Manly on course to self-destruct as leagues club plan falls apart

[ManlyBacker]

That is true but he put that money in to obtain a benefit, there is a big difference.  If he was paying above market rate for the sponsorship then I guess there is a case for it to be bought up. 

Max has put in about $4.25M straight into the football club, outside of his sponsorship arrangements, and the Penn's a lot less. That could be just good timing by the Penn's but that is where the support has come from.

 

[Berkeley_Eagle]

Manly's cheque in the mail

By Jon Geddes | February 16, 2009 12:00am

[img=400x153]http://www.news.com.au/common/imagedata/0,,6487686,00.jpg[/img]

THIS is the vital slip of paper that could end the civil war which is tearing at NRL premiers Manly-Warringah.

But with the troubled club's co-owners no closer to peace yesterday and not having spoken for a couple of days, Scott Penn called on Max Delmege to "show me the money".

Delmege has said the funds - believed to be for at least $400,000 - will be delivered this week but his estranged club co-owner Penn will believe the property tycoon when he sees the cheque.

"If it has been pledged, we look forward to seeing it," Penn said last night.

"That would be a good result if the cheque is forthcoming. He's got the bank account details so it would be a good outcome."

Asked if he believed the cheque was in the mail, Penn replied after a pause: "I wouldn't like to comment."

On the weekend Delmege flashed a bank cheque filled out for $500,000, saying that the unpaid money was an "accidental oversight".

In another day of high drama yesterday:

 MANLY media manager Peter Peters accused Delmege of "un-Manly" behaviour;

 THE premiership squad left during the club's biggest crisis in a decade, ahead of their World Club Challenge against Leeds, and determined not to let the ongoing brawl derail their trophy defence; and

 MANLY'S highly regarded outgoing CEO Grant Mayer played down suggestions he could be enticed to stay on once his current contract ends in October.

Penn said the outstanding cash was not the end of the matter and there was more to come.

"This is what is needed now - all stakeholders need to contribute more over the coming months," he said yesterday.

Peters made his comments about Delmege after Mayer became the first high-profile victim of the club's internal battle.

"It is un-Manly to publicly support Grant Mayer on several occasions in the public arena and two days after saying that the two Delmege votes went against him," Peters said.

Penn addressed the players before they left saying they should focus on winning in England and everything else would be sorted out by the time they got back home.

"He assured us the Penn family was there for the long term and the problem was isolated at board level," said prop Jason King, adding it was not an issue for the players and nobody was talking about anything like that.

"We've been training months for these games so that's where our concentration is," King said.

"As far as the playing group is concerned we are professional rugby league players and that is what we are there to do."

Mayer said the situation was just a disagreement among the board that will be sorted quickly.

"I can't see it being a drawn out process, I think it will be resolved reasonably quickly," he said.

The CEO still has plenty of support but, asked if he could reconsider his decision to leave he replied: "It would be very difficult at this stage. People have made decisions and I've made mine."

 

[DSM5]

Peter Peters?  I thought he was a paid employee of the club.  Why's he making inflammatory comments.  (especially as he's related to one side of this Imbroglio)  And no, that's not Natalie's dad.

 

[Canteen Worker]

There are sides to this story obviously though I do note that Max's little oversight of money owed as part of his position is 1/2 million, which isn't quite the petty little amount he was bandying around last week. If that is the case, I can see why some are a little upset.

I am also thinking it strange why both Max and the Football Club have come out publicly in praise for Grant Mayer and the wonderful job he has done and then days later voted to shaft him.

My other question is why was his imminent dumping fairly common knowledge a few days before it happened, and then mentioned in the media and in forums on the day before.

There is a plot here - and it sounds or seems orchestrated.

Bottom line is the question - What has Mayer done that would see the directors choose not to reappoint him? Is it that he isn't affording Max the respect that Max seems to think he is due? is there some other agenda.

 

[Ryan]

Think of it this way (or as a Banker would ! Hehehehe):-
Rugby League is an extremelly seasonal business. Cashflow is superior March through (well - OCTOBER if your us !).

Grant Mayers job would be to have a business plan in place to maintain a healthy cashflow throughout the year.

When Delmege didn't come through with what was promised in contracts and that, Grant would have had to chase him for it. Being a very proud type of guy - I don't think Delmege would have thought kindly to this - but Mayer would have just been doing his job.

I can see why there is tension, but like all parties have said, if the $$$ came through as it should have - and $400k in a business that only turns over 11 million is a lot - especially in non peak periods - we wouldn't be having issues.

 

[Canteen Worker]

Good analysis Ryan, though one would think there is something else going on as well. Just wish it would go away.

 

[Corso_Pete]

To suggest that such a public slanging match could erupt over unpaid monies by Delmege sounds way to simplistic. Undoubtedly the non payment by Delmege would have created financial pressures for the club and ultimately Mayer where the buck stops when it comes to paying the bills. 

If this whole story is just about unpaid money then all the parties involved should hang their collective heads in shame for the manner in which they have conducted themselves.

In my opinion there is another agenda, but what is that agenda?. I will stick my head out and say it has something to do with the football club and their preferential share.

In the blue corner we have the old dinosaur (Delmege) wants nothing less than to stay at Brookvale with a dilapidated ground where the promise of money for upgrades by the government may well be under some pressure due to the current economic client and ever expanding deficits.

In the red corner we have the young and energetic Penn's' and their trusty sidekick Grant Mayer.  They love Manly, yes they do but they also love business and the challenge of turning a small dollar into a bigger dollar and eventually selling out to the highest bidder. Could that ever at happen at Brookvale whilst ever old heads, swayed by 60 years of history of playing at the hallowed but quickly dying Brookvale Oval happen, well it can't because the FC hold 1 very important vote that cannot be bought, but if the company that holds the licence to an NRL team went bankrupt what value is the one share held by the FC?

 

[Matabele]

In the red corner we have the young and energetic Penn's' and their trusty sidekick Grant Mayer.  They love Manly, yes they do but they also love business and the challenge of turning a small dollar into a bigger dollar and eventually selling out to the highest bidder. Could that ever at happen at Brookvale whilst ever old heads, swayed by 60 years of history of playing at the hallowed but quickly dying Brookvale Oval happen, well it can't because the FC hold 1 very important vote that cannot be bought, but if the company that holds the licence to an NRL team went bankrupt what value is the one share held by the FC?

  Is that anything more than speculation Pete?  Because I would suggest if the Penns were to invest $2.5m+ to make a return then there were far better options available to them than buying into a rugby league club. 

 

[DSM5]

Pete, you may have hit the nail when you infer that grant Mayer sides with Penn.  A CEO should not 'side' with any faction of a board. (unless they're sure of the numbers)  I know they do, but they shouldn't.  Could this be the straw?  If it is, they all should sit down, take a deep breath, and get over it.     

 

[Canteen Worker]

To side with someone suggests that there is some major difference in terms of policy or overall direction, unless is it merely personality driven. What most Manly supporters would like to know is what are the issues? Why was Mayer punted? How can Max publically praise Mayer in the media and two days later allow his two votes to shaft him?

There was a bad smell about the last AGM of the Football Club, with the letter that went around suggesting things that were not true. Is that related to what has happened here. Is this related to the failed development of the Leagues Club site.

There are still a lot of questions with only innuendo and no answers.

 

[DSM5]

This topic is difficult given so many threads.  Who's going to Telstra for the game.  Maybe we could all suit up and discuss the issue at half time.  Bring your armor. 

 

[Matabele]

There was a bad smell about the last AGM of the Football Club, with the letter that went around suggesting things that were not true. Is that related to what has happened here. 

You wouldn't have a copy of that would you?

 

[deadlyeagle]

There are sides to this story obviously though I do note that Max's little oversight of money owed as part of his position is 1/2 million, which isn't quite the petty little amount he was bandying around last week. If that is the case, I can see why some are a little upset.

I am also thinking it strange why both Max and the Football Club have come out publicly in praise for Grant Mayer and the wonderful job he has done and then days later voted to shaft him.

My other question is why was his imminent dumping fairly common knowledge a few days before it happened, and then mentioned in the media and in forums on the day before.

There is a plot here - and it sounds or seems orchestrated.

Bottom line is the question - What has Mayer done that would see the directors choose not to reappoint him? Is it that he isn't affording Max the respect that Max seems to think he is due? is there some other agenda.

My take on it according to quotes stating that the board was unhappy with Myers take on the Sponsorship area. Eg although we did receive a new major sponsor and Myer did everything necessary. but IMHO when Myer was spreading the word that Max was "dropping" his major sponsorship i don't think Max took this too kindly when Max had been stating that "he will only drop his sponsorship if a bigger one can be found."

Therefore this talk on MAx abandoning us and the bad media attention would not have been taken kindly to him even although we did recieve a new major backer. Imagine supporting your club 100% only too receive harsh criticism from fans and such that your abandoning the club you love.

Im not against Myer here, this is just my take on it and the fact that Myer did whatever possible to get a new sponsor MAY have not been taken kindly by Max.

 

[Corso_Pete]

[quote author=Corso_Pete link=topic=179102.msg207110#msg207110 date=1234760261]


In the red corner we have the young and energetic Penn's' and their trusty sidekick Grant Mayer.  They love Manly, yes they do but they also love business and the challenge of turning a small dollar into a bigger dollar and eventually selling out to the highest bidder. Could that ever at happen at Brookvale whilst ever old heads, swayed by 60 years of history of playing at the hallowed but quickly dying Brookvale Oval happen, well it can't because the FC hold 1 very important vote that cannot be bought, but if the company that holds the licence to an NRL team went bankrupt what value is the one share held by the FC?

  Is that anything more than speculation Pete?  Because I would suggest if the Penns were to invest $2.5m+ to make a return then there were far better options available to them than buying into a rugby league club. 
[/quote]

It is nothing more than speculation on my behalf, other than the money issue I simply haven't read of or can think of anything that is more viable.

 

[Rex]

The extraordinary public attacks - by Penn, Peters and some on this site on Delmege are curious.  

1. If I understand correctly Delmege came in as rescue sponsor when the club couldn't get sponsors elsewhere.  That suggests he paid overs.  Last year Manly became premiership favourites and Delmege pulled back for someone else to fill the gap.  The result was less money from a sponsor who's auditors qualify their accounts over the "going concern" assumption (could this "going concern" uncertainty be a reason for the luke-warm support by some of Meyer's efforts in securing Manly's financial future?).  Again suggests Delmege paid overs in sponsorship.

2.  Delmege came in as rescue purchaser when the club was effectively bankrupt.  Has paid over $4m to the less than $3m paid by Penn (according to both Penn and Delmege). Despite paying more he gets a lower shareholding.  Curious situation, but both parties agree thems the facts.

So if the club wouldn't have survived without Delmege, if he's paid significantly more than the Penns in both purchase costs and sponsorships, then why these amazing public attacks on Delmege? Why was this not firstly sorted out behind closed doors?

Just curious. IMO has not been adequately explained. Not suggesting I have any better info than anyone else, or that Penn and Peters are at fault, but the actions of Penn and Peters just don't add up as currently explained. I'm sure there's a lot more to all this than we know.

 

[byso]

All good questions Rex. Just doesn't add up does it.

Also why wasn't Penns purchase price revealed at the time of purchase of our club?

 

[Canteen Worker]

Max saved the club - indisputable fact. Some claim that this gave him the right to then be very involved in the management of the club, including significant decision making. A couple of times the club was very embarrassed by his support of Monaghan and Hoppa - though the thoughts of these matters were very mixed by fans (and of course we did not have all the facts.)

Mayer has upset some of the 'old boys' of the club with his style - and now Penn has done the same. As Rex suggests, we don't know the issues.

Byso's question is also relevant - though again we also don't know what money from Max was loaned to be repaid, what was a gift, what was sponsorship as major sponsor and what was given as part of the partnership deal. Again, with both Penns and Max, we don't know the 'fine print' in the partnership deal.

Lots of unanswered questions, especially as Mayer as CEO would have a pretty good idea of who is putting what funds into the place.

Sadly Mata, I don't seem to have that 'poor form' letter just prior to the members meeting, though I will have a check around, just in case it is still around.

 

[Cameron]

im not going to bag max because we wouldnt have a club without him.
I dont doubt for one minute his love for the club.

But he has done alright he got a pretty nice block of land where the old football club was on for a fairly good price.

 

[Canteen Worker]

For those who want to see who owns what and why they are joint owners - see this link on the club website;

http://www.manlyseaeagles.com.au/manly-warringah-sea-eagles-family.asp

 

[Berkeley_Eagle]

Manly co-owner Max Delmage has demanded chairman Scott Penn resign

February 16, 2009
http://www.foxsports.com.au/story/0,8659,25064215-23214,00.html
MANLY co-owner Max Delmege claims to have paid his debts to the NRL club and is now demanding the resignation of Sea Eagles chairman and fellow owner Scott Penn.

In the latest twist to the ugly backroom war engulfing the reigning premiers, Delmege said the only way forward for the club was for an independent chairman to be appointed.

"This is what I'm calling for, that Scott Penn stand down from chairman because we've got to have somebody independent,'' Delmege said.

"I think that would be fair to say - equal shareholders, independent chairman.''

Penn wasn't the only prominent Manly figure in Delmege's sights with the property developer also calling for club media manager Peter Peters to resign.

Peters claimed Delmege had behaved "un-Manly'' for publicly backing chief executive Grant Mayer only to vote against him at a board meeting two days later.

Delmege said he had transferred unpaid sponsorship commitments, believed to be worth almost $230,000, to the club's coffers on Monday.

But he denied money was behind his bitter falling out with Penn.

"Manly Warringah rugby league club is bigger than the Delmege family and the Penn family,'' Delmege said.

"With respect it's not a monetary thing, it's a power thing.

"This is trying to get control of something by using a small amount of money as a tool.

"Very wrong, very inappropriate and the people and the supporters of Manly rugby league see through all this.

"They're not stupid - they know who came in and saved the club.

"It's bloody ridiculous, that's the only way to describe it.''

The Sea Eagles players and coaching staff flew out for England on Sunday where they will begin preparations for next month's World Club Challenge against Leeds.

They will play a trial game against London Harlequins this weekend.


AAP