Tom Benson, Thief Who Treated New Orleans as a Cash Cow

By Gavrielle Gemma, New Orleans Workers Group

Occasionally, we see stories of corruption. Occasionally, a few are jailed.  Though they may have stolen millions, these corrupt capitalists go to “Club Fed” and get out in months.  Most of these are cases where the rich stole from the rich. None of these compare to the “legal” corruption carried out regularly.

Tom Benson died at the age of 90, the richest man who lives in Louisiana. (Oil company barons are richer, but they take their loot out of state, leaving us with their destruction.)  When Benson started his parasitic career, he had $300 million, and when he died, it was $1.5 billion, a fortune built on and stolen from the labor of workers of Louisiana. Benson put his snout in the public trough and sucked it in, all with the consent of willing political “elected” officials, who were rewarded for their loyalty to Benson.

From 2009 to 2012, the state paid Benson $23.5 million a year to keep the Saints here, something he callously leveraged first while the city was still reeling from Hurricane Katrina.  Deals like this are not unusual in places where teams are privately owned for-profit organizations instead of the property of the working people who support them.

A ruling class lackey, Doug Thornton, served as an agent for the Louisiana Stadium and Exposition District (LSED), and was later rewarded by Benson with a vice presidency of SMG, the company that manages operations at the Dome and Smoothie King Center. While executives like Thornton enjoy our money and live in luxury, SMG pays $8.00 an hour to employees and no benefits.

The Scheme

Thornton became the bag man and negotiator for an even sweeter deal for Benson.  After public protest at Benson receiving over $100 million from the state, Benson and Thonrton came up with new schemes even more lucrative.

The yearly payment was cancelled, and instead the state gave $85 million to upgrade the Superdome, adding 3,200 seats, club lounges, box suites, store and concession.  All money from these upgrades went to Benson: an estimated $12 million a year.  If Benson didn’t make $12 million, the state would make up the difference.

Benson was then given tax breaks, and his real estate company, Zelia, bought Dominion Tower.  The state then leased from the now-renamed Benson Tower two thirds of the space for the next 15 years. The LSED also renovated a Benson-owned mall (now Champions Square).

So, Benson also got $3.18 million in profit from renting space, $2 million from Champion Square, and a $2.8 million tax refund (yes you read it right) from taxes collected on visiting players’ salaries—with the $12 million, that put him close once more to the $23.5 million a year in Benson welfare checks.  Plus, he got valuable property and rights to the Saints name and sales.

The Gift to Benson that Keeps on Giving (Our Money)

The Benson dynasty keeps all revenue produced at the Superdome, paying no rent.  Saints gate receipts alone are $63 million, revenues from parking and concession $14 million. They are sales tax exempt.

Of course, it would be wrong to only call out King Benson and not the politicians who, in exchange for bribes, set it all up.  The capitalist ruling class and all their minions are weeping for Benson, secretly wishing they had thought up these schemes for themselves.

As they bow and weep phony tears at the coffin of a crook, weep for the workers at the Superdome, who are underpaid, usually working two jobs.  Weep for the theft of money that should go to the workers of New Orleans,who keep it all running and struggle to survive.   And then stand up and fightback.