The National Rugby League has taken ownership of the Gold Coast Titans in a "dramatic move to keep the embattled club alive," according to Adrian Proszenko of the SYDNEY MORNING HERALD. The governing body "has been locked in discussions with Titans stakeholders, including co-owner Darryl Kerry." The move "will have implications" for former club CEO Michael Searle, who still has a stake in the club. Kelly, "who has poured in an estimated sum" of more than A$5M ($4M), went on the record just three days ago to declare he would not be offloading his 47.2% stake in the Titans. But after the latest scandal -- in which Titans players Greg Bird, Dave Taylor, Beau Falloon, Jamie Dowling and Kalifa Faifai Loa were busted in a drugs sting conducted by the Queensland Crime Commission -- "there has been a change of heart." The dramas "have raised further questions about the viability of an NRL club on the Gold Coast," although NRL CEO Dave Smith reiterated his support for the franchise. Smith: "This is a key area for our game and we are determined to ensure our fans continue to have their own team on the Gold Coast" (SMH, 2/24). In Sydney, Phil Rothfield wrote the club "had been saddled by a number of deals undertaken by the club’s former management and had reached breaking point, long before the cocaine scandal." The Titans were facing losses of A$2.5M ($2M) this year and investors "were reluctant to put more money into a failing business." Searle and former world champion surfer Joel Parkinson (40%) and Indian-based businessman Anshuman Magazine (13%) "ceased their funding." Smith "stood up on Tuesday to show the leadership strength the game has been crying out for." The NRL "is in a powerful enough financial position to step in and take over the club thanks to a record breaking financial year that includes a new agreement with corporate bookmakers for use of the game’s intellectual property" (DAILY TELEGRAPH, 2/25). The SUNSHINE COAST DAILY reported Gold Coast CEO Graham Annesley said Monday that he "had been told no more players from the club would become part of the drug investigation." He also said that "the club had secured a new training venue after deciding on Friday it would not be appropriate to continue training at The Southport School on the Gold Coast after the initial allegations of drug supply and possession." It is also still without a main sponsor, but despite all of those issues, Smith said that "the NRL backed the club." Smith: "At the end of the day this is about the fans. The fans deserve a team on the Gold Coast, and they will have a team on the Gold Coast. It will be a strong team ... a team they can be proud of." He also said that "the NRL was still waiting for more detail from the Crime Commission before it took any action." Smith: "They're very serious charges, but that's all they are ... charges" (SUNSHINE COAST DAILY, 2/24).
BUSTING BRONCOS: In Sydney, Proszenko & Masters wrote the NRL "is bracing itself for the Brisbane Broncos to become the next club to be embroiled in the cocaine scandal amid fears Broncos identities will be handed notices to appear before the Queensland Crime and Corruption Commission." The development comes as the QCCC foreshadowed the prospect of further arrests of "current or former sportspeople" by the end of this week or next. The NRL "is preparing for the worst, despite having no firm evidence on which to base its concerns, and the clear links between the club and former Bronco Karmichael Hunt, coupled with Brisbane's close proximity to the Gold Coast, is putting head office on high alert." The scandal may also extend to the Australian Football League, "given Hunt was contracted to the Gold Coast Suns for part of the QCCC's investigations, which ran from June to December of last year." Hunt also "has close ties with the Brisbane Lions squad, raising the possibility of both AFL franchises being caught up in the scandal" (SMH, 2/24).
