NRL clubs recently met with the governing body to address the rising threat of the rebel Rugby 360 competition and its potential implications for the future of the sport.
During the meeting, clubs reportedly threw their full support behind the governing body as it considers legal and protective measures to deter players and agents from defecting, according to The Sydney Morning Herald.
The media outlet reported that NRL chief executive Andrew Abdo spoke with club CEOs during a phone call on Friday, addressing their concerns over the potential impact of the rival league
Meanwhile, Australian Rugby League Commission boss Peter V’Landys has been consulting with several club chairmen throughout the week, with the SMH reporting that he plans to take their feedback to the commission to explore potential protective measures.
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Although the NRL’s legal authority to block players from joining R360 remains uncertain, veteran journalist Michael Chammas reports that the league is exploring strategies to safeguard the game against a potential talent drain.
South Sydney chief executive Blake Solly confirmed that clubs would back any measures introduced by the ARLC to shield the sport from R360.
“We aren’t sure what sanctions the ARLC will be able to impose or introduce, but Peter, Andrew and the commission have the full support of the NRL clubs,” Solly told the SMH.
“We have little detail about R360. But it looks aimed at disrupting the established RU [rugby union] and rugby league clubs and competitions around the world; with no investment into participation or development pathways.
“It looks to pirate the work done by rugby union and league clubs around the world for some private investors to make a quick buck.”
Players who choose to join R360 are reportedly able to select their country of residence and won’t be required to live in their franchise’s location, potentially allowing them to maximise earnings in tax-free jurisdictions.
Solly expressed his scepticism about such schemes and arrangements that have circulated in the league before.
“A few of us CEOs have been around rugby league for long enough to see these ‘tax-free’ schemes come and go before,” Solly.
“Image Rights agreements in Guernsey and Jersey; registered offshore pension schemes and all sorts of schemes that players were promised if they moved to the UK or Europe. They never last and there is always a tax bill for the club or the player.
“There is no way the ATO [Australian Tax Office] or HMRC [His Majesty’s Revenue and Customs in the UK] are going to allow players to run off and join a competition to earn millions of dollars for a few years, base themselves in a tax haven – then waltz back into Australia or the UK without paying tax. That is fantasy land.”