The Economic Freedom Fighters (EFF) says it will pose questions to the standing committee on finance to find out whether the contemplated sale of the Springbok’s commercial rights is not in violation of any financial or commercial laws in the country.
The South African Rugby Union (SARU) which controls intends to sell 20% of the commercial rights of the national team to American-based private company Ackerley Sports Group (ASG) in a deal worth R1.3 billion.
ARE THE SPRINGBOKS FOR SALE?
SA Rugby chief executive officer Rian Oberholzer said the aim is to ‘globalise’ the Springbok brand in the way that their peers in New Zealand have.
“Private investment will bring financial security as well as the capital investment and global experience and networks to enhance how we communicate, how we do things and how we interact with our stakeholders,” he said.
Independent Online reported that seven out of SARU’s 14 member unions are opposing the ASG deal.
SA Rugby reportedly needs at least 75% of unions to vote in favour of the deal for it to go through and the member unions are expected to vote in a General Council meeting that will be held on Thursday, 17 October.
SARU has clarified that the Springboks are not for sale and that the game’s rugby affairs – such as the management, coaching, contracting and selection of all national teams as well as competition management – will continue to be its responsibility.
“The private investors will take up a 20 percent stake in an SA Rugby commercial rights company, which will manage and be responsible for the sponsorship, broadcasting, eventing, branding and licensing aspects of the sport.”
EFF OPPOSES ‘DODGY DEAL’
The Red Berets said the move will mean that rugby will be further entrenched as a sport that is privately controlled and only accessed by the privileged few at the highest level.
“Of more particular concern is the secrecy regarding where the proceeds of the sale will go, as it seems SARU is a law unto itself, and its board is set to pocket massive bonuses and commissions for the dodgy deal.
“It is more concerning that the DA-ANC led national coalition government had absolutely no role to play in this transaction, proving that they never had any power over rugby and rugby development in South Africa,” the EFF said.
DO YOU GREE WITH THE EFF’S SENTIMENTS REGARDING THE PRIVATISATION OF SA RUGBY?
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