StubHub CEO Facing Congressional Scrutiny for Ownership Stake in Ticket Broker Fund

StubHub CEO Eric Baker recently received a letter from House Oversight Committee ranking member Rep. Robert Garcia (D-Calif.) regarding Baker’s involvement in the ticket broker fund Andro Capital. The letter expressed concern that Baker may have engaged in “market manipulation and self-dealing” by having a fund he partially owns sell tickets on the platform he runs.

The details:

• Baker is a part-owner and managing partner of Andro.

• Andro Capital has been selling tickets on StubHub since 2008.

• From 2022 on, Andro has generated over $5 million in sales on the ticket reseller.

• Baker’s involvement with Andro was disclosed when StubHub went public last year.

The letter:

• Garcia requested that Baker send the committee all correspondence related to Andro within his purview as CEO of StubHub.

• This includes insight into whether Andro is given special treatment by StubHub.

• This comes as numerous states are passing legislation capping resale ticket prices.

What they said:

• Garcia: “Reports suggest that you have financed and profited from the very scalpers that are locking fans out of affordable ticket sales in the first place, and that you are further ripping off consumers and smaller sellers by giving yourself preferential treatment on the StubHub platform. Oversight Democrats are investigating whether you have manipulated markets for your own benefit, while Americans are left paying higher costs in an unfair system.”

• StubHub: “Eric’s investment in Andro Capital has been disclosed publicly. Andro Capital is a separate company and is one of many vendors we use. StubHub, like many companies, works with vendors to provide additional services for their customers, allowing the StubHub team to focus on its core business. This relationship with Andro Capital makes up only a small fraction of StubHub’s total revenue.”