Central Coast Door Ajar For Sydney Club
By
ROY MASTERS and BRAD WALTER
SYDNEY MORNING
HERALD - 7/12/2004
The
possibility of a Sydney team relocating to Gosford increased
dramatically yesterday with the revelation that it would no longer have
to be called the Bears.
John Singleton's commitment to help North Sydney resurface on the
Central Coast at his $30 million stadium has ended.
Although free of the Bears, Singleton would still be prohibited from
holding a financial stake in an NRL team that decided to call his
stadium home.
Former administrator of the North Sydney Bears, Graham Campbell,
confirmed yesterday that the agreement Singleton had with the Bears had
"technically lapsed".
"The terms of the assignment of the management rights of the stadium
were for John to use his best endeavours to procure an NRL team for the
site," Campbell, a director of Ferrier Hodgson, said. "He's done that
and failed."
With the NRL offering $8 million as an incentive to relocate, clubs
will be tempted to move to Gosford knowing that the stadium is not
reserved for the Central Coast Bears.
Norths football club president Mike Gibbons was adamant the agreement
with Singleton still stood and warned of possible legal action.
"My concern is that offering an $8 million 'relocation' grant to a club
without reference to these conditions is misleading. It could also be
considered as an inducement by one organisation encouraging another
organisation to breach a contract," Gibbons said.
But Campbell, who is also a stadium board director, said: "John cannot
be involved in an equity or sponsorship arrangement with any other
team. He can have a relationship with a relocating team but it can't be
financial. He can't underwrite it or sponsor it.
"North Sydney could argue the NRL may revisit the 16th team scene next
year and say John is obliged to have another go. I've got some sympathy
with that view but John may feel differently."
In a related development, Singleton is understood to have approved the
Bears selling their stadium rights share on the condition a Central
Coast leagues club purchases it.
Jim Henry, the chief executive of North Sydney's licensed club, which
controls the lease to the stadium and owns 20 per cent of the
management rights, refused to rule out selling the licensed club's
share.
"There is a lot of speculation about North Sydney selling its 20 per
cent stake in the John Singleton management rights but we've had no
approaches," Henry said. "The matter is legally complex to achieve.
We're not selling a used car."
The double blow to Norths hopes of gaining re-admission to the NRL as
the competition's 16th team follows news of South Sydney's plans to
move to North Sydney Oval in 2006 and a Cronulla sponsorship deal with
the Central Coast Rugby League that effectively directs the area's
elite juniors to the Sharks.
It is understood that the Sharks are considering playing three games in
Gosford in 2006.
The NRL rejected spirited bids from the Central Coast, Gold Coast and
Wellington to join the competition in August but plans to revisit the
issue of expanding the premiership in 2007.
NRL chief executive David Gallop said he was not aware of the full
details of the agreement between Norths and Singleton but said the
league would consider any proposal for relocation.
"We haven't had any formal approaches about relocation but all clubs
know that there are relocation incentives on the table," he said.
"Clearly we have got clubs looking to maximise their returns from home
games but looking to maintain contact with their traditional fan base.
They're seeking to strike a balance."
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