# Hockey Canada has secret fund to pay off victims of sexual assaults by players

**URL:** <https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456>\
**Category:** Miscellaneous and Personal Stuff I Must Share\
**Created:** [July 23, 2022, 9:11pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456 "2022-07-23T21:11:39Z")\
**Posts on this page:** 20\
**Page:** 1

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**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\
**Post date:** [July 23, 2022, 9:11pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/1 "2022-07-23T21:11:39Z")

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Hockey Canada is the umbrella group that provides a lot of funding and logistical support to hockey programs, especially the junior leagues that are the stepping stone to the NHL.

News came out two months ago that a young women complained of sexual assault by eight junior hockey players at a gala in 2018, and she got paid off and shut up by Hockey Canada. Can’t have those young players’ careers affected, after all.

Now it’s come out how Hockey Canada found the money for the settlements. They’ve been operating a secret fund, set up from membership fees paid by parents of young players, because you can’t insure against your own members’ criminal actions.

Young hockey players, trying to make a career, funding the payouts for older hockey players who assault young women, and keep it all nice and quiet so players’ careers don’t suffer. Yeah, that’s a good funding model and publicity choice.

You’re in trouble when the Prime Minister of Canada is calling you out, essentially as enablers of sexual assault.

> **[Trudeau: Hockey Canada needs a 'real reckoning' in wake of scandal](https://www.ctvnews.ca/politics/trudeau-hockey-canada-needs-a-real-reckoning-in-wake-of-scandal-1.5996830)**
>
> Justin Trudeau wants to see change at Hockey Canada. As the federation continues to deal with the fallout from its handling of an alleged sexual assault and out-of-court settlement, the prime minister said Thursday the sport's national body 'has to...

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**Author:** ![carnut](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/carnut/32/3531_2.png) [@carnut](https://boards.straightdope.com/u/carnut)\
**Post date:** [July 23, 2022, 11:56pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/2 "2022-07-23T23:56:57Z")

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> [@Northern\_Piper](#):
>
> You’re in trouble when the Prime Minister of Canada is calling you out, essentially as enablers of sexual assault.

I should hope so. This is a disgusting practice, and I’d bet money that there are groups here that do this kind of thing themselves, it’s not just individual Universities or cities. Just WOW. So glad they are getting called out.

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**Author:** ![Cervaise](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/cervaise/32/16693_2.png) [@Cervaise](https://boards.straightdope.com/u/Cervaise)\
**Post date:** [July 24, 2022, 3:41pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/3 "2022-07-24T15:41:03Z")

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Per this article, use of the fund was effectively off-the-books:

> **[Hockey Canada will no longer use investment fund to settle alleged sexual...](https://www.tsn.ca/westhead-hockey-canada-will-no-longer-use-investment-fund-to-settle-alleged-sexual-assault-claim-1.1827598)**
>
> Hockey Canada said Wednesday it will stop using a little-known investment fund to settle alleged sexual assault claims, a day after Prime Minister Justin Trudeau criticized the organization for using player registration fees to maintain the fund...

The current focus of the news coverage is outrage that membership fees were being funneled to this fund without anyone’s knowledge, but I want to know — is that actually _legal?_ The fund and its disbursements weren’t disclosed in financial reporting, and by using the fund the organization kept its activities out of view of its insurers. Seems to me that goes beyond just moral skeeviness and could potentially cross a line of fraud and failure to disclose.

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**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\
**Post date:** [July 24, 2022, 4:09pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/4 "2022-07-24T16:09:27Z")

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I would guess that that question is being asked, in the insurers’ boardrooms and possibly elsewhere.

The reason for the fund is that you can’t insure against your own members’ criminal misconduct, so it wouldn’t be covered by insurance. However, I would think that the existence of the secret fund triggers concerns amongst their insurers that Hockey Canada is not giving full disclosure of ancillary risks. For instance negligent or intentional non-disclosure of the payments under the fund might trigger insurance obligations. Did their insurers know about that risk?

Most of Hickey Canadàs corporate sponsors have put a freeze on further payments.

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**Author:** ![romansperson](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/romansperson/32/17100_2.png) [@romansperson](https://boards.straightdope.com/u/romansperson)\
**Post date:** [July 24, 2022, 7:12pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/5 "2022-07-24T19:12:04Z")

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> [@Northern\_Piper](#):
>
> Hickey Canadàs

Say what now?  
😉

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**Author:** ![Bootb](https://avatars.discourse-cdn.com/v4/letter/b/e19b73/32.png) [@Bootb](https://boards.straightdope.com/u/Bootb)\
**Post date:** [July 24, 2022, 7:48pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/6 "2022-07-24T19:48:23Z")

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> [@Northern\_Piper](#):
>
> The reason for the fund is that you can’t insure against your own members’ criminal misconduct, so it wouldn’t be covered by insurance. However, I would think that the existence of the secret fund triggers concerns amongst their insurers that Hockey Canada is not giving full disclosure of ancillary risks. For instance negligent or intentional non-disclosure of the payments under the fund might trigger insurance obligations. Did their insurers know about that risk?

From a strictly financial point of view, the fund seems to be a form of self-insurance. But I would imagine that the actual insurance companies would want to know about that sort of thing.

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**Author:** ![carnut](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/carnut/32/3531_2.png) [@carnut](https://boards.straightdope.com/u/carnut)\
**Post date:** [July 24, 2022, 11:09pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/7 "2022-07-24T23:09:16Z")

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> [@Bootb](#):
>
> From a strictly financial point of view, the fund seems to be a form of self-insurance. But I would imagine that the actual insurance companies would want to know about that sort of thing.

Very much the case. I would think Hockey Canada’s liability insurance company is discussing this right now.

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**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\
**Post date:** [July 25, 2022, 12:59am UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/8 "2022-07-25T00:59:20Z")

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> [@romansperson](#):
>
> > [@](#):
> >
> > Hickey Canadàs
> 
> Say what now?  
> 😉

Combination of fat-fingering and iPhone spell checker that assumes I’m trilingual. [sigh]

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**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\
**Post date:** [July 25, 2022, 4:19am UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/9 "2022-07-25T04:19:14Z")

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> [@carnut](#):
>
> Very much the case. I would think Hockey Canada’s liability insurance company is discussing this right now.

Yes, I can imagine the questions they might be asking:

“So how often does this happen, that you actually need a special fund to make the payouts?”

“Are any officials in Hockey Canada involved in making the payouts and buying silence?”

“Have payouts been conditional on a contractual undertaking by the complainants not to go to the police?”

“Have payouts been conditional on non-disclosure agreements with Hockey Canada?”

“How many officials at Hockey Canada have known of this issue over the years, and what have they done to stop it from happening in the future?”

Those are all things that could potentially trigger civil liability by Hockey Canada, and which put the insurer at risk. I could see the insurer wanting a lot more details.

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**Author:** ![carnut](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/carnut/32/3531_2.png) [@carnut](https://boards.straightdope.com/u/carnut)\
**Post date:** [July 25, 2022, 10:05pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/10 "2022-07-25T22:05:56Z")

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> [@Northern\_Piper](#):
>
> “How many officials at Hockey Canada have known of this issue over the years, and what have they done to stop it from happening in the future?”

This question is one I would expect investigative reporters and the lawyers to be all over. And the answers won’t be good ones.

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**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\
**Post date:** [July 28, 2022, 4:02am UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/11 "2022-07-28T04:02:31Z")

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Hockey Canada announces it will stop using its “Equity Fund” as hush money for sexual assaults:

> **[Hockey Canada says it will no longer use reserve fund to settle sexual...](https://www.cbc.ca/sports/hockey/hockey-canada-reserve-fund-sexual-assault-claims-1.6526862)**
>
> Hockey Canada says it will no longer use a fund maintained by membership fees collected across the country to settle sexual assault claims.

Hockey Canada did not report the existence of the fund on its annual financial reports; is that “generally accepted accounting practices”?

> [@](#):
>
> Details of the fund, **which has not been listed as part of the organization’s annual reports,** are included in a July 2021 affidavit sworn by Glen McCurdie, who was then Hockey Canada’s vice-president of insurance and risk management, as part of a lawsuit launched by an injured player in Ontario.
> 
> McCurdie’s affidavit said “Hockey Canada maintains a reserve in a segregated account to pay for any such uninsured liabilities as they arise.” It goes on to say that “uninsured liabilities include potential claims for historical sexual abuse.”

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**Author:** ![carnut](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/carnut/32/3531_2.png) [@carnut](https://boards.straightdope.com/u/carnut)\
**Post date:** [July 28, 2022, 9:25pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/12 "2022-07-28T21:25:22Z")

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> [@Northern\_Piper](#):
>
> Hockey Canada did not report the existence of the fund on its annual financial reports; is that “generally accepted accounting practices”?

Perhaps in pro sports and religions it is.

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**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\
**Post date:** [July 29, 2022, 12:58am UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/13 "2022-07-29T00:58:32Z")

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> **[21 victims. $8.9M in compensation. Hockey Canada reveals its history of...](https://www.therecord.com/ts/news/canada/2022/07/27/hockey-canada-scandal-president-former-ceo-to-appear-before-committee.html?li_source=LI&li_medium=therecord_canada)**
>
> Hockey Canada has been under fire since news broke that members of the 2018 world junior team were accused of a group sexual assault.

That’s what the fees for kids and teenageers who wanted to pkay hockey were going towards: buying the silence of victims of sexual assault so that it wouldn’t keep big guys with promising careers from playing in the big leagues.

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**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\
**Post date:** [July 29, 2022, 11:37am UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/14 "2022-07-29T11:37:20Z")

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Re-reading that post — I’m not suggesting that victims of sexual assault shouldn’t be compensated. If they’ve been assaulted, they should be compensated.

The problem is that there’s no indication that the guys who did the assaults have contributed in any way to the compensation. At least, there’s no indication of that in any of the news stories. Hockey Canada is making the payouts to protect the careers of predators.

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**Author:** ![TroutMan](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/troutman/32/6721_2.png) [@TroutMan](https://boards.straightdope.com/u/TroutMan)\
**Post date:** [July 29, 2022, 3:40pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/15 "2022-07-29T15:40:37Z")

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> [@Northern\_Piper](#):
>
> Re-reading that post — I’m not suggesting that victims of sexual assault shouldn’t be compensated. If they’ve been assaulted, they should be compensated.

Right. Compensation should definitely be part of the restitutions. As you note, the problem is that so far it has been the _only_ part.

It also needs consequences for the perpetrators, consequences for those who contributed to an environment where this could happen, changes to the environment and culture to minimize the chances of it happening again, and it all needs to be public so people understand the scope of the problem.

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**Author:** ![carnut](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/carnut/32/3531_2.png) [@carnut](https://boards.straightdope.com/u/carnut)\
**Post date:** [July 29, 2022, 10:29pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/16 "2022-07-29T22:29:15Z")

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> [@Northern\_Piper](#):
>
> At least, there’s no indication of that in any of the news stories. Hockey Canada is making the payouts to protect the careers of predators.

It is almost as if raping someone is a reward for being a good hockey player. Now, I know it isn’t. But I’m sure that the players have received no more punishment than a “I’m disappointed in you.” by someone representing the team and Hockey Canada. Disgusting behavior on Hockey Canada’s part, not to mention the perpetrator’s part.

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**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\
**Post date:** [February 3, 2024, 11:49pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/17 "2024-02-03T23:49:55Z")

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And an update:

4 current NHL players and 1 former NHL player (now playing in Europe), all former members of the Canada World Junior Team in 2018, will appear in court on Monday, accused of participating in a gang rape.

> **[What to expect when hockey players accused of gang rape face judge Monday](https://nationalpost.com/news/canada/what-to-expect-when-hockey-players-accused-of-gang-rape-face-judge-monday/wcm/bc857dd8-2271-40ba-b917-b8a66574eb4f/amp/)**
>
> The scandal erupted in spring 2022, when Hockey Canada settled a $3.5-million lawsuit filed by a young woman, identified as E.M.

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**Author:** ![wolfpup](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/wolfpup/32/10618_2.png) [@wolfpup](https://boards.straightdope.com/u/wolfpup)\
**Post date:** [February 3, 2024, 11:57pm UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/18 "2024-02-03T23:57:59Z")

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Related to the above …

> **[NHL commissioner says it's not 'necessary' to suspend NHL players charged...](https://www.cbc.ca/news/politics/nhl-press-conference-sexual-assault-charges-1.7103104)**
>
> NHL Commissioner Gary Bettman said Wednesday it's not "necessary" for the NHL to suspend without pay four players who have been criminally charged with sexual assault.

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**Author:** ![Chronos](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/chronos/32/134_2.png) [@Chronos](https://boards.straightdope.com/u/Chronos)\
**Post date:** [February 4, 2024, 1:17am UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/19 "2024-02-04T01:17:54Z")

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> [@Cervaise](#):
>
> [Westhead: Hockey Canada will no longer use investment fund to settle alleged sexual assault claim | TSN](https://www.tsn.ca/westhead-hockey-canada-will-no-longer-use-investment-fund-to-settle-alleged-sexual-assault-claim-1.1827598)
> 
> The current focus of the news coverage is outrage that membership fees were being funneled to this fund without anyone’s knowledge, but I want to know — is that actually _legal?_

At the very least, I’d imagine that the players could sue for a refund of the fees that went into it.

> [@Northern\_Piper](#):
>
> Re-reading that post — I’m not suggesting that victims of sexual assault shouldn’t be compensated.

The other thing is, compensation is different from hush money. The proper way of dealing with sexual assault includes transparency. Including transparently prosecuting the perpetrators, of course.

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**Author:** ![Northern\_Piper](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/northern_piper/32/5304_2.png) [@Northern\_Piper](https://boards.straightdope.com/u/Northern_Piper)\
**Post date:** [February 4, 2024, 2:58am UTC](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456/20 "2024-02-04T02:58:43Z")

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And making them pay the civil damages, out of their million dollar salaries.

[Next page](https://boards.straightdope.com/t/hockey-canada-has-secret-fund-to-pay-off-victims-of-sexual-assaults-by-players/968456.md?page=2)
