9-15-09 And the Scam Continues... FM Simpson, NM Aliyev (SC) Share Top Honors at NC Class; Win Three Times Their Entry Fee??   by NM Leland Fuerstman This past weekend, the 2009 North Carolina Class Championship was contested by 109 unwary chess players at a hotel in Charlotte. The Chief Tournament Director in charge of the event was "Local TD" NCCA President Victor Beaman? (I was under the impression that a Senior TD would be required for such an event?!) It is my understanding that though the "computer generated" pairings were accurate, "Beaman was never visible during the rounds nor immediately available in case of a dispute?" Instead, I was told that at one point, he was "comfortably tucked into his room watching the East Carolina game on his laptop computer!" Regardless, one would assume that one of his Assistant Tournament Directors would handle the trivial matters. However, in his haste, Beaman had failed to enlist the help of any Assistant Tournament Directors?! So, no one ended up monitoring the players? (I'm pretty sure the USCF requires that TDs constantly be on the floor for events of this size). Though I did receive phone calls from a few friends who had traveled to Charlotte, I did not personally visit the site. However, I was told that on Sunday morning, the "Daughters of the Wailing Wall" provided a lively and loud song and dance routine while a wedding took place down the hall?! (Who needs an "I-Pod" when you have live entertainment like that?! The problem is, there was a chess tournament going on! When I contracted with hotels in the past for such large events, I always specifically required that no other non-related events conflict with ours, particularly with regard to "noise.") That was the responsibility of American Chess Promotions out of Georgia, who organized the event and took all of the risk (and profit) but doesn't seem to be doing a very thorough job. Bright and early Monday morning after the event, I accessed the NCCA website in order to read an article about the tournament. To my dismay, the only thing which was available was a link to the crosstable?! No narrative of the winners, amounts of prize money won, photos, games, comments, quotes or anything else was displayed for the readers information and enjoyment? In fact, when one clicks on "Recent Results," the last entry is a tournament which took place in Asheboro on August 8?! (I just noticed today, 9-16-09, that probably due to embarrassment, the entire  link to "Recent Results" has been removed from their primary page??! - However, you can still find it on other pages of their website? - How absurd?) It is not stated who is responsible for the content of the NCCA website, (though I have an idea) but it is obvious that some of the categories are out of date and have been completely neglected... But curiously, someone went to great effort to promptly remove the original advertisement for the event which described the payout for the prize fund? (Hmmm, I wonder why they would do that?) From my recollection, the event advertised a $10,000 prize fund based on 195 players of which only $5,000 was guaranteed. Since most of the recent large events in North Carolina have seen a decline in participation, no one was surprised when only 109 players showed up to participate in 10 separate sections?! (that's an average of 11 players per section?) The result was that the prize fund was reduced by 50% as was stated in the ad. However, the $90 entry fee stayed the same?! Now, simple math would indicate that 100 X $90 = $9,000! Subtract the $5,000 guaranteed prize fund and that leaves approximately $4,000 for the promoter (minus expenses). As I stated in my last article, "Now, for those who insist that the normal expenses for the event will offset the guaranteed profit, I submit that the hotel has probably agreed to allow all of it's meeting space to be used for FREE based on an agreed number of "room nights" occupied by players. (You know; the same system that every business savvy tournament promoter has used for the past 30 years). Other expenses include a few trophies provided by American Chess Promotions, and the rating fees. In addition, some directors are compensated for a total of a few hundred dollars. This still provides a sizable profit to the organizer. Not to mention the thousands of dollars worth of books and equipment which he sells to North Carolina players and profits greatly. (One can only estimate the actual totals of expenses and profit since the NCCA does not require such information to EVER be published and continues to forbid anyone from observing the books?)"   According to my calculations, the co-winners of the Top Section of the event received approximately $300 each?  When you subtract the $90 entry fee, lodging at $89+tax per night, gas and food, they barely broke even? (According to USCF guidelines, the 1st Prize for such events should be "at least 10 times greater than the entry fee and even more for larger events!" In this event it was less than 3 times more?! In addition, the long standing rule in North Carolina required tournament promoters to give back at least 75% of the entry fees in cash prizes; American Chess Promotions gave back 60% for this event which resulted in a profit which is almost 10 times greater than the first prize?! I'm sorry people, I just don't agree with that...particularly for the upcoming State Championship?) Did American Chess Promotions advertise anything which was not true. No. (Though advertising a $10,000 prize fund was somewhat misleading) Did they do anything illegal? I don't think so... (if chessplayers are desperate  enough to pay such a high entry fee for such a ridiculously small return, then so be it.) Did the owner of American Chess Promotions make a lot of money from the entry fees? Yes. Did American Chess Promotions make a lot of money selling books and equipment to North Carolina players? Sure, they did! After all, that's the American capitalistic way! So what's my point?! --- My point is that this same scenario is scheduled to soon repeat itself at the 2009 North Carolina Open?! (Which should actually be referred to as the "2009 North Carolina State Championship")   It has always been the direct responsibility of every past  administration to provide a sovereign State Championship for North Carolina players. Now that we have over $20,000 in the bank, save for laziness and outright incompetence, why was it necessary to arbitrarily allow an out-of-state organizer to have full control of the event and keep all of the profit? (Never mind that North Carolina promoters and directors were not even given the opportunity to bid on the event). Furthermore, our state championship should return at least 90% of the entries in cash prizes. And naturally, the promoter and directors should be from North Carolina. The current administration's indifference to this idea makes no sense to me or anyone else. In light of the recent debacle related to the 2009 NC Scholastics event, one would think that the NCCA would gladly allow their books to be reviewed by any member who is curious about how the money has been spent over the past few years. But, contrary to logical reason, and according to their history of secrecy and covert behavior, they have steadfastly prevented any "outsider" from observing anything. Nor has the current "illegal" administration documented any of their official business in a legitimate manner. It is high time that members demand that a professional accountant be brought in to analyze the books and report his findings to the members. If the "illuminati" who are supposedly in charge have nothing to hide, what's the problem with conducting a professional audit? Until major policy corrections are implemented, I can not recommend that anyone participate in any event which is sanctioned by the NCCA. They are neither protecting the rights nor acting in the best interests of North Carolina chess players. I remain, NM Leland Fuerstman Charlotte Chess Club An Independent USCF Affiliate