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haslam, jimmy

related to gov bill bro

FBI?

two short years ago, truck stop magnate and “1,000 percent” Steelers fan Jimmy Haslam bought the Cleveland Browns. For context, that was two head coaches, two general managers, four starting quarterbacks, nine wins, and 23 losses ago. But since Browns fans are quite used to constant front-office upheaval and relentlessly bad football, the Haslam regime merely represented business as usual — up until April 15, 2013, that is.

That’s when the FBI raided the Knoxville headquarters of Haslam’s company, Pilot Flying J, and the Browns officially became the NFL’s biggest circus. With the news that Haslam has finally attempted to pay his way out of this mess, I figured it was a good time to revisit the case with an all-encompassing idiot’s guide. If you’re interested in rebates, criminal negligence, and/or 120-page affidavits, this is the place to be.

Why did FBI and IRS agents raid Pilot Flying J?

You can read the aforementioned affidavit here, but it basically comes down to Pilot Flying J skimming rebates on diesel fuel purchases. Allegedly, Haslam and his cohorts used a common technique called “jacking the discount” in which national gas station chains sign up trucking companies to refill exclusively at their rest stops, with the truckers receiving rebates in return. However, when it comes time to fulfill those rebates, the folks in charge of the gas station chain provide an incomplete payment, especially to smaller and unsophisticated customers “for whom the discounts were calculated manually.” ALLEGEDLY.

This supposedly had been going on for years at Pilot Flying J, which is no stranger to allegations of corruption. For his part, Haslam immediately denied any wrongdoing and then proceeded to cackle maniacally, fire a random subordinate, and return to watching practice footage of Brandon Weeden stumbling over himself.

Wait, an NFL owner’s company was RAIDED? Why wasn’t this a bigger story?

Probably because it happened on the same day as the Boston Marathon bombings. But yeah, Pilot Flying J headquarters were locked down and everything. The mental image of a kicking-and-screaming Haslam being escorted out of his office still brings me to tears.

Who are the Haslams?

Tennessee royalty, baby. Jimmy’s father, James Arthur “Big Jim” Haslam, was a starting offensive lineman on Tennessee’s 1951 national championship team and later founded the Pilot Corporation with one gas station to his name. By the time Jimmy became CEO in 1995, the company was the country’s second-largest truck stop chain. Meanwhile, Jimmy’s younger brother, Bill, is the freaking governor of Tennessee. Needless to say, they carry a lot of weight in the state — so much so that it’s often been theorized that Jimmy will eventually use his power to bring former Volunteer Peyton Manning to the Browns. Any scenario that results in Peyton Manning as a member of the Cleveland Browns could only be orchestrated by an evil genius.

Did anything suspicious happen leading up to the probe that indicated something was amiss at Pilot Flying J?

Why yes, it DID. In September 2012, Haslam tapped John Compton, the former PepsiCo president, to take over at Pilot, as he wanted to focus more on his duties with the Browns. Less than six months later, seemingly out of nowhere, Haslam decided to reassume his CEO role, demoting Compton to the nebulous position of strategic advisor. “This is about me realizing my first love is running Pilot Flying J and wanting to return to that job,” Haslam explained.

To which I say: Watching the Browns is generally a painful, demoralizing experience, and I doubt it’s fun to work in that sort of environment. But let’s get one thing straight: No one, not even a top-ranking executive, willingly chooses a gas station over a professional football team as their place of employment. Haslam must have been tipped off about something.

You’re calling him a liar?

Well, not necessarily. Considering Haslam’s recent history of capricious personnel decisions, his explanation does seem a bit more believable, I guess. Although maybe it’s all just an elaborate ruse.

What was Haslam’s defense?

He went with a Rafael Palmeiro–esque ignorance plea, blaming the malfeasance on various Pilot Flying J sales executives and maintaining that he was “absolutely not aware of any of this.” Which, if true, doesn’t make him look any better — as CEO, it’s actually his job to be aware of the major, potentially felonious goings-on in his company. For Browns fans, this raises an unsettling conundrum: Either Haslam’s a thief/liar/scam artist, or he’s just totally incompetent. There’s no in between. In any case, it’s safe to assume he’s not the next Robert Kraft or Dan Rooney.

Has anyoneat Pilot Flying J admitted to wrongdoing?

Yes. Ten Pilot Flying J employees have pleaded guilty, and this whole thing started when a regional sales manager agreed to cooperate with the feds and “record conversations with colleagues.” As far as I know, though, V. Stiviano doesn’t work at Pilot Flying J.

Have any juicy quotes surfaced from these taped conversations?

Here’s one example from the affidavit: In October 2012, the intrepid FBI informant recorded a discussion with John “Stick” Freeman, Pilot’s VP of sales. (Never trust a man called “Stick.”) After bragging about saving $6 million in underpaid rebates, Stick notes that Haslam “knew it all along. Loved it.”

Has Roger Goodell chimed in on the issue? Surely he wouldn’t approve of such behavior, right?

Presented without comment, here are some of Goodell’s thoughts on the matter:

Is Haslam totally in the clear?

Not technically, although this week’s settlement decreases the likelihood that he’ll face charges. The FBI probe is still ongoing and, as part of the agreement, Pilot is obligated to cooperate “fully and actively” with law enforcement. However, if Haslam discloses too much information, he could end up strengthening the prosecution’s case against him, so don’t assume he’s going to become honest all of a sudden.

How much money is Haslam paying for his poor decisions?

Not to be confused with subject's father, Jim Haslam, founder and former CEO of Pilot Corporation.

Jimmy HaslamJimmy Haslam

[](https://en.wikipedia.org/wiki/File:Haslam_2012_Sports_Awards_%28cropped%29.jpg)

Haslam in 2013

[](https://en.wikipedia.org/wiki/File:Haslam_2012_Sports_Awards_%28cropped%29.jpg)

Haslam in 2013

Born

James Arthur Haslam III

March 9, 1954 (age 68)[1]

Knoxville, Tennessee, U.S.

Alma materUniversity of Tennessee
OccupationBusinessman, MLS and NFL team owner, philanthropist
Years active1974–present
Spouse(s)

Susan Bagwell

​

(m. 1976)​

Children3
Parent(s)

Jim Haslam

Cynthia Haslam

RelativesBill Haslam (brother)
AwardsMLS Cup 2020 champion

James Arthur Haslam III (born March 9, 1954) is an American businessman and sports executive. He is the chairman of the board of the Pilot Flying J truck stop chain. He and his wife Dee own the Cleveland Browns of the National Football League (NFL) and the Columbus Crew of Major League Soccer (MLS). His father Jim Haslam founded the Pilot Corporation in 1958 as the Pilot Oil Corporation.

Personal life

Haslam, who lives in his native Knoxville, Tennessee, is the elder brother of Bill Haslam, former Governor of Tennessee.[3] He is married to Susan "Dee" Bagwell Haslam, CEO of RIVR Media, part of the family ownership group of Pilot and co-owner of the Browns and Crew. They have three adult children, James Bagwell Haslam (adopted 2016), Whitney Haslam Johnson, and Cynthia Haslam Arnholt and five grandchildren.

While attending the University of Tennessee,Haslam was a roommate of Bob Corker, who went on to become a United States Senator from Tennessee. He is a member of the Sigma Chi fraternity.[3]

Pilot Flying J

Haslam began his career at Pilot Corporation in 1976. In 1980, Haslam was named vice president of sales, development and operations. At that time, Pilot operated 100 convenience stores with annual fuel sales of about 125 million gallons. Pilot opened its first travel center in 1981, and by 1996 – the same year Haslam was named president and chief executive officer – the company operated 96 travel centers and 50 convenience stores and its total gallon sales had reached 1.2 billion. Pilot Corporation attained yet another milestone in 2001 when it joined with Marathon Ashland Petroleum LLC to form Pilot Travel Centers LLC.

In 2008, Pilot Corporation announced that CVC Capital Partners had acquired 49.8% interest in Pilot Travel Centers LLC, facilitating the sale by Marathon Petroleum Company (formerly Marathon Ashland Petroleum) of its interest in Pilot Travel Centers. Pilot Corporation retained 50% ownership of Pilot Travel Centers LLC. In 2015, the Haslam family acquired all of CVC Capital Partners’ shares in the company. Pilot’s convenience store operations continue to be fully owned by Pilot Corporation. In 2010, Pilot Travel Centers LLC joined with Flying J Inc. In 2012, Pilot Flying J acquired Western Petroleum and the majority ownership of Maxum Petroleum and in 2012 formed Maxum Enterprises LLC, d/b/a Pilot Logistics Services. In 2014, Pilot Logistics Services merged with Thomas Petroleum to form Pilot Thomas Logistics. Pilot Flying J subsidiary Pilot Thomas Logistics is one of the fastest growing energy logistics companies in North America.

Pilot Flying J is one of the largest top 10 privately held companies in the United States and employs more than 24,000 employees. The Pilot Flying J network provides customers with access to more than 70,000 parking spaces for trucks, 4,800 showers and 4,300 diesel lanes featuring DEF at the pump.

In April 2013, the Federal Bureau of Investigation executed a search warrant and affidavit detailing a five-year fraud scheme by the Pilot Flying J chain. The company paid restitution to customers and agreed to pay a $92 million penalty pursuant to a Criminal Enforcement Agreement.[4]

Community involvement

Haslam's civic involvement includes service on the board of directors of Anderson Media Corporation. He also has served on the boards of the United Way of Greater Knoxville, Lakeshore Park in Knoxville and the National Association of Truck Stop Operators (NATSO). In addition, Haslam served as honorary chair of the Boys & Girls Clubs of Cleveland campaign committee and as campaign chair for Knox Area Rescue Ministries and United Way of Greater Knoxville.

In 2006, he served as Tennessee statewide campaign chair for the United States Senator Bob Corker and in 2012, he served as Statewide Finance Chairman for Tennessee Governor Bill Haslam, his brother.[5] Haslam was inducted into the Junior Achievement of East Tennessee Business Hall of Fame in 2007, and in 2010, he was named a recipient of the Ernst & Young Entrepreneur Of The Year award for the Southeast region. In 2013, the University of Tennessee recognized Haslam with the Distinguished Alumnus Award. He is the co-founder of the Haslam Scholars Program for premier honor students at the University of Tennessee.[5]

Sports ownership

NFL

Haslam bought a minority interest in the Pittsburgh Steelers in 2008. In 2012, he reached an agreement with Browns owner Randy Lerner to purchase the franchise for $1 billion. The Browns were valued at $977 million in 2011 by Forbes magazine, 20th in the NFL. NFL rules prohibit ownership in multiple teams and so Haslam sold his interest in the Steelers.[3][6] The Haslams' purchase of the Browns was unanimously approved by the 32 teams in the NFL on October 12; the sale itself closed thirteen days later.[7]

Since officially taking over the Browns seven games into the 2012 season, and through the end of the 2020 regular season, Haslam has a 44-94-1 record as team owner (including going 0-16 in 2017), but had his first winning season in 2020 when the Browns went 11-5, and won his first postseason game as Browns owner when they defeated the Steelers 48-37 in the Wild Card round of the 2020–21 NFL playoffs.

MLS

In late 2018, reports emerged that Haslam had purchased Major League Soccer club Columbus Crew from Anthony Precourt, who wanted to move the club to Austin, Texas. Haslam, along with his wife Dee and former team physician Pete Edwards, took over as owners on January 1, 2019, as a deal to purchase the club from Precourt was finalized.[8]

The Crew won the MLS Cup 2020, giving Haslam his first major sports championship as an owner.[9]

Awards and honors

Sports ownership

Business

Previous directorial works

References

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