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NRL officially slam Parramatta with $1 million fine and 12-point deduction

(AAP Image/Joel Carrett)
9th July, 2016
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The sword of Damocles has finally fallen, with the NRL confirming Parramatta have officially been docked 12 competition points and fined $1 million as a result of years of salary cap breaches.

The points loss leaves the Eels – who, after last night’s win over the Roosters, were sitting fifth on 22 points – now 14th on ten points, ahead of only the team they beat last night and the Knights.

“While each made points worthy of consideration, there was insufficient information in those responses to warrant any change to the penalties originally proposed in the breach notices,” NRL CEO Todd Greenberg said.

“The overall impression that I got from the responses is that no one at the club has taken responsibility for the deliberate, systemic and blatant breaches of the salary cap.

“We have to take a stand to demonstrate that the NRL will not tolerate contraventions of the salary cap which plays such a crucial role in giving us one of the closest competitions in Australian sport.”

Along with the points loss and fine, the Eels have also been stripped of the 2016 Auckland Nines trophy, and the five men said to have overseen the breaches – directors Steven Sharp, Tom Issa, Peter Serrao, chief executive John Boulous, and general manager of football Daniel Anderson, known as the ‘Gang of Five’ – have had their registrations cancelled.

The NRL has imposed the following penalties:

  • The Parramatta Eels will be docked 12 competition points from today. In addition, all differential points (for and against) accumulated by the Eels in the first nine rounds will be revoked
  • The club will be fined the maximum penalty of $1 million
  • Five club officials – Chairman Steve Sharp, Deputy Chairman Tom Issa, Director Peter Serrao, CEO John Boulous and Football Manager Daniel Anderson – have had their registrations cancelled
  • The Eels will be stripped of its Auckland Nines title won earlier this year. There will be no official winner for 2016

Greenberg expressed sympathy for the innocent parties in the debacle – the fans, coach Brad Arthur and the players.

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“But we have to take a strong stand to preserve the integrity of the salary cap and the competition,” he said.

“We would hope that, in the long term, this will help make the club stronger and ensure there is no repeat of the salary cap breaches which have plagued the club over the last six years.

“The Parramatta club now has one of the biggest decisions it has ever had to make in its 69-year history.

“It can appeal the decision, which is its right, or it can accept this decision and turn Parramatta into the powerhouse club it should be.

“It is my view that it is time for the club to move on and do the right thing by Brad Arthur, the players and the fans.”

As to why the NRL took more than two months to sort the final penalty out, after first flagging this exact set of punishments on May 3, Greenberg said the game wanted to be certain before coming down so heavily.

Former Eels chairman Steve Sharp was made mention of specifically, as “a club legend… who had been a long time member of the Parramatta family”.

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Greenberg also said the NRL would offer assistance to the Eels.

“We have not intervened in the running of the club during this investigation because our priority was to give everyone involved a fair hearing,” Greenberg said.

“But it is imperative that we help rebuild the club so it has a strong Board and strong management into the future.

“We note that there are currently several proposals for extraordinary general meetings at the club and we would urge members to support a Board and management group which is focussed on making the Eels a strong, successful team.

“The time for in-fighting and factionalism is over.

“The members have a chance to clear the decks and rebuild the club and we will be encouraging them to do so.”

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