ARU spurns Victoria in Super 15 deal

[Darren]

I (like (assume) many others outside of Victoria) know nothing about the VRU, nor about Vic SUper 15 (Although I get the impression they would do justice to a Super franchise) - but things don't smell quite right to me, and right or wrong the odour seems to be coming from the ARU

[tic]

The South Africans are licking their lips.

[TommyM]

All I know is... Gary Gray has a Hitler moustache. And that is not good. Not. Good.

[travelling_gerry]

Wayne Smith | August 31, 2009
Article from: The Australian

FORMER Brumbies chief executive Rob Clarke has called on the Australian Rugby Union directors to show some courage and properly monitor the process of choosing Australia's fifth Super rugby franchise.

The ARU management last week recommended awarding the Super 15 expansion licence to the VicSuper 15 franchise backed by Kevin Maloney, and supported by Melbourne Victory owner Geoff Lord's Belgravia Group.

Seemingly that left out in the cold the Victorian Rugby Union, which had assembled a powerhouse consortium headed by prominent media buyer Harold Mitchell, former World Cup-winning Wallabies coach Rod Macqueen and a string of prominent business backers prepared to invest at least $6million in the proposed Melbourne team.

So unequivocal was the message from ARU headquarters to the VRU that it was to play no role in the new franchise other than to have one seat on the board, despite representing the grassroots Victorian rugby community, the consortium disbanded in disillusionment.

In the outcry that followed, the ARU maintained that the decision was not a decision at all, but a recommendation to be put to the ARU board early this week for possible ratification.

The VRU, making the most of its reprieve, reformed its bidding team and spent the weekend preparing its case for the ARU board, in particular pointing out it was not given a fair chance to outline its private equity credentials.

Its case has been given a powerful push by Clarke, who in a letter to the editors of a number of major newspapers, including The Australian, urged the ARU directors to exercise their powers to oversee the performance of the ARU management.

"It's clearly time for the ARU board of directors to stand up and be counted and do what they are supposed to be there for," Clarke said in his letter.

"The recent court decision in James Hardie and public pronouncements from the ASX and ASIC have heightened the focus of the personal responsibilities of non-executive directors and corporate governance generally in Australia.

"The ARU management's recommendation regarding the award of the licence of the new Super 15 team in Victoria will test whether those occupying the seats on the ARU board are willing to subject the management to the scrutiny this critical decision deserves.

"Clearly, it's too late for the board to prevent the Lote Tuqiri wrongful dismissal debacle, which cost our cash-strapped game significantly, whatever the final amount - not to mention the reputational issues for the way the ARU treats its players.

"This incident should have the alarm bells ringing in the ears of every ARU board director of the risk that their management is running out of control.

"If the clear mandate for a board to act to maintain checks and balances has not been enlivened by the apparent lack of transparency, consultation and integrity in the process of choosing a fifth super rugby team in Australia, then this board should not exist, but simply hand over the reins to the existing CEO with the new title of executive chairman."

http://www.theaustralian.news.com.au...015651,00.html

[GIGS20]

Hi GIGS20, I've played in Victoria for the last 18 years and still pull on the boots occasionally. I'm much happier with the Vic Super 15 bid.

The negative publicity doesn't look good for Aussie rugby but the finger of blame has to be pointed at the VRU for stirring things up. There is only one regular journo in AFL dominated Melbourne and he seems to be firmly in the VRU's pocket.

Sure, Victoria can't wait to have a team in Melbourne, but who cares if the VRU is involved in running it. If half the stories about their general incompetence are true then we should all be rejoicing that they got brushed.

Unfortunately, as the VRU seem to be the only ones crying to the press and the ARU is walking a tightrope about what they can say publicly (thanks to the fun and games up North), the only thing that seems to be emanating from the process is disharmony.

That's the response I was hoping for, I'd much rather hear the story from a clubman on the ground than from a thinly disguised pr man from one side or the other.

So what does this mean for VRU? is a new president and board a possibility?

[AndyS]

The problem I see is that, for good or bad, the VRU runs the community game in Victoria. The money man in Maloney has said that they have to be involved. The Victorian Sports Minister has said they have to be involved. So the recommendation to the ARU potentially alienates the government (and by extension the ground) and the financial backer for the bid they were hoping to take forward. Not bright, and they might find themselves without any viable bid.

Which is the conspiracy theory - it runs that there was a price for reformatting Super rugby to stretch it into August and move the TriNations to Sept/Oct to go up against the NRL/AFL. That price is that SARU gets the team that they need politically, with the bonus for the ARU being that they get the bigger revenue share with only a bit more on the travel budget but no cost for a new team. But they can't tell everyone about it, so they cripple the bid such that SANZAR doesn't have a choice, tell everyone they were outvoted, then blame the VRU.

If I was the VRU, I would be tempted to give it up for board representation and guaranteed funding. I would have thought an indexed $5M a year might be a nice number to support grassroots rugby...

[Burgs]

That is assuming that clubmen don't have an agenda as well Gigs

I do have a problem with one of Australia's teams potentially being outside of the Club-State-National Unions pathway while the rest remain under the traditional format.
The purest in my favours the traditional approach however, if the private equity model is the way forward, then all teams should be privatised when/if the new franchise is launched.

With regard to VRU/ARU politics, treat the cause not the symptoms.

[Eebs]

Hi Burgs,
Yep, I do have an agenda... a S15 team in Victoria for our young guys to play for rather than having them head North to be either poached or spit out by their systems. As for the current situation, the VRU had more than a year to put together a viable bid and then had 3 of their board resign on the eve of the bid presentation. So why did they leave and then feel strongly enough about the matter to put together a bid of their own? Which they did in a very short time and still got the nod over the VRU.

The VRU then went on to cry and whinge to anyone who would listen and got a second bite at the cherry when they were given an extension on their homework assignment. They have been divisive and tainted the whole process merely to serve their own purpose. Basically saying "our way" or "no way". The South Africans would be rapt. Why would anyone want leadership like that at the helm of the new S15 team?

Obviously, the role of looking after the club comp to help prepare up and comers for higher honours isn't prestigious enough. It certainly won't guarantee a seat in a corporate box. A new VRU president and board would be great, but I have no idea what it would take to get the clubs to band together and press for it.

As for the horrible thought of having private enterprise running things, the QRU and NSWRU have worked wonders with the Reds and Waratahs. There have been no back room intrigues or maneuvering whatsoever. And if the VRU's behaviour to date hasn't set alarm bells ringing then I don't know what to say.

[Darren]

Wouldn't the VicSuper 15 board be no better than the VRU board given that 3 of it's members were the VRU board up until they jumped ship on the eve of the bid presentation? Wouldn't that have the alarm bells ringing just as loudly in regards to the VicSuper 15 bid?

[GIGS20]

That is assuming that clubmen don't have an agenda as well Gigs

It's more a case of preferring to argue with somebody who has developed their agenda through an honest love of the game, rather than some corporate dweeb who only argues for the point which will ensure his pay packet.

As for the horrible thought of having private enterprise running things, the QRU and NSWRU have worked wonders with the Reds and Waratahs. There have been no back room intrigues or maneuvering whatsoever. And if the VRU's behaviour to date hasn't set alarm bells ringing then I don't know what to say.

Not so sure about the "no back room intrigues" comment re QLD and NSW Eeebs, If you have a look at the last 5 years, history is littered witht he broken bodies of people spat out from the politicking in both organisations.

Maybe VRU isn't as bad as you think!

Let's face it RugbyWA is pretty tied up in it's own brand of red tape and politics, but I'd never suggest that they shouldn't run the team.

[beige]

Not so sure about the "no back room intrigues" comment re QLD and NSW Eeebs, If you have a look at the last 5 years, history is littered witht he broken bodies of people spat out from the politicking in both organisations.

This thing needs a sarcasm button...

[Eebs]

Thanks beige

Sorry the sarcasm doesn't translate into print. I am aware of how the respective unions of NSW and Qld have managed to cock things up and I would rather that we didn't give the VRU the opportunity to reach the same lows. Particularly after the way they've shown their hand in last few days.

And Coach, I think 2 of the 3 members that walked out on the VRU were brought on board for their financial acumen to help structure the initial bid. The fact that it took them only a few weeks to find backers and present something to the ARU that outdid what the VRU put up is actually pretty reassuring.

[Working Class]

I'll be happy as long as they can get guys like Harold Mitchell and Co. on board.