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FORUMS > Wigan Warriors > Re: What will the RFL do if the DR. Breaks the Salary Cap?
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Quote: Aboveusonlypie "I think that people are forgetting that Salford have bought a lot of blokes who actually no-one else really wanted - Hock/Smith/Morley/Puletua/Melli. Their contracts may just be longer but not necessarily that much more money.
'"


Rumor has it that Meli's contract at Salford is eye-watering. If he even gets 1/2 of the figure mentioned Salford are paying well over the odds.

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Quote: salford1970 "Nicky,

Who exactly is saying Salford are a top 6 team?

Certainly not any Salford fans. We know we are looking at 8th if we play to our very best. If you could be so kind to have a word with yourself about where you think we think we will finish then maybe you will see we aren't running round arrogantly tell all to bow before us. We have a long road and this is our first step, thankfully in a positive direction for once.

Having a dig at us (First team average age is 28 believe it or not, will be about 20 when Morley retires at the end of the season) is a little low, why don't you do like most of the people on the cherry and white site and actually see it as it is in a positive manner?'"

To be fair there have been plenty fans on your board getting way ahead of themselves. One asked whether anyone could not see you making at least a final within 5 years and no one disagreed. Another said your side would give any team in the country a run for their money. I could go on. We're all pleased you have a couple of decent players but I do feel a major reality check is on the way for a lot of Salford fans. Nicky might have put it a little harshly but he's basically on the money. You should make the 8, then it's a matter of rebuilding again when the players you just bought retire.

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So the moral of this tale is, cheating (allegedly) is Ok so long as the governing body is gaining from it?

EHW
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Quote: DaveO "It is and in simple terms a player is given a "salary cap value" based on what he's paid and any other benefits such as a house or car.

If you read the rules there are a multitude of things that add to a players salary cap value so it looks a hard system to break but at the end of the day it relies on it being administered properly and effectively.

My own view is any club that "breaks" the cap won't be doing so by so buy stuffing brown paper envelopes full of cash in the players back pocket as that sort of thing would come out eventually. I reckon they would do it by arguing the case that certain things are not covered by the rules so should not add to a players salary cap value.

Creative accounting if you like and so for a club to be sanctioned for this I think there would need to be a willingness on the RFL's part to do so assuming they spotted it in the first place.

I don't think there would be any willingness to pursue Salford for doing this sort of thing.

If you remember when Wigan got done for breaking the cap the only way they did us was for "Breaking the spirit of the cap" by deferring wages despite not actually paying the players too much in the season in question and it was common practice in Oz at the time (that was Wigan's defence). There was a determination to "get" Wigan. I doubt there is any such desire to chase Salford.'"


Much of it will come down to the ability to prove anything.

If 'Marwan Koukash Dubai Ltd' (for example) legally pays Sonny Bill Williams £3 million for "racehorse management fees" - how can the RFL prove it? and if they can do that, how can they prove what the salary cap value is?

Can 'Marwan Koukash Dubai Ltd' be legally compelled by the RFL to open their books and reveal what all their staff are being paid? Can Sonny Bill Williams be legally compelled by the RFL to open all his bank accounts to them?

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Quote: EHW "Much of it will come down to the ability to prove anything.

If 'Marwan Koukash Dubai Ltd' (for example) legally pays Sonny Bill Williams £3 million for "racehorse management fees" - how can the RFL prove it? and if they can do that, how can they prove what the salary cap value is?

Can 'Marwan Koukash Dubai Ltd' be legally compelled by the RFL to open their books and reveal what all their staff are being paid? Can Sonny Bill Williams be legally compelled by the RFL to open all his bank accounts to them?'"


yes they can. If sonny bill williams spends more than 6 months in the country in one year he is liable to pay tax on any earnings.

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Someone should tell that to Amazon and Google!!

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Quote: Grimmy "To be fair there have been plenty fans on your board getting way ahead of themselves. One asked whether anyone could not see you making at least a final within 5 years and no one disagreed. Another said your side would give any team in the country a run for their money. I could go on. We're all pleased you have a couple of decent players but I do feel a major reality check is on the way for a lot of Salford fans. Nicky might have put it a little harshly but he's basically on the money. You should make the 8, then it's a matter of rebuilding again when the players you just bought retire.'"


Grimmy,


You are right of course, we have some madcaps boasting about us taking the world on now but the vast, vast majority are of the same opinion that we are pushing for 8th.

The thread you have just posted on shows some of the madness. Someone suggesting we rotate and not even play our first choice halfbacks in the first game against Wakey. Some crazy talk going on but you can spot the sane from the crazy quite easily.

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Shouldn't this thread be titled 'What will the RFL do if any super league chairman breaks the salary cap?'?

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Quote: Mike Ehrmantraut "Shouldn't this thread be titled 'What will the RFL do if any super league chairman breaks the salary cap?'?'"


No. Next.....

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Quote: dubairl "yes they can. If sonny bill williams spends more than 6 months in the country in one year he is liable to pay tax on any earnings.'"

But why would that necessitate him opening his bank accounts the RFL?

Regardless, Sonny Bill Williams could open a company called SBW ltd based in BVI and is paid £3m a year by Marwan Koucash (dubai) Ltd for Sports consultancy fees. SBW doesnt draw down on that money until he leaves the UK. The tax man likely would never be aware, the RFL certainly wouldnt.

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Quote: dubairl "yes they can. If sonny bill williams spends more than 6 months in the country in one year he is liable to pay tax on any earnings.'"



He would pay tax on his UK earnings i.e. his Salford Red Devils salary, which would be his salary cap value, say £200k. The other £3m would be a foreign company paying a foreign national for consultancy services, which HMRC would have no legal interest in.

No-one would be breaking the law in any way in the situation that I described, and the RFL would have no ability to keep track of it.

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As long as the salary cap still applies to the normal running of the club, does it matter what offshore things happen as long as we get the best players in the world, who cares, as long as the club is not liable for any offshore activities.

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I'd let him off, but only if he bought London Broncos too...

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Good luck to Salford and the doc, I just wish the RFL could find another half a dozen like him.
Hopefully in a season or two, Salford v Wigan will be pulling in a 10,000+ crowd.

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Quote: apollosghost "Good luck to Salford and the doc, I just wish the RFL could find another half a dozen like him.
Hopefully in a season or two, Salford v Wigan will be pulling in a 10,000+ crowd.'"

That's the issue really isn't it. The only way reds will be able to bankroll all this is to get a decent crowd at Barton. What's the current state of their season ticket sales, does anyone have an idea? If they can't generate interest with all the hoopla that's been going on in the off-season, then what hope for walk-up or away sales?

63 posts in 5 pages 
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