CLEANING HOUSE

February 11, 1999
		Amidst scandal investigations, Salt Lake City's Olympic Committee named a new president. Phil Ponce talks about the recent changes with two members of the committee: Utah governor Mike Leavitt and Anita DeFrantz.

Jan. 25, 1998: The International Olympic Committee expels six members. Dec. 29, 1998: Salt Lake City's successful bid for the 2002 Winter Games comes under investigation. Feb. 23, 1998: At the end of the Nagano Olympics, U.S. performances are reviewed. Feb. 17, 1998: The first ever Olympic gold medal in women's hockey goes to the U.S. are reviewed. Feb. 9, 1998: Former Olympic athletes reflect on the meaning of the games. Feb. 9, 1998: A background report on the Nagano games. July 30, 1996: How hard should you train to become an athelete at the Olympic games? July 22, 1996: The history of the Olympics. Browse the NewsHour's coverage of Sports.   International Olympic Committee U.S. Olympic Committee	PHIL PONCE: Since the scandal surrounding the Olympics broke last November, nine members of the International Olympic Committee, also known as the IOC, have resigned or been expelled, five major investigations were triggered, and Salt Lake City, where the winter games are scheduled to be held in 2002, has been in an uproar. Tuesday, an independent ethics commission looking into the scandal issued the most detailed report yet. Among its findings: In an effort to secure votes, two top officials on the Salt Lake bid committee secretly gave cash, travel, scholarships and other gifts to members of the IOC and their families. The cash payments and favors totaled more than $1 million. Up to one-fifth of the IOC-- 24 members-- may have been on the receiving end of those payments, but the report said these actions amounted to ethical, not criminal violations. Today, Boston businessman Mitt Romney was named the new head of the Salt Lake committee. Here to tell us where things stand is Utah Governor Mike Leavitt, who's a member of the Salt Lake organizing committee, and Anita DeFrantz, also a member of the Salt Lake organizing committee, as well as both the U.S. and International Olympic Committees.
	The report.
	PHIL PONCE: Governor Leavitt, a quick word or two about the report itself. What findings in the report did you find the most troubling? GOV. MIKE LEAVITT, Salt Lake Olympic Committee: The whole report was troubling. The fact that there was -- there has crept into the international Olympic movement a kind of corner of corruption is alarming. And the fact that our community participated in any way is very disappointing. We have now reacted, we have completely changed the management, restructured our board, put into place ethics policies, openness policies, conflicts of interests policies. And we're moving forward because we will be receiving the world in 2002 and want to demonstrate forever the reason we were provided the games was because we were the best bid. PHIL PONCE: Governor Leavitt, another question on the report itself, though. What do you say to people who wonder in one case how one OIC member, according to the report got $200,000 in cash and medical treatment and shopping and shopping trips -- how was it that that could happen and not more people know about it? GOV. MIKE LEAVITT: Well, the ethics panel report is very clear that there was a pattern of deception that was used. They clearly went about it in a way as to hide it and to make it certain that neither the auditors nor those on the committee who would have had responsibility to oversee it could find it. PHIL PONCE: So you're saying the two men -- the report has -- the report points two, they simply were, what, adept at covering their tracks? By the way, the two of them deny wrongdoing, but your response? GOV. MIKE LEAVITT: Well, the report is quite adequate in making a description of what occurred and it is as you have described it. PHIL PONCE: Ms. DeFrantz, how widespread was the knowledge among OIC members that things of this nature were taking place? I mean did you hear any rumblings about it or anything like that? ANITA DeFRANTZ, International Olympic Committee: There were rumors and innuendo. We have never before had facts. It's sad for me that the facts came from Salt Lake City, but I'm grateful that we have the facts; we can take action. The Olympic movement is for the athletes. These members of the OIC, who took an oath of loyalty to the OIC, have violated their oath. We take this very seriously and we have to make sure that it doesn't happen again. PHIL PONCE: Ms. DeFrantz, as a member of the OIC herself, someone who votes on what cities will get Olympics, has anyone from a city ever approached you and dangled some kind of improper incentive in front of you? ANITA DeFRANTZ: My goal is to find out where the best city is for the athletes. So, I ask for information that affects them. How will they be housed? What will the venues be like, how will they get to the venues, and, indeed, how will their exploits be reported to the world? That's far more important. I don't like gifts. I want information and facts. And that's how I came to believe that Salt Lake was the very best place for the athletes of the world in 2002. It is going to be spectacular for them there. PHIL PONCE: Aside from what it is, the information, Ms. DeFrantz, that you've sought, though, have people approached you and tried to influence you improperly? ANITA DeFRANTZ: No. I made it very clear from the beginning that my goal was to find out about the athletes. Yes, from time to time there were gifts in the room. If there were gifts in the room, then I would either leave them there or tell the folks I really didn't need them, didn't want them. I wanted information. PHIL PONCE: Miss DeFrantz, what kind of gifts were in - are you talking about? ANITA DeFRANTZ: Well, I don't know. If I left them in the room, they stayed there. My goal and the goal of most OIC members - yes, we got some who stepped over the line - but our goal is to continue the Olympic movement, to make sure that folks know that the games will be there. I had the great opportunity as a child to have a physical education teacher who was an Olympian. And my parents gave her great respect because she's accomplished something special. I want to make sure that all kids can look forward to that.
	A new person in charge.
	PHIL PONCE: Governor Leavitt, there is a new person in charge in Salt Lake City. What is his mission, Mitt Romney, that is? GOV. MIKE LEAVITT: Mitt Romney has been given the responsibility by the committee to organize the games and welcome the world. He is a very successful business person, has a proven track record of success. Our community is united. We feel deeply that the only way we'll redeem what has become a bruising and difficult time for us all -- because this does not reflect the standards of our community, nor does it our collective aspirations -- the only way we will overcome that, and redeem it, and demonstrate to the world that we are, in fact the best place to hold the Olympics will be to put on the best Olympics that have ever been held in Olympic history. And we're resolved to do just that. PHIL PONCE: Governor Leavitt, you talk about redemption. Is there a sense of embarrassment or shame in Salt Lake City and in Utah about all this? GOV. MIKE LEAVITT: No question about it. This does not reflect who we, does not reflect our standards or expectations of ourselves but we have, I believe, made a lasting contribution to the Olympic movement because once we determined that this was happening, we stepped up and we have forthrightly put forth all of the information we could gather. We have looked it in the eye and we have responded in the way that that will put it behind us. The ethics panel is the first time in Olympic history that that has ever been done. We'll open our meetings for the first time in Olympic history. We'll be having the presumption that our whole organizing bit or our whole organizing effort will be a public-private partnership that will be open for the world to look at. We are proud of what we are doing. We are proud of the Olympic movement. We feel deeply honored to be having it. It has been enormously painful for us but we are going to put it behind us and move forward. PHIL PONCE: Governor, one of the reforms that you announced today had to do with conflicts of interest. And three members of the organizing committee resigned today. What kinds of conflict of interests are you talking about or the appearance of conflict of interest? What kind - or the appearance of conflict of interest - what kind existed? GOV. MIKE LEAVITT: In each of the cases that the members withdrew from their service, they had an interest financially in one of the venue sites. They have done nothing wrong. They simply had a conflict of financial interest and they've acknowledged it. We've concluded, however, that we need to raise our standard to where there is not even the potential for someone to believe that there is an inappropriate benefit. So we asked our members to stand by the higher standard. And the three of them have very graciously and voluntarily concluded that they can serve somewhere else. PHIL PONCE: Anita DeFrantz, how about standards at the level of the United States Olympic Committee or the International Olympic Committee, what needs to be changed there? ANITA DeFRANTZ: We will have what we call a session, which is a meeting of the board of directors, the equivalent, in March. At that meeting we will take up the matter of disciplining the members who have violated their oaths. And equally important, we'll look at the bidding process. The current process has been in place for just over a decade. And we had a different system prior to the election of the 1992 cities. We perhaps need to go back to that prior system where there are not visits to the cities, where the cities are not put in the position of trying to show who can do the best hosting and be the best friends of the OIC members, but rather do the best job for the athletes for whom the games exist. PHIL PONCE: Are you talking about - Ms DeFrantz, are you talking about -- is this an acknowledgment that -- an acknowledgment that some of the criticism that the system was as much at fault perhaps as what may or may not have happened in Salt Lake City? ANITA DeFRANTZ: Oh, absolutely. Absolutely. We had cities vying for the opportunity of hosting the games. Sometimes it was cities, sometimes it was individuals whose purpose was not necessarily the service to athletes and their pursuit of excellence. In some cases, OIC members just violated their oath, pure and simple. They decided that the Olympic movement was for their service. The members of the OIC are volunteers. We believe that the Olympic movement is a positive thing for the world; that, for example, Go DeChua -- a young woman from Syria -- had the opportunity through a grant made by Olympic solidarity to develop her skills so that she won a gold medal in the Olympic games in Atlanta. A young woman from Syria - now that's a remarkable thing. We need to continue that. And most of the OIC members understand that and are absolutely determined to make sure that the games endure and flourish.
	Some corporate sponsors.
	PHIL PONCE: Governor Leavitt, how about the issue of corporate sponsorship? There have been some reports that some potential corporate sponsors are getting skittish about having their corporate name associated with either the Olympics in Utah or the Olympics in Sydney. How does it look for Utah? GOV. MIKE LEAVITT: Corporate sponsors are understandably asking questions about the future of the Olympic movement and what it is that we plan in Salt Lake City and what the OIC plan to do to restore the integrity of the Olympic rings and trademark. That's the value, the power of the Olympics is not found in some sovereign constitution. It doesn't come because of an army or because of brilliant leadership. It comes because of trust. And we all in the Olympic movement, those of us in Salt Lake City, we have moved rapidly, boldly and I believe courageously to clean up what has occurred here. I take the OIC at their word. I believe they will do so. And the Olympic movement will continue to be a symbol of peace and hope in the world. If those things do not happen at the OIC level, I think the corporate sponsors will be asking legitimate questions and hopefully their questions will bring about change. PHIL PONCE: How about that, Ms. DeFrantz, will there be enough changes at the OIC level to assure corporate sponsors that they are not at risk by identifying themselves with the Olympics? ANITA DeFRANTZ: Oh, I think so. Remember the Olympic games are an event. They happen every four years for two weeks, which makes them very precious. They inspire us, they are a celebration of human excellence. And I think the sponsors know that that's what they're supporting. They're supporting the games, they're supporting the international federations as they help athletes train; they're supporting the national Olympic committees. They're supporting all sorts of good things in the world. Yes, there is a serious problem with the bidding process, there is a serious problem with members of the OIC who violated their oath. There is a serious problem with some members in bidding cities, stepping across the ethical line. We can solve that problem. And I think the sponsors understand that because they know that the Olympic games are, indeed, a celebration of human excellence. PHIL PONCE: Governor Leavitt, any doubt in your mind that the Olympics will actually take place in Salt Lake City? GOV. MIKE LEAVITT: There is no doubt in my mind we will host the games in 2002 and we will welcome the world in a way that they will long remember. And it will be an athletic event; it'll be a celebration of humanity and that it will -- this will be a note of history, one that I hope will be remembered as the time when the games turned back toward their true roots of altruism and athleticism and away from a course that has been too close to, which would be money and materialism. PHIL PONCE: Governor Leavitt, Ms. DeFrantz, I thank you both very much.