Billy Hunter used union funds to support Charles Smith's attempt to overthrow the National Basketball Retired Players Association, according to sources. This was one of several maneuvers that led Derek Fisher to call for a business review of the union's activity.

The players' union is currently being investigated by the U.S. Attorney's office in Manhattan, sources have confirmed.

Smith was ousted as NBRPA executive director in the fall of 2010 after pursuing deals that violated its existing group licensing agreements without executive committee approval.

Several months later, as Smith fought to win back his position, the NBPA's late lead counsel, Gary Hall, told a retired players' association representative that the NBPA was in full support of Smith, would pay his legal fees and play "the race card," if necessary, sources said. 

The NBA has announced the members of the new Competition Committee, which is scaled down from its previous incarnation.

Previously, the Committee included the general manager from each of the 30 teams. That Committee has been reconstituted as the new General Managers Committee.

"The Board decided that the inclusion of owners and head coaches on the Competition Committee would add valuable perspectives to discussions about our game and how it might be improved," said Joel Litvin, NBA President, League Operations. "At the same time, we will continue to receive input on competition and rules matters from all 30 teams through the General Managers Committee."

The members of the new Competition Committee are owners Dan Gilbert (Cleveland Cavaliers) and Joe Lacob (Golden State); general managers Bryan Colangelo (Toronto Raptors), Mitch Kupchak (L.A. Lakers), Kevin O'Connor (Utah Jazz), and Sam Presti (Oklahoma City); and coaches Rick Carlisle (Dallas Mavericks), Lionel Hollins (Memphis Grizzlies), and Doc Rivers (Boston Celtics). The NBPA will designate one of its members to serve on the Committee.

Union executive director Billy Hunter believes Jeremy Lin and Steve Novak should be eligible for Bird Rights because both players were claimed on waivers.

“Bird and Early Bird rights are among the most valuable rights that players have under the [collective bargaining agreement]," Hunter said. "These rights simply cannot be extinguished in the absence of an affirmative decision by a player to select a team through free agency. We will ask the arbitrator to resolve this dispute on an expedited basis.’’

The union is set for arbitration and has asked for resolution to “affirm the well-established proposition that whenever a player and his contract move from one team to another as a rule of an agreement between two teams, or through a waiver claim, the Bird rights of those players are preserved.’’

The Knicks hope to re-sign Lin and Novak without using their $5 million mid-level exception.

The NBPA is asking an arbitrator to clarify free agent Bird rights in how it impacts players through waivers.

The NBA contends that a team that claims a player through waivers loses Bird rights.

If the union is successful in their argument, the Knicks could sign both Jeremy Lin and Steve Novak without using their $5 million midlevel exception.

The case also impacts J.J. Hickson with the Blazers and Chauncey Billups of the Clippers.

The Knicks could re-sign J.R. Smith using their mid-level if the arbitrator rules in the favor of the union.

“I think we feel very strongly about the case,” said Novak’s agent, Mark Bartelstein, adding, “I don’t think the players association would go through the exercise if they didn’t feel strongly about the merits.”

Mark Cuban said the constraints of the CBA prevented him from re-signing Tyson Chandler, J.J. Barea, DeShawn Stevenson and Caron Butler.

"I've heard some of the talking headless (media), and all I can tell you is, within the collective bargaining agreement we did everything possible to put the best possible team on the court," he said. "Period. End of story. If someone wants to read it (the CBA) and tell me otherwise, go ahead. But it's like I said, I think we've got a good team. One bounce, one break and we're talking about we had one bad game like we had in Portland last year and we're still up 2-1."

Cuban has not had any second thoughts about letting key contributors sign elsewhere.

"Hell no," Cuban said. "Nope. Not even a millisecond. Because those who are talking otherwise haven't read the CBA and are just talking out their (expletive) without any foundation. But that's what you guys do.

"Given what happened, I think we put together a damn good team. If we had one break, one call, one bounce, we're having a completely different conversation and you're thinking how smart we are instead of how stupid we are."