THE PARRAMATTA Eels face losing four competition points in 2016 if the club doesn’t overhaul it’s current salary cap practices.
The club was issued with a $525,000 fine as well as the threat of losing competition points for salary cap breaches in 2013 and 2014.
The points will be deducted in 2016 pending an independent review of the club’s governance and organisational capabilities.
To avoid the loss of competition points the Eels must also implement any recommendations of the review.
In a statement, NRL CEO Dave Smith said the salary cap breaches by the Eels were significant and showed a lack of oversight by administrators at the club.
The Eels overspent in each of the four salary caps categories in 2014 by:
NRL TOP 25 : $101,718
NRL 2ND TIER: $233,036
NYC TOP 20: $60, 915
NYC 2ND TIR: $8,277
Benefits given to players by the Parramatta Leagues Club in 2013 were also identified as a breach of the salary cap.
The NRL has confirmed this morning the Eels have been under investigation for several months.
It relates to their salary cap last year and having to pay players who were cut by previous coach Ricky Stuart.
Among those who were forced out include Reni Maitua, Matt Keating and Cheyse Blair.
It is believed the club is still paying part of their contracts.
It is understood that the Eels salary cap breaches go back as far as 2009, the year the club made the NRL grand final.
The Daily Telegraph understands they only came to light when football manager Daniel Anderson joined the club and noticed some discrepancies.
The salary cap breaches will raise question marks on how the club was able to sign Anthony Watmough, Kieran Foran and Beau Scott in the last six months although they did lose Jarryd Hayne.
The Eels were put on notice of the breaches at the beginning of the year after an off-season audit of their books.
Remarkably the club still wants Sharks fullback Michael Gordon in a mid-season transfer.
“I called him a couple of days ago just to make sure he was okay,” said Eels coach Brad Arthur said.
“I just wanted to reassure him that if he can make the move over here, we’re still willing to have him. But my main concern was that he was not in a good headspace.
“He said he’s struggling a little bit. But he’s a pretty strong kid, in the dealings I’ve had with him. I think he’ll be okay.”
The Eels have tabled a deal for Gordon until the end of 2016, however Arthur insists the club could be forced to look elsewhere for a fullback.
“I think he’s still hopeful. We’re still hopeful. But it’s getting to the stage where, it’s nine days (sic) now until the deadline’s up,” he said.
“If we can’t get anything sorted between now and then, we’ll obviously need to get a fullback moving forward for next year.”
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