Premiership Rugby has published the report into Saracens’ salary cap breaches.
The English Premiership and European champions were deducted 35 league points and fined STG5.36 million in November for breaking the salary cap in the 2016-17, 2017-18 and 2018-19 seasons.
Under the salary cap regulations, the decision of the panel chaired by Lord Dyson had previously remained confidential and only a summary had been made public, but Saracens this week called for the details to be made public.
Darren Childs, chief executive of Premiership Rugby, said: “We are pleased to be able to finally publish the full judgement on Saracens’ breaches of the salary cap in the last three seasons.
“Now that everyone can see the details, the decision will show that Premiership Rugby has taken firm action to enforce the regulations and our management of the salary cap has been endorsed by the panel.”
Saracens have since been told they will be relegated due to breaches of the cap in the current season and the report is separate to a wide-ranging review being carried out by Lord Myners.
The report has been adjusted to “omit the names of players and other information that could be used to identify individuals”, with a PRL statement adding that “no other information has since been redacted from the report”.
In a summary of the decision, the panel said that Saracens “continuously and recklessly failed to comply with its obligations to co-operate with the SCM (salary cap manager).
“This failure was all the more serious because in 2015 Saracens settled an earlier charge by PRL of failing to co-operate with the SCM.”
Also, the breaches for 2016-17 and 2018-19 were “several and not isolated and involved Saracens massively exceeding the cap for these two years”.
The three-man panel led by Lord Dyson rejected the argument of former Saracens chairman Nigel Wray, who bankrolls the club, that investment is not salary.
The report details how Wray entered into property investments with a number of players, whose names have been omitted as part of the redaction.
The report says: “We are satisfied that these capital contributions were salary”.
The panel found that the double winners acted deliberately in attempting to break the salary cap, adding that their conduct was “egregious”.
“We do not accept that Saracens breeches can all be characterised as merely negligent,” the report said.
“Its failure to co-operate with (SCM) Mr Rogers and seek clarification was egregious, particularly in light of the events leading up to the 2015 settlement.
“It took risks and is now paying the price for doing so.”
Jacko
Guest
Murray Mexted played rugby in SA for years being paid a healthy sum to do so and I cant see him being the only one to get paid. I remember john Kirwin saying why would he switch to rugby league for less than he was getting in Union...Ironically he eventually signed to play league some years later. Many Kiwi players went to play in France after their local careers finished....We just didnt hear so much about it as they had retired. Neil I dont see England being any different to anyone else and there has always been plenty of wealthy backers hanging around rugby clubs..
Neil Back
Roar Rookie
No doubting they were all at it to some extent Eddie. But I'm pretty sure those nations who wore rugby as a badge of national pride or machismo worked harder at it; NZ, Wales and SA come immediately to mind.
Neil Back
Roar Rookie
I think that's a reasonable observation. It smacks a little bit of punitive punishment for not disclosing most or any of these arrangements and attempting clearance with the salary cap manager, which would have been a smarter approach from Wray.
Just Nuisance
Roar Rookie
Not just NZ.. South Africa the biggest culprit. Naas Botha during amateur days became wealthy playing rugby. Top players got high paid jobs particularly with State institutions but never pitched at work.
Neil Back
Roar Rookie
True enough, but sides start shuffling their roster and planning their acquisitions for the following season after Xmas of the current. They'll need to be planning for a different Premiership when they (presumably) return; and the answer as to who remains with them in the Championship will be an interesting one indeed.
Lux Interior
Roar Rookie
I seem to remember a scandal involving Welsh Rugby in the 70's where boots stuffed with large denomination currency were being supplied to top players. And didn't Bill Beaumont admit that English players also received similar 'help'. Yes, I'm looking at you Home Nations.
HiKa
Roar Rookie
The lower division Saracens are heading to next year doesn't have a salary cap. Their problem for next season is the question of whether their roster of players wants to go round in a lower comp. The problem of the salary cap only becomes active again if/when they gain promotion back to top level and only if their over-paid players have stuck with them.
Neil Back
Roar Rookie
Not really Paul. Lord Dyson’s report is damning enough, and I doubt many prem clubs would push for a forensic hoods up, lest they come knocking on their doors.
Paul
Roar Guru
But isn't part of the problem Saracens refusal to open their books for the SCM, Neil? If they're willing to accept relegation instead of compliance, I still wonder if they WILL comply? They will certainly be under intense. scrutiny as you suggest
Neil Back
Roar Rookie
They weren’t able to do so this season if they wanted too. Cancelling players contracts incurs a payout, which is counted as salary in the season. They break the cap either way. I’d be amazed if they breached any payment rules next season. They’ll be under a microscope anyway.
Train Without A Station
Roar Guru
Some of those seem rather dubious (such as disputing PwC’s valuation on something that may prove to be a very good investment). Some seem completely reasonable (Wray’s daughters company).
Neil Back
Roar Rookie
Obviously not. Rules regarding sports people payments have been bent and circumvented since day dot. In Rugby, it all started long before it went professional, particularly with certain nations national sides, where 'payment in kind' became a crude art form in the shamateur days (yes NZ, I'm looking at you in particular). I doubt there are many professional clubs worldwide that would welcome a visit from forensic accountants. But it's the scale and disproportionate nature that makes Wray's offences most noteworthy. That, and his self denial over a number of seasons despite warnings, and when finally exposed pre Xmas.
Paul
Roar Guru
The two issues for me are, a) which other Clubs have followed the Saracens lead, regardless of the extent and b) what might have happened to the player drain towards Europe if Saracens and potentially other Clubs, were not able to secure top overseas players services, by offering illegal amounts of money? I guess a final point is, what happens to Saracens if they win promotion after next season? If they comply with the salary cap rules, obviously no issues, but they don't seem inclined to do so.
Neil Back
Roar Rookie
https://www.theguardian.com/sport/2020/jan/23/dyson-report-saracens-salary-cap-breaches-deal-by-deal
adastra32
Roar Rookie
It is a 103 page report so not many have gone into the detail of which there is much. There are some useful summaries – and no small amount of opinion – on this thread https://rugbyrefugees.co.uk/england-6-nations-squad/#disqus_thread
Just Nuisance
Roar Rookie
I would take Brendan Venters comments seriously..Saracens are being made an example of.... More to this whole stink methinks.
Just Nuisance
Roar Rookie
Are Saracens the only guilty team? Million dollar question?
mzilikazi
Roar Pro
https://www.dailymail.co.uk/sport/rugbyunion/article-7922339/Rugby-dock-MPs-set-grill-PRL-chiefs-handling-Saracens-salary-cap-scandal.html Looks like getting to be even more "open can of worms" stuff....sadly for English Rugby, and those English fans at home and around the world. Really wish it had not got to this level.
Train Without A Station
Roar Guru
Well when no details have actually been made public over what the transgressions were, why wouldn't people have difficulty accepting it? They are saying details are published, but I don't see any reference to where we can see them. If they are trying to consider profit from joint business ventures as salary, then I wouldn't accept it. I'd also agree everybody is doing it. If they are trying to give unfair (higher than shareholding) profits to players in lieu of salaries, then fair enough. Hit them hard.
mzilikazi
Roar Pro
Sadly one gets the impression many in the Saracens camp are having difficulty accepting that anything is wrong with what Nigel Wray has done. I am also amazes to read some of the comments coming out over the affair. Brendan Venter saying that everyone else is doing the same, if to a lesser degree. And Bernard Jackman, former Dragons coach and former Irish International “From Saracens’ point of view, Premiership Rugby aren’t exactly neutral in this: they’ve got 12 stakeholders — 11 ‘others’ in whose best interests it is that Saracens fail and Saracens get relegated.” Really ? Is that what it is about ? Ask Exeter ! “Jackman said that he understands why Sarries wouldn’t wish to open their books to a league organisation consisting mostly of their direct competitors, expressing his belief that it was an “honourable” thing for the club to not want their players’ salaries publicised” Well, be the first honourable thing Saracens have done in this debacle, imo, A sad mess, which is far from played out yet.