shiretiger
Well-known member
http://www.smh.com.au/business/tax-office-to-wind-up-tinklers-teams-20121213-2bb7w.html
Looks like the Knights are in a spot of bother
Looks like the Knights are in a spot of bother
Looks Like Knights Have A Problem In a MAJOR Way
- Thread starter shiretiger
- Start date
The Australian Tax Office has moved to wind up the Newcastle Knights and the Newcastle Jets, along with their parent company the Hunter Sports Group, over unpaid debts of some $2.7 million, as owner Nathan Tinkler's debt problems continue to mount.
Documents filed on Wednesday in the Federal Court in Sydney show the Deputy Commissioner of Taxation is applying for the wind-up of Hunter Sports Group (owing $184,258), Newcastle Jets Pty Ltd (owing $1.063 million) and Newcastle Knights Pty Ltd (owing $1.424 million).
The applications have been set down for hearing on February 20.
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The ATO has moved against a number of Tinkler entities this week, yesterday it moved to continue to wind-up proceedings against Queen St Capital and on Monday became the creditor of one of his main entities Tinkler Group Holdings Administration. The extent of those debts is unknown.
Another two Tinkler companies, Mulsanne Resources and Patinack Farm Administration, are in liquidation.
Last week the former billionnaire’s private jet and helicopter were repossessed as receivers were appointed to his TGHA Aviation.
Read more: http://www.smh.com.au/business/27-million-debt-tax-office-moves-to-wind-up-tinklers-teams-20121213-2bb7w.html#ixzz2EtBN9Lps
Documents filed on Wednesday in the Federal Court in Sydney show the Deputy Commissioner of Taxation is applying for the wind-up of Hunter Sports Group (owing $184,258), Newcastle Jets Pty Ltd (owing $1.063 million) and Newcastle Knights Pty Ltd (owing $1.424 million).
The applications have been set down for hearing on February 20.
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The ATO has moved against a number of Tinkler entities this week, yesterday it moved to continue to wind-up proceedings against Queen St Capital and on Monday became the creditor of one of his main entities Tinkler Group Holdings Administration. The extent of those debts is unknown.
Another two Tinkler companies, Mulsanne Resources and Patinack Farm Administration, are in liquidation.
Last week the former billionnaire’s private jet and helicopter were repossessed as receivers were appointed to his TGHA Aviation.
Read more: http://www.smh.com.au/business/27-million-debt-tax-office-moves-to-wind-up-tinklers-teams-20121213-2bb7w.html#ixzz2EtBN9Lps
Tiger_Watto
New member
Que Perth…
It will be another Gold Coast. Wind this one up and start again… I'd be more concerned about the Jets. The NRL are never going to drop the Knights but the A-League might not be willing to take over another team.
@Chris said:
You think there will be a fire sale? I'd have thought letting players go is of very limited benefit to a struggling NRL team. Unless they can spend their cap (or close to it) there's no point having a team. If this was a soccer club I could see it happening…
Well Bennett is probably not going to stay unless he gets paid and that's a big weight financially on whoever picks up the pieces.
I'm pretty confident there will be a Newcastle Knights team in 2013\. The ownership may be different but the NRL can't afford not to have a team there.
i thought they structured it so if tink goes down they keep the €20mill and can just change owners. could be interesting though, from what i understand the share price has dropped from $6 to $2 meaning his value has plummeted to a third of what it was, plus he is losing on the horse stable -$24mil per year. He is definitely in millionaire trouble, but I am still not convinced knights will crumble as a result.
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Don't the members get the club back if Tinkler goes bust? I'm sure I read that somewhere.
It would be a shame to see the Jets fold though… Australian football deserves better than that.
It would be a shame to see the Jets fold though… Australian football deserves better than that.
MacDougall
New member
The Jets are the second most important A-League team right now because of E. Heskey. The A-League will sort them out.
J
JoshTheNewcastleFan
Guest
The media is making a massive deal out of this. The HSG owe a couple of million that they will pay before any court hearing in February.
The Knights will not fold, they are nowhere even near to doing so. Even if Tinkler does go broke, the Knights have a $20mil bank guarantee incase this were the situation. It's a massive shame about Tinkler, all he wanted to do was help make his team a force & now it looks like he's gonna be broke soon.
The Knights will not fold, they are nowhere even near to doing so. Even if Tinkler does go broke, the Knights have a $20mil bank guarantee incase this were the situation. It's a massive shame about Tinkler, all he wanted to do was help make his team a force & now it looks like he's gonna be broke soon.
@JoshTheNewcastleFan said:
Grew too big too quickly by the sounds of it. I don't like the bloke but I won't question his dedication trying to help the team out he's most likely spent his life supporting.
Josh, will the members retain control of the club if Tinker/HSG goes belly up?
happy_tiger
Well-known member
So they won't be forfeiting Round 1 then :unamused:
The NRL will drag them out if they need assistance
The games needs a team at Newcastle
The NRL will drag them out if they need assistance
The games needs a team at Newcastle
Tiger_Watto
New member
@JoshTheNewcastleFan said:
The Knights may have a guarantee for $20M and an option to regain control of the Football Club, but was the new NRL License Agreement signed by the Newcastle Football Club or HSG?
@Tiger Watto said:
Not sure but I don't think it would make a huge difference. You would think the NRL license is held by the club, and the club is owned by HSG.
If/when Tinkles can't meet his contract obligations with the club (something like $10m in sponsorship each year for 10 years?) then the members buy back the club for $1, debt free and with $20m which goes down to $10m after Jan 31st 2013\. Nice position to be in IMO.
@LaT said:
I thought Tinkler wasn't actually pumping 10m a year into the Knights. I thought it was a guarantee that he'd top up the club income to 10m. So after grants, sponsorships etc, he'd make up the shortfall up until 10m. 10m must have been the break-even point?
Tiger_Watto
New member
**<big>Jets, Knights will survive say peak bodies</big>**
By James MacSmith and Justin Chadwick AAP Thu, Dec 13, 2012 - 6:31 PM
The NRL and the FFA have moved to allay fears over the future of rugby league's Newcastle Knights and their A-League siblings the Newcastle Jets due to debts of around $2.5 million.
The Australian Tax Office on Thursday applied for both of owner Nathan Tinkler's teams, the Knights and soccer's Jets, and their parent company Hunter Sports Group, to be wound up due to unpaid debts.
According to documents filed in the Federal Court in Sydney, the Knights owe more than $1.4 million to the tax office, the Jets owe just over $1 million, while Hunter Sports Group is $184,000 in the red.
The tax office has applied for a liquidator to be appointed for both the Knights and Jets and Hunter Sports Group.
However both the NRL and FFA said they were confident the future of each club under their respective authority was not in jeopardy.
Interim NRL chief executive Shane Mattiske said the guarantees that were put in place when Tinkler took ownership of the Knights in 2011 would ensure the club remains viable.
"In relation to the ownership by Hunter Sports Group, guarantees have been put in place by the commission to safeguard the Knights position," Mattiske told AAP.
"Those safeguards were a condition of ownership and are there to ensure the club's future."
The FFA said the Jets would continue to remain viable under Tinkler's ownership.
"FFA has been given assurances by Hunter Sports Group, owner and operator of Newcastle Jets, that the club's operations will not be affected," the FFA said in a statement.
A $20 million bank guarantee was a condition of Tinkler's privatisation of the Knights and the granting of their NRL licence. It is understood the Jets are not covered by a similar safety net.
Hunter Sports Group said it had not been advised of the ATO's move to appoint a liquidator.
"We are surprised by the move by the ATO, as we have not received notification of this move," Hunter Sports Group said in a statement.
"We advise that any outstanding sum will be paid as soon as possible - well before the reported hearing date on the matter next February."
Knights chief executive Matt Gidley and his Jets counterpart Robbie Middleby echoed similar sentiments.
"I have been advised that the outstanding payment to the ATO will be paid shortly and the issue will be resolved," Gidley said in a video statement.
"We are looking forward to regrouping after the Christmas break and looking forward to a positive 2013 on and off the field."
Middleby added: "Our main concern at the Newcastle Jets at the moment is that the players and staff in Perth have their minds on the job and to ensure the Newcastle Jets have a successful 2012/13 season".
The development is a concern for both governing bodies given Gold Coast United's demise last season and the Gold Coast Titans financial struggles. The Titans' troubles resulted in a complete overhaul of the club's administration before they were granted a new NRL licence last month.
Tinkler has reportedly failed to make player payments to the Knights on time. Jets players said the same had not happened to them.
Jets stand-in captain Ruben Zadkovich said: "It's not really something the players can have any input into. We've just got to go out there and do our best, and things will either work out or won't. I don't think the Newcastle Jets are in any danger at the moment. We've just got to focus on the football and let the off-field dramas sort itself out."
http://www.nrl.com/knights-future-safe-says-nrl/tabid/10874/newsid/70516/default.aspx
By James MacSmith and Justin Chadwick AAP Thu, Dec 13, 2012 - 6:31 PM
The NRL and the FFA have moved to allay fears over the future of rugby league's Newcastle Knights and their A-League siblings the Newcastle Jets due to debts of around $2.5 million.
The Australian Tax Office on Thursday applied for both of owner Nathan Tinkler's teams, the Knights and soccer's Jets, and their parent company Hunter Sports Group, to be wound up due to unpaid debts.
According to documents filed in the Federal Court in Sydney, the Knights owe more than $1.4 million to the tax office, the Jets owe just over $1 million, while Hunter Sports Group is $184,000 in the red.
The tax office has applied for a liquidator to be appointed for both the Knights and Jets and Hunter Sports Group.
However both the NRL and FFA said they were confident the future of each club under their respective authority was not in jeopardy.
Interim NRL chief executive Shane Mattiske said the guarantees that were put in place when Tinkler took ownership of the Knights in 2011 would ensure the club remains viable.
"In relation to the ownership by Hunter Sports Group, guarantees have been put in place by the commission to safeguard the Knights position," Mattiske told AAP.
"Those safeguards were a condition of ownership and are there to ensure the club's future."
The FFA said the Jets would continue to remain viable under Tinkler's ownership.
"FFA has been given assurances by Hunter Sports Group, owner and operator of Newcastle Jets, that the club's operations will not be affected," the FFA said in a statement.
A $20 million bank guarantee was a condition of Tinkler's privatisation of the Knights and the granting of their NRL licence. It is understood the Jets are not covered by a similar safety net.
Hunter Sports Group said it had not been advised of the ATO's move to appoint a liquidator.
"We are surprised by the move by the ATO, as we have not received notification of this move," Hunter Sports Group said in a statement.
"We advise that any outstanding sum will be paid as soon as possible - well before the reported hearing date on the matter next February."
Knights chief executive Matt Gidley and his Jets counterpart Robbie Middleby echoed similar sentiments.
"I have been advised that the outstanding payment to the ATO will be paid shortly and the issue will be resolved," Gidley said in a video statement.
"We are looking forward to regrouping after the Christmas break and looking forward to a positive 2013 on and off the field."
Middleby added: "Our main concern at the Newcastle Jets at the moment is that the players and staff in Perth have their minds on the job and to ensure the Newcastle Jets have a successful 2012/13 season".
The development is a concern for both governing bodies given Gold Coast United's demise last season and the Gold Coast Titans financial struggles. The Titans' troubles resulted in a complete overhaul of the club's administration before they were granted a new NRL licence last month.
Tinkler has reportedly failed to make player payments to the Knights on time. Jets players said the same had not happened to them.
Jets stand-in captain Ruben Zadkovich said: "It's not really something the players can have any input into. We've just got to go out there and do our best, and things will either work out or won't. I don't think the Newcastle Jets are in any danger at the moment. We've just got to focus on the football and let the off-field dramas sort itself out."
http://www.nrl.com/knights-future-safe-says-nrl/tabid/10874/newsid/70516/default.aspx
