Selig announced that a League representative would oversee the "day-to-day operations" at the troubled outfit, which has been plunged into financial turmoil by the complicated - and unresolved - divorce of its owners, Frank and Jamie McCourt. Jamie McCourt filed for divorce after 30 years of marriage in October 2009, one week after her husband had fired her as the team's chief executive.
The Los Angeles Times reported earlier this week that Frank McCourt had arranged for a US$30 million loan from Fox, the team's television partner, to cover the Dodgers' payroll requirements. Despite its recent problems, the franchise is one of the most successful in the history of US baseball, with 18 appearances in the World Series over the years - a figure only bettered by the New York Yankees.
"Pursuant to my authority as commissioner, I informed Los Angeles Dodgers owner Frank McCourt today that I will appoint a representative to oversee all aspects of the business and the day-to-day operations of the club," read a statement from Selig. "I have taken this action because of my deep concerns regarding the finances and operations of the Dodgers and to protect the best interests of the club, its great fans and all of Major League Baseball."
Selig added that he would carry out a "thorough investigation into the operations and finances of the Dodgers and related entities during the period of Mr McCourt's ownership" and said that the representative to take control of the franchise would be announced in the coming days.
"The Dodgers have been one of the most prestigious franchises in all of sports, and we owe it to their legion of loyal fans to ensure that this club is being operated properly now and will be guided appropriately in the future," said Selig.
