National Basketball Association

NBA backs Prokhorov on Zimbabwe business deals

Published Apr. 13, 2010 12:55 a.m. ET

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The NBA believes a New Jersey congressman was ``misinformed'' when he criticized the potential new owner of the Nets for business dealings in Zimbabwe.

U.S. Rep. Bill Pascrell asked Treasury Secretary Timothy Geithner on Sunday to investigate whether Russian tycoon Mikhail Prokhorov violated U.S. economic sanctions by doing business in the southern African nation run by President Robert Mugabe.

The congressman also sent a letter to NBA commissioner David Stern asking if the league's background checks uncovered Prokhorov's businesses in Zimbabwe.

League spokesman Mike Bass said Pascrell was misinformed discussing the sanctions.

``U.S. companies are not prohibited from doing business in Zimbabwe; rather, they are prohibited from conducting business with specifically-identified individuals or entities in that country,'' Bass said. ``The NBA is aware of no information that Mr. Prokhorov is engaged in business dealings with any of these individuals or entities.''

Prokhorov agreed last December to buy 80 percent of the Nets and 45 percent of the planned Barclays Center in Brooklyn, N.Y., from Bruce Ratner's Forest City Ratner Cos.

``Mr. Prokhorov's application is still on track to be voted on by the NBA Board of Governors once a firm date is set for the State of New York to take full possession of the arena site,'' Bass said.

Prokhorov's Onexim Group said it has been open and transparent about all their business dealings throughout the extensive NBA review process and they intend to maintain that position.

``Onexim Group takes very seriously the issue of law and sanctions as applied to Zimbabwe,'' it said in a statement. ``Contrary to erroneous media reports, the company and all of its holdings have always been in strict compliance with all United States and European rules regarding Zimbabwe and have had no dealings whatsoever with companies or individuals on the sanctions list.''

Prokhorov has been seen as somewhat of a savior for the Nets, who will be at least $23 million under the salary cap heading into the offseason. The billionaire has the money to spend on free agents, and this might be a bumper crop with LeBron James, Dwyane Wade, Chris Bosh and Rudy Gay all eligible to go on the market.

For much of this season, the Nets threatened to break the NBA mark for fewest wins (nine) in a season, set by the 1972-73 Philadelphia 76ers.