In an interview, Douglas explained his exchange with the city’s attorney, an old friend of his, as the innocent “trash talk” of a lifelong advocate. He denied any arrangement between his client and the company. Douglas declined to discuss the focus of the investigation of McDade-Dickens.

Madison Square Garden called Inglewood’s claim that the company was involved in the witness’s about-face a “reckless allegation” and a “complete fabrication” that “underscores just how desperate the city has become as evidence mounts of its fraudulent conduct concerning the Clippers arena proposal.”

The upshot is, McDade-Dickens’s change in testimony could derail Inglewood’s bid to end MSG’s lawsuit without a trial.

The Clippers will “move ahead with plans to build the most fan friendly, technologically advanced, and environmentally sound arena in the NBA,” Chris Meany of Murphy’s Bowl LLC said in a statement, scorning Madison Square Garden’s “meritless multiple lawsuits and misinformation campaigns.” Murphy’s Bowl is the Clippers entity developing the project and covering most of Inglewood’s legal costs in the fight.

As for the impact on housing prices in Inglewood, they “will continue to rise, with or without the arena, along with those throughout Southern California,” Louis “Skip” Miller, a lawyer representing Inglewood, said in an email. “It is simplistic and disingenuous to blame regional economic tides on a sports complex that is potentially five years away from its first game.”

This article was provided by Bloomberg News.

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