$17k in the bank, told to merge with NZ club: Dire situation for Super Rugby side revealed

The Melbourne Rebels could be told they’ll be closing their doors within weeks with revelations the ailing Super Rugby club has just $17,300 in the bank.

While their 2024 future is secure beyond that remains a major question.

The Age reports the Rebels’ dire financial situation was revealed in a creditors meeting held last week, which was then filed to the Australian Securities and Investments Commission.

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The team has entered voluntary administration and auditors from PwC have found they owe over $20 million, including:

– $11.6 million to the tax office;

– $5.7 million to board members;

– $2.8 million to suppliers;

– $1.1 million in unpaid stadium fees;

– $720k to the state revenue office;

– $250k in employee superannuation.

But they have just $17,300 in their bank accounts with assets including office furniture, gym equipment and two cars.

The Rebels are demanding Rugby Australia pays them $8 million they claim is owed to the club – $6 million in underfunding over multiple seasons and $2 million to cover player wages while members of the Rebels were featuring for the Wallabies.

The Rebels are in dire straits. (Photo by Morgan Hancock/Getty Images)Source: Getty Images

News Corp reported Rebels board members were being made personally liable for the $11.6 million tax debt.

Fans are currently unable to buy home tickets or memberships for the team with a week until the season begins.

It comes after leaked documents revealed Rugby Australia had told the club to merge with New Zealand-based Moana Pasifika, with Super Rugby then adding a new team on the United States’ west coast.

“As at 18 July 2023 Rugby Australia was requiring Melbourne team to be known as Rebels Pasifika in its dealing with Rebels, Victorian Government, the British and Irish Lions Tours to Australia in 2025,” it read.

Source website: www.foxsports.com.au

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