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Leagues and Governing Bodies

NRL To Review Third-Party Agreements To End Salary Cap Violations

The National Rugby League "vowed to review the third-party agreement system in an effort to rid the game of salary cap rorting once and for all," according to Simon Brunsdon of FOX SPORTS. The Rugby League Players Association revealed in a statement that the governing body "agreed to review the TPA system, which it says is largely to blame for clubs breaching the salary cap." It comes in the wake of Manly "being issued a breach notice after the NRL claimed to have found potential salary cap rorting over the past five years." The NRL "could completely overhaul the third-party system that often pushes clubs over the salary cap." The RLPA said, "What the preliminary findings do highlight is the need to review the current third-party agreement system. ... As part of the collective bargaining agreement negotiations, the NRL and RLPA have agreed to undertake a review of the TPA system" (FOX SPORTS, 12/12). In Sydney, Adrian Proszenko reported while Manly's cheating was not "on the same scale as Parramatta" -- the Eels overspent to the tune of A$3M over a similar period -- "the common denominator has been dodgy TPAs." Manly "is expected to avoid having competition points deducted" from its '18 campaign, but is "facing the prospect of not being able to recruit any further players." The Sea Eagles have about A$500,000 ($378,000) "left in their salary cap, but those funds will be all but erased" once head office takes into account the "off-the-book payments made over the past five seasons." Integrity "issues aside, TPAs were already under fire for creating a disparity between the clubs." While there "is an argument" that corporate dollars should not be turned away, it is "evident that some NRL clubs have greater access to TPAs than others" (SYDNEY MORNING HERALD, 12/12).

KELLY IN HOT WATER: In Sydney, Dean Ritchie reported the Sydney Roosters "have been sensationally dragged into Manly’s salary cap drama" after the NRL issued a breach notice to Roosters CEO Joe Kelly. He reportedly "received the breach for his alleged role" as Sea Eagles CEO from Oct. '14 through Sept. '16 -- "a position he stepped down from." Kelly is one of two club officials "facing deregistration by the NRL." The other official cannot be named "on legal advice." Kelly, "whose mobile phone was switched off on Tuesday," was appointed Roosters CEO in April. He "is understood to be shattered at the prospect of being kicked out of rugby league" (DAILY TELEGRAPH, 12/12).

BREAKING THE SILENCE: Ritchie also reported new Manly CEO Lyall Gorman said that the Sea Eagles will not "be rushed into responding to the breach notice." Speaking for the first time since the NRL on Monday notified the Sea Eagles of the findings of a "lengthy investigation," Gorman said that the club "had not had time to properly peruse documents pertaining to the potential breaches." Gorman said, "This investigation, as I understand it, took six months and we were only provided with the detailed document on (Monday afternoon). There is a significant amount to work through. It’s a process that can’t be rushed, a process that needs to be right to protect the best interests of all" (DAILY TELEGRAPH, 12/11).

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