Rugby

RugbyWA into administration after Force axing

2017-11-17 07:57

Sydney - The parent body of Australia's Western Force went into voluntary administration on Friday over "financial constraints" after its vain attempt to save the team from being axed from Super Rugby. 

Despite strong opposition, the Force were culled in August as part of the drive to reduce the southern hemisphere competition from 18 to 15 teams. 

Parent body RugbyWA sued the Australian Rugby Union in April, but the case was dismissed by a Sydney court and the Perth-based franchise was dumped. 

KordaMentha, an advisory and investment firm, said it was appointed as voluntary administrator by RugbyWA "because of concerns of the future solvency of the business". 

"This concern was due to the financial constraints on RugbyWA from the Western Force's elimination from Super Rugby Competition and Australian Rugby Union pursuing RugbyWA for its legal costs," KordaMentha partner Scott Langdon said in a statement. 

Langdon said RugbyWA planned to continue managing competitions in Western Australia, as well as the sport's development in the state. 

The first creditors' meeting will be held in a week, with the second about a month after. 

A parliamentary inquiry released on Wednesday found that the ARU made the decision to axe the Force - rather than the Melbourne Rebels, who were also on the chopping block - months before a review process was completed. 

Force appears set to join a six-team Indo Pacific Rugby Championship announced by its billionaire supporter, mining magnate Andrew Forrest, who was angered by the team's axing. 

The new league could be up and running by late next year.

Read more on:    rugby
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