Parramatta claim they have been open in their intentions to sign Folau, but it is unlikely such a radical proposal in regard to bending the cap rules would go down well with other NRL clubs.
Rugby league authorities have taken a tough stance on salary-cap cheating - including stripping Melbourne of their 2007 and 2009 premiership titles - and decimating the Bulldogs' season in 2002.
Parramatta were said to be initially hoping to register Folau with the NRL on a contract worth $150,000 but that was rejected by salary-cap auditor Ian Schubert.
If the proposal is rejected by the ARLC, Parramatta will need to shed $400,000 of player talent before former international Folau can take the field for them in 2013.
French or Japanese rugby union could emerge as a possibility next year for Folau if the Eels, who are the only team he has said he wants to play for, can't find a way to sign him.
- AAP