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Leagues and Governing Bodies

National Rugby League Side Manly Sea Eagles Suspected Of Salary Cap Breaches

The integrity of the National Rugby League "is under a cloud," with players from several clubs being investigated for "taking secret benefits or cash payments in a likely breach of salary cap rules," according to McKenzie, McClymont & Baker of the SYDNEY MORNING HERALD. The Manly Sea Eagles "are suspected of breaching the salary cap via secret payments to at least one player in previous seasons," according to information gathered by NSW police and NRL officials. But Manly is reportedly "not the only club under scrutiny," with the past behavior of several other clubs "also attracting police attention." The information emerged during an investigation into match-fixing allegations. An NRL source said that detectives "have not found evidence" of an organized conspiracy involving players "deliberately losing games." But detectives have information about intelligence being leaked by club insiders to punters and "hidden player payments that may breach salary cap rules." One witness said, "It is systemic." Another businessman who has been interviewed by police said that "secret salary top-up payments" were happening "at every club" (SMH, 7/5). The NEW ZEALAND HERALD reported the NRL announced that its Integrity Unit "will investigate allegations of secret salary cap payments." A spokesperson stressed that, at this stage, the NRL "is not in possession of evidence of any violations which would warrant any disciplinary action." The spokesperson said, "However, we are in constant dialogue with the police and will take action if it is warranted" (NZ HERALD, 7/5). In Sydney, Brent Read reported Manly majority Owner Scott Penn described the notion his club could be involved in "salary cap rorting" as "disgraceful" amid revelations that the NRL will launch an investigation. The NRL has reportedly "had concerns about the Sea Eagles for several weeks," apparently relating to "a series of staff issues that led to key officials departing." Among them was CEO Tim Cleary, "who left after less than a year at the helm of the club." There is "no suggestion Cleary has done anything untoward." Penn was "understandably frustrated." His club was "put through the wringer" little more than 12 months ago by the match-fixing allegations. Penn: "If there is substance in any of this then bring it out and we will deal with any consequences, but there's certainly nothing I am aware of. It's a disgraceful notion. Firstly, in our family we have impeccable moral standards. This is not anything we would ever be involved in" (THE AUSTRALIAN, 7/6).

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