ok the background
until last year EAS was owned by the ISC Trust - an independent trust with members appointed by the State Govt.
last year management of EAS (and surrounds), the Newcastle Entertainment Centre and the Newcastle Showgrounds was all given to a new wholly-owned state govt. owned corporation, Hunter Venues.
they recruited some Perth nuffy to be CEO, Mark Zundans.
said Perth nuffy has NFI about Newcastle or Rugby League. Probably hates both. Has already had a go at the Knights (in favour of the Jets, who still owe the Knights considerable sums, it must be said) in the local papers. Not a good start to a working relationship with the Hunter's sporting flagship.
Zundans is given the brief of making as much money as possible through Hunter Venues for the incompetent state govt.
Zundans sets about making as much money as possible, chiefly by trying to screw the Knights.
The Knights already pay the highest stadium rental in the comp. Yes, higher than the Broncos, Titans, anyone.
The Knights spend 20yrs lobbying to get funds spent on EAS. Finally succeed, with no help from Hunter Venues (and very little from the Jets). The upgrades will benefit all parties - in the long term.
In the short term, the Knights suffer massive financial hits as they lose half of their corporate facilities, 20% of their season ticket holders, and 6,000 capacity for a year or two.
Knights seek fair rent abatement (approx 1mil) for the period. I have not seen the lease, but I know the general terms and I know the Knights legal team believe they are in a very strong position to claim this amount.
Hunter Venues, charged with screwing their tenants, offer them $120k.
Knights owe 720k. Knights are owed approx 1mil.
As any business would, Knights offset what they owe against what they are owed. Negotiations are ongoing.
To try to bully the Knights, Hunter Venues issue notice of breach.
Whispers around town are that Zundans wants HV to manage the stadium themselves, and lease to the Knights and Jets as tenants - so HV controls all stadium advertising, catering, etc.
This would bankrupt the Knights, put a dent in the Jets finances too. Zundans, not seeing the forest for the trees, appears not to care. Constantine sees this as an opportunity for him to take control.
HV lose the Knights as a tenant, EAS is a white elephant and Jets take the bill for all the running costs - they pay about 20% now (and think they get a bad deal...)
State Govt needs to step in now, sack Zundans, and work this out quick smart. Our problem is that our local member doesnt represent our area, and is a moron to boot.