Since 1980, the city of Detroit hasn't been able to collect a dime from its supposed deal over cable revenue with Mike Ilitch's Olympia Entertainment, according to city documents obtained by The Detroit News.
Christine MacDonald reports one estimate from finance staffers last year estimated the city is owed $70 million, but a national sports economist cautioned it's likely around $10 million.
The revelation comes as Olympia — led by Red Wings and Detroit Tigers owner Mike Ilitch — wants to use up to $12.8 million a year in tax dollars to help fund a new downtown arena.
While the public is largely unaware, city officials and Olympia have fought for years over various clauses in the contract under which the Ilitch organization runs city-owned Joe Louis.
"The Ilitches are a multibillion-dollar operation, and they are inside a city that is sinking," said City Councilman Kwame Kenyatta. "(Mike Ilitch), I am sure, knows about this and should be forthcoming to help the city. Help us by writing a check, not by negotiating a new lease."
The debt is among many bills Olympia could owe the city.
Since its lease expired in 2010, the company hasn't paid millions of dollars for items such as rent, concessions and other revenue and property taxes, according to city documents obtained by The News.
