Senate Democrats press for Justice Department inquiry into PGA Tour-LIV Golf merger

WASHINGTON — Two apical Senate Democrats with a way grounds of scrutinizing concern and antitrust enactment person called for a Justice Department probe into the merger statement betwixt the PGA Tour and Saudi-owned LIV Golf.

Sens. Elizabeth Warren of Massachusetts and Ron Wyden of Oregon asked the Justice Department to find whether the woody to combine the 2 entities' commercialized businesses violated the Sherman Antitrust Act.

The woody "would marque a U.S. enactment complicit – and unit American golfers and their fans to articulation this complicity – successful the Saudi regime's latest effort to sanitize its abuses by pouring funds into large sports leagues," the lawmakers wrote successful a letter Tuesday to Attorney General Merrick Garland and the DOJ's antitrust chief, Jonathan Kanter.

"Significantly, the woody appears to person a important adverse interaction connected competition, violating respective provisions of U.S. antitrust law, careless of whether the woody is structured arsenic a merger oregon immoderate benignant of associated venture," they added.

The DOJ, the PGA Tour and LIV Golf didn't instantly respond to requests for remark from CNBC.

The woody betwixt the PGA Tour and LIV Golf would enactment an extremity to pending antitrust litigation betwixt the 2 play organizations. The 2 sides person agreed to merge concern operations to signifier a larger, yet-unnamed endeavor chaired by Yasir Al-Rumayyan, the politician of Saudi Arabia's Public Investment Fund. The woody instantly triggered antitrust concerns and questions astir sponsorships and subordinate compensation.

LIV Golf, which is funded by the PIF, was capable to lure immoderate of golf's biggest stars distant from the PGA Tour shortly aft its founding successful 2021, sparking respective lawsuits betwixt the companies.

The merger shocked LIV Golf's critics successful airy of Saudi Arabia's documented quality rights abuses. Family members of 9/11 victims person protested the Saudi play league owed to the terrorists' ties to the country. Osama Bin Laden, who planned the attack, was besides calved successful Saudi Arabia.

Saudi Crown Prince Mohammed bin Salman, who controls the PIF's purse strings, is besides accused of orchestrating the 2018 execution of Washington Post writer Jamal Khashoggi.

In the letter, the lawmakers pointed to the PGA Tour's comments from a 2022 lawsuit, successful which the enactment said the Saudi entity is "not a rational economical actor," and is "prepared to suffer billions of dollars to leverage [U.S. golfers] and the athletics of play to 'sportswash' the Saudi government's deplorable estimation for quality rights abuses."

Warren, sits connected the Senate Banking Committee, portion Wyden chairs the Senate Finance Committee. The DOJ should "allocate capable resources to intimately scrutinize the projected deal" including the imaginable consequences for nonrecreational play successful the U.S., the lawmakers said.

The missive follows Connecticut Democratic Sen. Richard Blumenthal's inquiries to PGA Tour Commissioner Jay Monahan and LIV Golf CEO Greg Norman for details connected the merger. The PIF has antecedently stated intentions to usage its power successful sports to further the Saudi government's objectives, according to Blumenthal's letter.

Monahan has taken a leave of absence to retrieve from an undisclosed aesculapian condition.

–CNBC's Jessica Golden contributed to this article.