Canadian firm slams Toronto, RFL over debt debacle

[frank]

1 hour ago, frank said:

Some of those teams that deprived  Toronto from  the TV money( and to a lesser extent Leigh)are on the bones of their ---- and will not be able to afford to be in SL before long. Be interesting to see how they fare financialy when thing get back to normal.

 

[Dave T]

7 hours ago, BrisbaneRhino said:

Putting aside cash isn't a sensible way to guard against the bankruptcy of what are actually quite small businesses. Bank guarantees could be more of an option, but given the likely appalling credit rating of most SL sides I'm not sure even they are viable unless owners effectively provide security themselves, as most operate at a loss and have probably close to zero net assets.

I've no problem with any expansion clubs being asked to provide some form of security. But they should not be asked to do things other clubs are unwilling to do - namely forego TV money.  Toronto ended up a mess, but how much of that was down to COVID we'll never know, and other clubs blocking them getting a fair share of income was utter selfishness.

It is important to remember the date of this unpaid bill. It was for coverage from 2018 when they were in the lower division. 

They bought into the comp by forgoing TV money at their own suggestion. 

Remember this was a billionaires anything that he was funding. Obviously he wasn't. 

[Kayakman]

On 01/03/2021 at 05:59, Hela Wigmen said:

What makes you think that, out of interest? Is their rumblings of a revival or is it blind faith?

Both.

[Kayakman]

20 hours ago, Cumbrian Mackem said:

Not in super league they won’t.

Not yet...it might take a while.

[Sports Prophet]

17 hours ago, GUBRATS said:

He's been a member on here since 2005 

Lol, I thought he only had 55 comments! Haha, my mistake

[Big Picture]

6 hours ago, Dave T said:

It is important to remember the date of this unpaid bill. It was for coverage from 2018 when they were in the lower division. 

They bought into the comp by forgoing TV money at their own suggestion. 

Remember this was a billionaires anything that he was funding. Obviously he wasn't. 

No forgoing TV money was not at their own suggestion, it was the RFL's requirement.  On account of that requirement, all of the initial investors whom Eric Pérez had lined up for the Wolfpack backed out because they weren't interested it doing it on that basis.

Edited March 2, 2021 by Big Picture

[Dave T]

43 minutes ago, Big Picture said:

No forgoing TV money was not at their own suggestion, it was the RFL's requirement.  On account of that requirement, all of the initial investors whom Eric Pérez had lined up for the Wolfpack backed out because they weren't interested it doing it on that basis.

It depends who you want to believe.

This from a Sky Sports article. 

https://www.skysports.com/rugby-league/news/12196/12036080/eric-perez-blames-inequality-for-toronto-wolfpacks-super-league-pull-out

"I actually lost all of my investors and had to look for new ones, and that's when I found [current owner] David Argyle - after that central distribution was taken away from us very much at the last minute."

In response to Perez's claims, the RFL issued a statement underlining that all discussions regarding Toronto being accepted into the British professional game were on the understanding they would not receive central funding.

"All discussions with Toronto prior to their entry into League One were on the basis that the club did not receive central distributions save to the extent that they brought value into the competitions - through commercial revenues, participation fee or otherwise," the statement said.

This position from Perez is interesting, as he has often been quoted praising the RFL for admitting and supporting TWP - which would be odd if the RFL made this last ditch change that lost Perez every one of his investors. 

It would also appear odd for every investor to walk away for what is (IIRC) £75k funding at tier 3. 

[Big Picture]

42 minutes ago, Dave T said:

It depends who you want to believe.

This from a Sky Sports article. 

https://www.skysports.com/rugby-league/news/12196/12036080/eric-perez-blames-inequality-for-toronto-wolfpacks-super-league-pull-out

"I actually lost all of my investors and had to look for new ones, and that's when I found [current owner] David Argyle - after that central distribution was taken away from us very much at the last minute."

In response to Perez's claims, the RFL issued a statement underlining that all discussions regarding Toronto being accepted into the British professional game were on the understanding they would not receive central funding.

"All discussions with Toronto prior to their entry into League One were on the basis that the club did not receive central distributions save to the extent that they brought value into the competitions - through commercial revenues, participation fee or otherwise," the statement said.

This position from Perez is interesting, as he has often been quoted praising the RFL for admitting and supporting TWP - which would be odd if the RFL made this last ditch change that lost Perez every one of his investors. 

It would also appear odd for every investor to walk away for what is (IIRC) £75k funding at tier 3. 

They didn't want to start in tier 3, they wanted to start in SL with a full share of the central distribution, but the RFL said they had to start in tier 3 and win their way up, pay the visiting team's expenses, etc.  That's when Pérez lost his initial investors.

[GUBRATS]

14 hours ago, frank said:

Some of these teams that deprived  Toronto from  the TV money( and to a lesser extent Leigh)are on the bones of their ---- and will not be able to afford to be in Sl before long. Be interesting to see how they fare financialy when thing get back to normal.

And you know this from ?

 

[Kayakman]

47 minutes ago, GUBRATS said:

And you know this from ?

 

I guy by the name of Gubrats told me.....shhhhhh....don't tell anybody....