Kings: Did SARU lie to court?
And worst still, SARU is now being accused of 'deliberately' withholding information and lying to court.
Earlier this week former EP Kings and Southern Kings player Ronnie Cooke approached the courts – alleging SARU acted 'fraudulently' during its administration of the beleaguered union.
The intriguing web of court cases is highlighted by the fact that Cooke is one of about 38 players (some under the players union the South African Rugby Players' Association and other independently) that are applying for the liquidation of EPRU and its professional arm, EP Rugby (Pty) Ltd.
Cooke's case is being heard in the specialised commercial crimes court. He said in an affidavit, quoted by Business Day newspaper, that SARU deliberately withheld Nelson Mandela Bay Stadium managers Access Management, owed ZAR24.747m, from the list of EPRU creditors.
This follows in the wake of a host of allegations, fabrications and falsehoods in the protracted liquidation saga surrounding the EPRU and EP Rugby.
Amongst others it has been revealed that the Kings' new benefactor, Christopher Wishlade of Integrated Sport, has been declared bankrupt twice since 2010 – including in April last year.
The petitioner in that case was English Premiership and European champions Saracens.
There is also doubt about claims – as listed by Wishlade – that SARU was indeed a client of Integrated Sport.
Earlier this week SARU was also dragged into a court dogfight between the Nelson Mandela Bay Stadium operators, Access Management, AfriForum and the Nelson Mandela Bay Ratepayers' Association.
It has been claimed that EP Rugby's indebtedness to Access Management is the alleged reason behind the municipality's decision to renew the stadium operator's contract – without putting it out to tender.
According to AfriForum and the Nelson Mandela Bay Ratepayers' Association the municipality deviated from supply chain management policy and renewed Access Management's contract for another year.
Access Facilities and Leisure Management, the operators of the Nelson Mandela Bay Stadium, refuted the claims made by AfriForum and the NMB Ratepayers' Association in court this week.
"We will present our side in terms of the Rules of Court and we have ample evidence to refute the allegations of AfriForum," said Chantal du Pisani, Chief Executive Officer of Access in a statement to rugby365.
"However, we are unwilling to fight this very complex legal case in the media, where the facts and complexities can easily be distorted.
"We will leave it to the courts to decide, based on evidence and reason.
"Regarding all procurement decisions taken by the Nelson Mandela Bay Municipality, we refer all queries to the municipality."
Access Management was first awarded the role of stadium operator in October 2009 and in May 2012 the contract was renewed for a further three years.
As part of the Renewal Operator Agreement an RFP should have taken place after June 30 last year.
However, Ratepayers' Association Chairman Kobus Gerber claimed the municipality deviated from supply chain management policy and renewed Access Management's contract for another year.
The stadium saga is just one of the issues in which the SARU-run Kings have been dragged into the mire of financial controversy surrounding the Eastern Cape union.
Last year, SARU appointed executive committee member Monde Tabata as administrator, after the union was plunged into a financial crisis and failed to pay its players, management and staff.
Since assuming the reins at the EPRU, Tabata, aided by lawyer Paul Bester, has been in and out of court trying to overturn a provisional liquidation court order handed down in March to a more favourable business rescue plan.
In January, 38 players approached the High Court in Port Elizabeth claiming ZAR18m in unpaid salaries. The players and staff have not been paid since September last year.
Cooke also questioned SARU's intervention in the Super Rugby franchise, the Southern Kings, saying 20 players were strong-armed into signing Super Rugby contacts with SA Rugby Travel, of which SARU CEO Jurie Roux is apparently the sole director.
According to Cooke SARU had "spent millions of rand to subdue the rightful recovery of monies owed to players and creditors and they've been doing this for years".
The entire Kings saga has been littered with claims of misleading and false statements – most of all in documents submitted to court as part of the rescue plan, backed Wishlade.
Recent revelations about the Kings' so-called saviour, Wishlade, include:
* Integrated Sport is not a registered company in the UK;
* Wishlade was declared bankrupt in June 2010 and again in April last year;
* The Barcelona Football Club, which Wishlade claims was a client, says it has never worked with him and there is also doubt about his claims of a tenuous link to SARU as a former partner;
* A company he formed in 2005 was liquidated two years later, with 11 creditors owed £142864; and
* The address on the Integrated Sport website belongs to Kensington Pavilion, a business club where the receptionist has never heard of Wishlade or his company.
Requests for reaction from SARU/SA Rugby to the allegations levelled against Wishlade and his company have so far been met with a terse statement.
"SA Rugby continues to work very hard to find a solution for EP Rugby's financial issues and has spoken to a number of potential investors," a spokesman told rugby365.
"As part of that process SA Rugby will perform a due diligence examination of their bona fides in parallel to any legal process.
"If those bona fides are found wanting SA Rugby would not proceed with such an entity."
Eugene Henning, Managing Director of MyPlayers, who represents one of the groups of the players who are behind the bid to have EPRU and EP Rugby liquidated, said they have asked for the "necessary information" surrounding the merits of Wishlade's rescue plan.
"As soon as we have received the information we can assess the merits of the business rescue plan," Henning told rugby365.
"Before that we can't comment on any reports regarding Integrated Sport or Chris Wishlade."
SARU/SA Rugby promised to release a statement on the Cooke case, but at the time of publication the statement had not yet arrived.
rugby365 undertakes to put SARU's side of the story as soon as the statement arrives.
Compiled by rugby365 editor Jan de Koning
Additional sources:
dispatchlive.co.za
heraldlive.co.za
bdlive.co.za
