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http://www.smh.com.au/sport/shark-attack-20130309-2fsyt.html
Cronulla Sharks players have allegedly received under-the-table payments from a security company sponsor, opening another battle front for the club at the centre of an investigation by the Australian Sports Anti-Doping Agency.
Fairfax Media has confirmed the Sharks have recently severed ties with the company E Group Security, which was a sponsor and provided security to the club, and replaced it with another security firm.
However, it has been alleged once the club realised the company, run by former rugby league player Sami Chamoun, had allegedly helped to top up the money for its star players outside the salary cap, the board went into panic mode.
Mired in scandal: The Sharks at training on Saturday. Photo: Sasha Woolley
The club informed the NRL's salary cap auditor when it became aware of the allegations, and the auditor is investigating the claims.
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A breach of the cap on payments to players is a serious offence under NRL membership rules, and crippled Melbourne Storm when its breaches became public.
The dispute with its sponsor is the last thing the Cronulla club needs on the back of allegations levelled at it by ASADA and Friday's sacking of four senior staff members and the decision to stand coach Shane Flanagan down.
Mr Chamoun, 37, confirmed his security company had lost its contract with the Sharks despite having two years left to run. His lawyers had written to the Sharks on Friday informing them they were taking legal action for a breach of contract.
''As part of the contract there was a sponsorship component with the club which we kept to,'' he told Fairfax Media. ''There's a lot more to it than that. I really can't say too much yet. We only served the letter with them on Friday and we want to give them the chance to respond.''
Asked if he had paid Sharks players directly instead of the club, Mr Chamoun said: ''I never said that.''
The Sharks, including chairman Damian Irvine and suspended coach Flanagan, denied there were any inappropriate payments made by Mr Chamoun while the head of Cronulla's commercial operations Patrick Woods said he had no comment at all.
''We changed security companies for this season and an ongoing contractual dispute with our previous contractors eventuates,'' Irvine said in a text sent from Los Angeles. ''The NRL salary cap auditor was informed of their inference when they were made and asked to ensure all payments were correctly registered.''
It was understood the club called an emergency meeting two weeks ago to discus the matter, and the possible ramifications. Apart from lawyers, Flanagan and skipper Paul Gallen were said to have attended.
Flanagan, who was sensationally suspended on Friday, was incensed by the story, saying it was something he did not want to get caught up in. ''I'm not getting into rubbish talk like that,'' he said. ''The rumour, I've heard it, but I'm not going down there now. I have more things to worry about.''
Mr Chamoun, a former front-rower for the Illawarra Steelers in the 1990s, established E Group Security in late 2004. The business boasts more than 1000 staff and provides security and cleaning services to more than 200 clients, which include the NSW government and the City of Sydney. It also does work for a number of other NRL teams, including the Wests Tigers, Penrith Panthers, Sydney Roosters and Newcastle Knights. It also counts the NRL and Parramatta Stadium among its clients.
Mr Chamoun runs the company out of an office in Petersham.
The Sharks open their NRL season on Sunday night with a home clash against the Gold Coast Titans. They were listed as one of the pre-season favourites for the premiership in 2013 but the major setbacks suffered over the past week will be a huge hurdle to overcome to break the club's long-running title drought.
Read more: http://www.smh.com.au/sport/shark-attack-20130309-2fsyt.html#ixzz2N4m0ErZR
Cronulla Sharks players have allegedly received under-the-table payments from a security company sponsor, opening another battle front for the club at the centre of an investigation by the Australian Sports Anti-Doping Agency.
Fairfax Media has confirmed the Sharks have recently severed ties with the company E Group Security, which was a sponsor and provided security to the club, and replaced it with another security firm.
However, it has been alleged once the club realised the company, run by former rugby league player Sami Chamoun, had allegedly helped to top up the money for its star players outside the salary cap, the board went into panic mode.
Mired in scandal: The Sharks at training on Saturday. Photo: Sasha Woolley
The club informed the NRL's salary cap auditor when it became aware of the allegations, and the auditor is investigating the claims.
Advertisement
A breach of the cap on payments to players is a serious offence under NRL membership rules, and crippled Melbourne Storm when its breaches became public.
The dispute with its sponsor is the last thing the Cronulla club needs on the back of allegations levelled at it by ASADA and Friday's sacking of four senior staff members and the decision to stand coach Shane Flanagan down.
Mr Chamoun, 37, confirmed his security company had lost its contract with the Sharks despite having two years left to run. His lawyers had written to the Sharks on Friday informing them they were taking legal action for a breach of contract.
''As part of the contract there was a sponsorship component with the club which we kept to,'' he told Fairfax Media. ''There's a lot more to it than that. I really can't say too much yet. We only served the letter with them on Friday and we want to give them the chance to respond.''
Asked if he had paid Sharks players directly instead of the club, Mr Chamoun said: ''I never said that.''
The Sharks, including chairman Damian Irvine and suspended coach Flanagan, denied there were any inappropriate payments made by Mr Chamoun while the head of Cronulla's commercial operations Patrick Woods said he had no comment at all.
''We changed security companies for this season and an ongoing contractual dispute with our previous contractors eventuates,'' Irvine said in a text sent from Los Angeles. ''The NRL salary cap auditor was informed of their inference when they were made and asked to ensure all payments were correctly registered.''
It was understood the club called an emergency meeting two weeks ago to discus the matter, and the possible ramifications. Apart from lawyers, Flanagan and skipper Paul Gallen were said to have attended.
Flanagan, who was sensationally suspended on Friday, was incensed by the story, saying it was something he did not want to get caught up in. ''I'm not getting into rubbish talk like that,'' he said. ''The rumour, I've heard it, but I'm not going down there now. I have more things to worry about.''
Mr Chamoun, a former front-rower for the Illawarra Steelers in the 1990s, established E Group Security in late 2004. The business boasts more than 1000 staff and provides security and cleaning services to more than 200 clients, which include the NSW government and the City of Sydney. It also does work for a number of other NRL teams, including the Wests Tigers, Penrith Panthers, Sydney Roosters and Newcastle Knights. It also counts the NRL and Parramatta Stadium among its clients.
Mr Chamoun runs the company out of an office in Petersham.
The Sharks open their NRL season on Sunday night with a home clash against the Gold Coast Titans. They were listed as one of the pre-season favourites for the premiership in 2013 but the major setbacks suffered over the past week will be a huge hurdle to overcome to break the club's long-running title drought.
Read more: http://www.smh.com.au/sport/shark-attack-20130309-2fsyt.html#ixzz2N4m0ErZR
