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Home / Sport / League / NRL

Rugby League: Salary cap blowout is denied

6 Oct, 2000 08:35 AM2 mins to read

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By PAUL YANDALL

Auckland Warriors chief executive Trevor McKewen has rubbished claims that the club might have exceeded its salary cap by up to $300,000 over the past two years.

New Zealand Rugby League chairman Gerald Ryan said this week that its purchase of the troubled club was being hampered by new
conditions set down by the Australian National Rugby League.

He said the New Zealand league moved on Thursday to cap its liability for any fines incurred by the club at $100,000 amid rumours that the club had exceeded its cap by $300,000 in the past two years.

The club is liable for up to 50 per cent of the amount by which it breaches its cap.

But McKewen has rubbished the claim and said the club had already been audited and cleared for the 1999 NRL season.

It was expecting to be only $9000 over its $4 million salary cap this year.

"It's an absolute nonsense for anyone to suggest that we have exceeded the salary cap by $300,000 for the past two years," McKewen said.

The club had been under the cap by $250,000 last year and had exceeded it this season only because centre Ivan Cleary, who had been injured, was replaced by two reserve-grade players, David Myles and Shantayne Happe, part-way through the season.

"Nine thousand dollars is loose change, it's absolutely minor.

"It [the claim] is totally unfair when I know there are at least two clubs in the NRL that are $500,000 and $400,000 over their caps."

He said the NRL would be conducting its own routine audit of the club next month, but the team had one of the lowest wage bills in the 14-team competition.

National Rugby League chief executive David Moffett, said he did not know if the Warriors had exceeded their salary cap and would be waiting for the audit to determine that.

He would travel to Auckland on Tuesday to meet the three parties interested in joining the NZRL in the Warriors venture.

"We want to make sure the next financial partners are solid and sustainable. I don't think anyone wants to be going through all of this in 18 months, two years time," he said.

Meanwhile, the deadline for a tax bill of up to $500,000 due to be paid by the Warriors has passed.

The club can still pay the bill in the 30 working days notice required before legal action can begin.

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