Senate hearing - Wednesday

[lou]

Pages 324 and 336 make interesting reading. On page 336 there was a balance of a unsecured interest free loan in December 2014 of $8,750,000 and provided services to the ARU of $5.9 million. I say that's where the $13 million that was written off came from.

As for the other dates maybe they are digging in to them.

but the ARU reports do not show receiving those services. Doesn't pass the sniff test to me, but I'm not an accountant.

[Bakkies]

Me neither haven't got to the RA statements yet as I am on the Rebels figures at the moment. Will get to the RA ones will be interesting to see the figures on there in regards to the Force.

[UAUdiver1959]

Love how grass roots shows Vic, NT, SA getting more in grants money than us.

[Bakkies]

The money that the Rebels spent on Rugby Operations is truly frightening.

I will try and dig up Chris Dutton's article on WA and ACT being the most underfunded unions.

[Alison]

wish they had the 2015 June statements oh and 2016 and 2017!!

Surely they are in breach of the time limits for submitting 2015, if not 2016 as well???!!!

[Alison]

but the ARU reports do not show receiving those services. Doesn't pass the sniff test to me, but I'm not an accountant.

Exactly Lou! And the 2013 accounts show a further $4million in “services” that don’t appear in the income statements for the MRRU for the same period. Definitely one for the ATO there as the MRRU is a taxable entity (whereas the ARU is not).

Bakkies - the $13mill is made up of that $8.75m (the outstanding loans up to 31 Dec 2014) & a figure of about $4.7m (from memory) which was the amount the ARU needed to pay to ensure Cox got the MRRU debt free.

The “services” figures for 2013 and 2014 are nothing to do with the $13mill and are a complete mystery. I mean, what services could the MRRU possibly have provided to the ARU over the course of 2013 and 2014 that amounted to almost $10million??? And why were those “services” not shown as revenue to the MRRU in the same accounts??

Very very fishy indeed if you ask me. I put all of this in my submission to the Senate so hopefully they have asked questions of ASIC about it. And where ASIC goes, the ATO is very close behind.....

[SPaRTAN]

You obviously missed so do us all a favour and keep trying till you land one. Not sure what you mean about the tears bullshit comment.

There's young kid's, schoolboy's, schoolgirls, colts, men and women's club rugby about to crank up in a few months time so you can carry on all you want but the real deal rugby people are gearing up for it and don't have time to sit round tapping away on a keyboard all day feeling sorry for themselves and moaning about shit that was beyond our control when there's work to be done.


How bout you contact your closest local club and offer your services to do whatever is required and expend some of your pent up frustrations on some worthwhile cause's instead of letting shit that was uncontrollable eat you away.

I guarantee you don't and come up with some excuse.

My 2 kids are actively involved in a club and I played a good chunk for one of the club's listed on that very sidebar.

Growup you sook.

Some of us are deeply hurt losing our representative team, dont like it then dont read it.

Next!

[FingerTips]

The money that the Rebels spent on Rugby Operations is truly frightening.

Is this "save the Rebels at all costs" simply because the ARU does not want to take a thumping great impairment on its balance sheet by writing off the money spent on the Rebels?

If it was a matter of what has already been spent on the Rebels, then that's sunk cost, so it's gone, no matter what. Surely the ARU is not hoping that by building up the Melbourne team, the cash outflow can be reversed into a significant cash inflow and the Rebels can repay the money which the ARU has pumped into it?

The “services” figures for 2013 and 2014 are nothing to do with the $13mill and are a complete mystery.

I forget the number of times I've gone through accounts and found entries for large sums of money booked as "Management Fees" or "Consultants Fees" or "Professional Services", with no qualifications as to exactly what the expenditure was for (and with depressing frequency are found to be related party transactions, after digging around a bit).

[Bakkies]

Exactly Lou! And the 2013 accounts show a further $4million in “services” that don’t appear in the income statements for the MRRU for the same period. Definitely one for the ATO there as the MRRU is a taxable entity (whereas the ARU is not).

Bakkies - the $13mill is made up of that $8.75m (the outstanding loans up to 31 Dec 2014) & a figure of about $4.7m (from memory) which was the amount the ARU needed to pay to ensure Cox got the MRRU debt free.

The “services” figures for 2013 and 2014 are nothing to do with the $13mill and are a complete mystery. I mean, what services could the MRRU possibly have provided to the ARU over the course of 2013 and 2014 that amounted to almost $10million??? And why were those “services” not shown as revenue to the MRRU in the same accounts??

Very very fishy indeed if you ask me. I put all of this in my submission to the Senate so hopefully they have asked questions of ASIC about it. And where ASIC goes, the ATO is very close behind.....

Surely with the other reports they would have to be lodged by Imperium and then of course we get in to the Unit Trusts.

The big positive is that ASIC are away of the Inquiry and actual report

[Bakkies]

Is this "save the Rebels at all costs" simply because the ARU does not want to take a thumping great impairment on its balance sheet by writing off the money spent on the Rebels?

If it was a matter of what has already been spent on the Rebels, then that's sunk cost, so it's gone, no matter what. Surely the ARU is not hoping that by building up the Melbourne team, the cash outflow can be reversed into a significant cash inflow and the Rebels can repay the money which the ARU has pumped into it?

There was a massive jump in Rugby operations costs from 2010 to 2011. I will have to look at the reports again to see what falls under that.

I seriously doubt that the Force would have had 10 million in Rugby operations costs in year one

[UAUdiver1959]

That whole payments from a related party crap popped up again. Terms no more favourable than other related parties. Then something about related parties buying membership and corporate hospitality packages? What, the ARU need their own boxes? Did not buy any at NIB.
Great point about the MRRU selling back 'services' to the ARU for almost $6m?? WTF is all that about. Sounds like some dodgy tax write offs to me. Slippery, very slippery. KPMG need to have the riot act read to them.....signing off on this shite

[Bakkies]

That whole payments from a related party crap popped up again. Terms no more favourable than other related parties. Then something about related parties buying membership and corporate hospitality packages? What, the ARU need their own boxes? Did not buy any at NIB.
Great point about the MRRU selling back 'services' to the ARU for almost $6m?? WTF is all that about. Sounds like some dodgy tax write offs to me. Slippery, very slippery. KPMG need to have the riot act read to them.....signing off on this shite

Agreed 100%. KPMG wouldn't have got the full story. Just what they need to know.

Can anyone remember those degrees you used to be able to get off Hotmail? I want to take up Consultancy.

[UAUdiver1959]

Agreed 100%. KPMG wouldn't have got the full story. Just what they need to know.

Can anyone remember those degrees you used to be able to get off Hotmail? I want to take up Consultancy.

Same place you can buy Police medals on line apparently.....

[FingerTips]

signing off on this shite

"We have relied upon the confirmation by the management in the absence of independent external ..."
"We have relied upon management’s representations that it is confident of realization of amounts due ..."
"We have relied upon the Board's governance procedures ..."
"We have relied upon the representations given by the Management in respect of transactions, the validity, completeness and the values thereof ..."
etc ...
etc ...
etc ...

[JSJ]

Surely with the other reports they would have to be lodged by Imperium and then of course we get in to the Unit Trusts.

The big positive is that ASIC are away of the Inquiry and actual report

I dont read that as ASIC are already investigating ARU and MMRU. It looks like ASIC just providing the financial reports that the senators requested, but providing them about a month too late for the senate report!.

Hi Michael,
Did someone get back to you with the below info? If not my apologies, as I see the report has been released.
If there is anything else we can do, please let me know.
Robert
(who is manager of government relations for ASIC)