SARU's Win-by-1 wanted to 'make a quick buck'
REACTION: Parliament’s Portfolio Committee on Sport, Arts and Culture has blasted the infamous Win-by-1 equity offer to the South African Rugby Union as ‘opportunistic’.
SARU’s leadership were given a collective ‘bloody nose’ on Friday, when a general meeting rejected a proposal to accept a potential private equity investment.
The Ackerley group’s Win-by-1 equity plan got only six of the 10 votes it required, with seven unions and franchises opposing the proposal.
The Chairperson of the Portfolio Committee on Sport, Arts and Culture, Joe McGluwa, reacted to the #NO vote.
McGluwa said the vote was an indication of the importance of a proper and adequate consultation process.
“It does not seem SARU was able to convince its member union to support the deal,” the portfolio boss said.
Two days earlier the members of his committee also blasted SARU for a lack of transparency.
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“The committee notes this development and calls on all other sporting associations to take note of the importance of transparency on matters as crucial as this for the survival of the sports.”
The committee only got briefed on Wednesday about the deal, but still, the information was not provided due to issues of confidentiality.
McGluwa said members’ frustrations and concerns this past Wednesday were valid, and that point was made clearly.
“SARU has a chance now to go back to the drawing board.
“They must look at better ways to achieve what they want to achieve through this deal, which is to capitalise the commercial entity of SARU [and the Springbok brand] without compromising on rugby programmes, any ground on any of the things that make us South Africans, including the Springbok emblem, and our national colours.”
He added that the portfolio committee supports by any means SARU’s stated desire to improve off field revenue sources through piggybacking on the Boks’ successes.
“All of this work should be accompanied with farsightedness that would not leave the company indebted in any way or form to outsiders who have just identified a sophisticated way to make a quick buck.”
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