Parramatta Eels: Secret text messages have club officials on the hook
EXCLUSIVE Nick TabakoffEditor-at-LargeThe Daily Telegraph
TWO of the Parramatta Eels top officials, chief executive John Boulous and football boss Daniel Anderson, were actively involved in discussions about a proposed $75,000 third-party agreement deal with Parramatta Council, text messages between the club and council indicate.
The TPA deal would have involved three Eels stars club captain Tim Mannah, departed star Will Hopoate and hooker Nathan Peats becoming council ambassadors. Jarryd Hayne was also originally proposed but was withdrawn because of his move to the NFL.
The new revelations follow a series of articles by The Daily Telegraph over the last seven weeks, which have prompted an NRL forensic investigation over alleged breaches of NRL salary cap rules by the Eels.
Its findings are expected in the coming days.
Text messages from October 2014 indicate Mr Boulous (then the clubs chief operating officer) and Mr Anderson discussed the TPAs with Parramatta councillors.
The agreements were ultimately shelved in mid-2015, but evidence from the text messages and documents shows that Boulous was actively discussing the deals with councillors for several months in 2014.
Third-party agreements must be on an arms length basis to ensure they do not become a way for NRL clubs to use sponsors to undermine the salary cap.
Parramatta councillors have a close relationship with their areas NRL club, with current Lord Mayor Paul Garrard on the Eels board since May last year, and councillor John Chedid in a fulltime job as CEO of the Eels Premiership Club, a business networking group.
The text messages mention Mr Garrard as a representative of the council (before he was Lord Mayor and on the Eels board).
In a text exchange between Parramatta councillor Pierre Esber and Mr Boulous, Mr Esber talks about the TPA proposal and the councils discussions with the Eels head of football, Anderson about the deal: Paul Garrard and I spoke to the (Parramatta) CEO (Greg Dyer) tonight
he has been in touch with Daniel A (Anderson), he has the details of the players and there (sic) managers. Pierre.
Mr Boulous later asks Mr Esber If Greg (Dyer) has contacted the 3 managers (of Mannah, Hopoate and Peats). Mr Esber replies: He said he has.
Additionally, an internal council memo from March 2015 also mentions Mr Boulous. It shows that in July 2014 Mr Boulous and departed Eels CEO Scott Seward met with Mr Garrard and Mr Esber to discuss the development of the Ambassador Program.
At the time, Mannah, Hopoate and Peats were proposed to become part of raising the profile of the city.
Within two months of the memo, Mr Garrard became an Eels director.
Mr Esber last night confirmed he had held preliminary discussions with Mr Boulous and others at the club.
I was texting John, he said. He was the deputy CEO, or chief operating officer. He added that he didnt know that clubs cant negotiate third parties
until you told me two minutes ago.
When asked about whether Mr Boulous and Mr Anderson had been directly involved in the negotiation of the proposed Parramatta Council TPA, an Eels spokesman said last night: Any specific discussions relating to third party arrangements must be done at arms length to the club through the nominated players management and with the NRLs approval.
Mr Garrard could not be reached for comment. A spokesman for Mr Dyer said the council ultimately could find no value for council in the agreement. There is no suggestion the players or councillors have done anything wrong. But the documents add weight to suggestions both Boulous and Anderson had been actively involved in TPA negotiations on behalf of the club.
Independent Parramatta councillor Lorraine Wearne has expressed surprise at the new revelations. The evidence you have given me would appear to show that the Eels, through the ambassador program, were looking at using TPAs with Parramatta Council to get around salary cap rules. Thats certainly the way it looks, she said.
The Eels are a crucial part of the Parramatta community. But I have been concerned for some time about the close relationship between some of our councillors and the Eels, and the proposals thankfully shelved to use ratepayers money to fund these TPAs. These deals did not pass the smell test.
The deal ultimately fell over in July last year because it was considered it did not provide value for ratepayers.
Former mayor Scott Lloyd said it did not represent value for the council.
