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Leagues and Governing Bodies

Melbourne Rebels' Place In Super Rugby May Be Secure After VRU Buys License

The Melbourne Rebels are "adamant" their future in Super Rugby is secure after confirming Owner Andrew Cox sold the franchise's license to the Victorian Rugby Union, according to Tom Decent of the SYDNEY MORNING HERALD. Cox told players via email on Friday he had sold the license to the VRU, which now makes the Australian Rugby Union's job of cutting the Rebels "even tougher." While getting rid of the Rebels is "still a possibility," the ARU is "now sweating on the result of arbitration between itself and Rugby WA, which has now concluded after beginning on Monday." It is understood an announcement will be made later in the week regarding the outcome of arbitration. Even if the arbitrator determines the ARU has the legal right to cut the Western Force from next year's Super Rugby competition, this "does not mean the trigger will be pulled simultaneously" (SMH, 8/6).

OUTRAGE: In Melbourne, Wayne Smith reported the ARU "reacted with outrage" at news that the Rebels changed owners. It insisted that, “despite recent attempts to confirm their position,” the Rebels "left the ARU in the dark" about plans to switch from Cox and his Imperium Group to the Victorian Rugby Union, in contravention of their Participation Deed. This was "erroneous" on two counts, according to the statement released by the VRU. First, the VRU kept the ARU board and management "informed of the progress of the sale every step of the way." Second, the sale "may not have been the ARU's to approve." The '15 sales contract with Cox "included a put option that allowed him to return the Rebels debt-free to the VRU for what he paid for them," A$1. By signing off on the deal, the ARU "effectively was giving pre-approval for the transfer back to the VRU." Yet again, the ARU "looks to have been outmanoeuvred, which has happened time and again" throughout the whole "five into four" process (THE AUSTRALIAN, 8/7).

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