is needed and that is reflected by the fact that over a billion dollars have been paid to seven chronically uncompetitive teams, five of whom have had baseball's highest operating profits. Who, except these teams, can think this is a good idea? ...

While the Red Sox are in the 16th largest media market we've found a way to be very competitive even though we are funding other teams. ... [Baseball needs] an effective competitive balance tax that directly addresses disparity once and for all ...

It's a very simple approach in which payroll tax dollars replace revenue sharing dollars and go directly to the clubs that need revenues in order to meet minimum payrolls that should be imposed on each club receiving revenue. Further, players would have to be protected with a guaranteed minimum percentage of overall revenues. This would be a very simple and effective method in reducing top payrolls and increasing bottom payrolls with no tax on revenues. ...

Baseball has determined that the best way to deal with the Yankees is to take as much of their revenue as possible. I see that in direct opposition to the ideals this country was built on. Baseball is a business and should be treated as such. Baseball is also a sport that needs competitive balance in order to prosper. Taxing their revenues and other "large markets" in the way it is presently done, is simply confiscation on an order of magnitude never seen in any industry in America. ...

It's amazing because owners, some of the most ardent capitalists in the country – who have all made their fortunes through capitalism, have imposed a tax system on baseball they would never sit still for in any of their industries.

The Globe's report concludes with this gem:

MLB spokesman Pat Courtney would not comment on whether Henry could face additional punishment for revealing the amount of his fine.

1. Fining Henry -- or any club executive -- any amount of money for offering an opinion is asinine. Bud Selig is a big boy, and he ought to be able to handle some open discussion and/or dissent about the sport.

2. But as long as MLB is determined to have any owner who talks out of turn in class go sit in the corner, how much will it run you if you utter a statement like this:

We've got to do a little something about that and I know Bud wants to correct it in some way. There's a way. Obviously we're very much allied with the Red Sox, Mets, Dodgers and Cubs in that area. At some point if you don't want to worry about teams in minor markets, don't put teams in minor markets or don't leave teams in minor markets. Socialism, communism - whatever you want to call it - is never the answer.