The World Hockey Association received good and not-so-good financial news this week.
The Texas-based company Nexus Capital Holdings, LLC advised the league that Nexus is not a party to litigation against the WHA.
Earlier the company was listed with Global Developments Inc. as a co-litigant in ongoing accusations of financial mismanagement, which WHA president Ricky Smith denies. And as of Wednesday (March 7), WHA stock was trading at 0.008, slightly up from previous days.
But the saga of WHA financial woes continues to plague Smith and league founder Bobby Hull.
The Golden Jets -formerly with the WHA, and now with The Kootenay International Junior Hockey League - are sharing similar financial difficulties as other WHA franchises, according to a KIJHL website.
KIJHL president, Bill Ohlhausen did not associate the Jets current troubles with its former ownership, but he confirmed that the team is in arrears of their broadcasting fees and BC Amateur Hockey fees.
A call to the Municipality of Golden confirmed that $14,500 in arena fees are outstanding as well as some advertising revenue. Phil Taylor, chief accounting officer for the municipality, said a meeting was scheduled for Tuesday (March 6) with Smith to resolve the issues. There has been no confirmation of resolution as of press time.
Osoyoos - the town that quit the WHA out of frustration with late fees - applied for entry into KIJHL around Feb. 1, well before their concerns went public. But for unexplained reasons, withdrew their application on Feb. 23, leaving Chase, B.C. to win the franchise.KIJHL Fernie Ghostriders team president, Phil Iddon, said any potential owner of a Junior B Hockey team should be prepared to deal with an annual budget ranging from $125,000 to $300,000.
With the crowning of the New Westminster Whalers as WHA champions - defeating Lumby three games to one - the league now turns it's focus to the big game against the winner of the Greater Metro Hockey League in Ontario. GMHL president, Bob Russell, is looking forward to the challenge.
"We have 10 scouts already reserving seats for the game on April 1," Russell said. "We will be taking the WHA team out for dinner and providing them with practice time."
When asked if the GMHL faced similar difficulties as the WHA in starting their league, Russell pointed out that each team in the GMHL has their own ownership group who were all told to be prepared to lose between $30,000 and $50,000 in their first season.
Only one team of the seven came close to that. All other franchises were close to the break-even point.
The GMHL league has had NHL scouts watching, and the Islanders are rumoured to be interested in drafting a goaltender from the league.
They experienced similar problems in recruiting referees, but all negative press slowly disappeared.
