Hartigan, News trying to block Storm legal action against NRL

[Diehard_Storm]

http://www.dailytelegraph.com.au/sport/ ... 5865873680

INDEPENDENT Melbourne Storm directors are preparing to mount a legal challenge for the disgraced club to reclaim its premiership titles but owners News Limited intend to strongly oppose the action.

Stripped of the 2007 and 2009 premierships, all competition points this season and fined $500,000, Melbourne legal firm Arnold Bloch Liebler has confirmed independent Storm directors want to challenge the manner in which the NRL decided on the penalties.

Melbourne chairman Dr Rob Moodie yesterday advised the club owners News Limited that the independent Storm directors want the NRL to review the penalties handed out for rorting the salary cap.

News Limited chairman Mr John Hartigan released a statement at 10.15am today strongly opposing any such challenge.

“We acknowledge their views and we disagree with them,” Mr Hartigan said.

“News recognises that the penalties are unprecedented. We know how devastating this has been for the fans, players, staff and sponsors of the Storm.

“But, we don’t believe a legal challenge to the NRL’s procedures is the answer. On the contrary, it could further damage the Storm,” Hartigan said.

“A legal challenge like the one being contemplated will be time consuming, expensive and a distraction from the real issues when everyone associated with the club should be focussed on rebuilding the Storm.

“It is important to remember that certain people at the Storm orchestrated complex fraud and deception to conceal huge extra payments to some of the club’s players that put the Storm well over the salary cap for five years.

“However justified or well intentioned a legal challenge might be in the minds of the independent directors or others, it won’t change what’s already happened and it won’t absolve those that have done the wrong thing.

“Right now, we have two top priorities. We want to get to the bottom of what went on and who was responsible. Equally, and more importantly for the long term, we have started work on rebuilding the Storm so that it has a clean slate, new management and a credible plan to restore its reputation.

“To that end, the board of the Storm should be concentrating on how the club can field a team next season that is within the salary cap. “I call on Rob Moodie and the other independent directors to focus on these priorities,” he said.

Mr Hartigan said the forensic audit of the club’s financial affairs by the accounting firm Deloitte was well underway and a full report was expected in June.

“We are determined to get to the bottom of what went on and hold those responsible to account,” he said.

Lawyers who've examined the case say there are significant doubts over the speed, lack of process and severity of the sanctions imposed on the Storm for their salary cap manipulation.

The revelations heap further pressure on NRL CEO David Gallop, who has come in for almost as much criticism as the Storm since the scandal first broke.

The legal eagles say that an independent judicial panel should have been entrusted with considering the case against the Storm, Melbourne given time to prepare a defence against the charges and - only then - should a punishment have been issued.

The spotlight is also on a meeting between Gallop and a News Ltd representative outlining the case against Melbourne and canvassing likely penalties.

Can you believe scumbag Hartigan?  The more I hear from this guy, the more I hate him.  This whole conflict of interest, and his close personal friendship with Gallop is disgraceful. 

He should be removed from any dealings with the Storm and should allow the 'independent' directors to take whatever action they feel is warranted.

Clearly - there is more behind this whole scandal - and the fact that Gallop, Hartigan and Maccourt are all involved is highly suspicious.

I say this to the independent directors of the Melbourne Storm:  Do what is right for the Storm, its players and its fans.  Its not your job to act in the interests of the NRL or News Limited.  Ignore Hartigan's bullying tactics.  He is concerned only with protecting himself, News Ltd and the damage to the rest of the NRL.

However, if there is unlawful or unethical practices going on between News and the NRL it must be uncovered.  If the Storm have been dealt an unfair punishment which is found to be unlawful - then it must be reversed.

I'm sick to death with the mess News Limited has got itself into.  It's stuffed up Rugby League once, and now its doing it all over again.

[noa nandruku]

They'll do more damge opposing it then letting it run its course

[Diehard_Storm]

And how exactly?  The fans and players want his investigated properly and transparently.

Agreeing a punishment behind closed doors between two mates (Gallop and Hartigan) without consulting the board is scandalous.

If you are thinking we should just drop our heads and accept our punishment without fighting tooth and nail for a fair process then I think you are well an truly in the minority amongst Storm fans.

Yes - some blokes cheated.  That's not in debate.  The issue is that these things should be a lawful and ethical process.  Do you really think this took place?

[noa nandruku]

And how exactly?  The fans and players want his investigated properly and transparently.

Agreeing a punishment behind closed doors between two mates (Gallop and Hartigan) without consulting the board is scandalous.

If you are thinking we should just drop our heads and accept our punishment without fighting tooth and nail for a fair process then I think you are well an truly in the minority amongst Storm fans.

Yes - some blokes cheated.  That's not in debate.  The issue is that these things should be a lawful and ethical process.  Do you really think this took place?

I think you misread my meaning.

News ltd will be on the nose with supporters if they oppose the law-suit. The best thing they can do is let the challenge play out and watch from the side-lines.

[Freshy]

What sucks is that if we do go ahead with, the proceedings will take ages and by the time a decision is made on the matter, the 2010 season would be close to if not over. Therefore we could not play for points this year. I want an imminent decision 

Off topic though, its interesting that ABC are airing a program about the salary cap and there's a few things to be revealed about other clubs so I believe, they haven't announced a date as to when it will be aired as they are currently trying to pass some legal matters.

[Diehard_Storm]

I think you misread my meaning.

News ltd will be on the nose with supporters if they oppose the law-suit. The best thing they can do is let the challenge play out and watch from the side-lines.

Agreed.

Freshy - I dont think we will get our points back this year regardless.  Any chance of having an imminent decision (certainly in our favour) might be wishful thinking.

This will take time to play out unfortunately.  Certainly if it goes to court it may be months if not years.  However, this is about what is right, not just what is quick and convenient.  The main game should be getting our premierships back into the history books where they rightfully belong, and secondly, allowing the Storm to claim financial compensation (ie sue for damages) against the NRL. 

[billythekidslater]

Not sure why you guys keep going on about the points situation this year - forget about it.

What should be happening is getting our #ucking Premierships back!!!!!!!!!!!!!!!!

[noa nandruku]

I agree with Markieboy, forget the points, we're over this year so we dont deserve them. Our name in the record books is what we want.

[Diehard_Storm]

Fox Sports News Lunch Hour at 1pm currently has Greg Baxter (News Ltd Spokesmen) on the phone.  So nice of them to point out that News is also the half owner of Fox Sports at the start of the segment....

Basically, it was a disgraceful segment.  Baxter is bascially threatening the independent directors, and the Storm fans, that if they proceed with this action, that News may re-consider their position in supporting the Storm.

The questions were incredibly biased towards News Ltd.  Example:

News guy:  "Does the action of the independent directors appear to be smokescreen designed to take attention away from the (fraudulent) wrongdoings at the club?

Baxter:  "Well....I certainly hope not...its too early to speculate on this..."

What da hell?  The Fox Sports News guy just insinuated that the independent directors could be now complicit in the fraud and knew what Waldron was doing?  They are just threatening legal action to 'distract' people from the investigation.  This is just lima lima lima duck downright incredible and I couldn't help but burst out laughing.

News chick:  "Greg, what would the future be without the backing of News?

Baxter:  "If you took away News, there wouldn't be a club - it's that simple

"We are as devastated as fans, players, everybody."

Oh boo-lima lima lima duck-hoo Baxter.  I doubt very much you're as devastated as we are, mate.  The fact you are blocking a move to see appropriate, transparent review of the (un)lawful process which was follwed is highly, highly suspicious.  Just what does News Ltd have to hide?

Baxter bascially said the independent directors had formed a 'sub committee' and admitted the board has fractured and the two groups are no longer working together as one united board.  But he made it sound like they were doing this because of some sort of disagreement or breakdown.

He didn't seem too keen to let people know the only reason why the independent directors formed this sub-committee is because THEY HAVE NO OTHER CHOICE.  Since News Ltd will be taking News Ltd to court - they must proceed without News Ltd involvement.  

I wouldn't be surprised if News Ltd now up their threats to withdraw support, using the independent directors as the catalyst to break their financial committment both to the Storm and League fans in Victoria and exit.

It would save them millions of dollars - it must be pretty tempting for them to do this.  

[StormFront]

Unfortunately Storm are in a no win situations....

If they challenge and win the case - we stand to loose money,
credability in the eyes of many and most likely News backing.

If they dont challenge - we loose faith from supporters and players,
and the chance to set the records straight.

With out News behind the Storm there will be no Storm - we need  the
financial support to keep us afloat.... it is a ridiculous situation that News
own 50% of Storm and have an interest in the NRL
- a massive conflict for and against

A bit like Channel 9 buying the rights to the NRL TV coverage -
what a joke - more like the rights not to show the game in Melbourne

I dont like it - I hate it .. but thats the truth. With out News there is no Storm

[absentee]

News Ltd just wants the club, the players and the fans to fall in line and accept the punishment - or else.  Okay, I accept that Waldron and Co. did the wrong thing and I accept that there should be punishment - however unfair it might seem to the players or the fans.  But you know what?  If we have grounds to contest the decision - and we can show that the NRL acted inappropriately by handing down a punishment without going through proper procedures - we'd be silly not to take the chance.

Does News Ltd have something to hide?  What gives?

[noa nandruku]

Empty threats by NEWS.

Surely they realise as soon as they leave the the NRL or us a legal challenge will begin. And like I said before, one thing to come out of this is our bottom line looks alot better then anyone knew. So sell please NEWS, some-one will take-over.

[Diehard_Storm]

Fox Sports News now has Josh Massoud (from News Ltd's Daily Telegraph) on.  Good to see we're really seeing fair and balanced reporting.

He did however make a valid point:  If a team breaches the interchange rule, the punishment can take a few weeks to be made, and even then is quite small in size.

It's therefore incredible he says, that the size of this breach, and the incredible penalty imposed was done without consultation in just 2 hours.  You can add to that the main players Gallop and Hartigan are close personal friends.

And Gallop had the hyde to accuse his board of a conflict of interest?  What about his own conflicts?

[stormmaster]

Even if NEWS pulls out from our ownership we will survive.  I reckon that a lot of Victorians(mainly AFL fans) will buy memberships to help the club survive just like they did with north melbourne.  If we are to be the sporting capital surely we need the country's 2nd biggest sport.

[steaming stormer]

In all honesty, the part that scares me is that News may turn around and decide if the club want to operate independantly in this situation, then 'we're out', see how you go then...
Noa, the bottom line may look better than some thought, but don't forget that bottom line is still propped up considerably by News. 
I think the court case is potentially a worthwhile battle, and it will be about premierships, not getting points this year.  Reality states if we are almost 1 mil over for this season, then we don't deserve to play for points unfortunately.  My issue is the rumoured figure of a little over 200k for 07 - this is fine worthy, not enough to strip premierships, or even points going off NRL precedents over the past 10 years to a number of clubs.

Prob is, if we challenge, win, get our names back in the books, but News pull the pin and the club falls over... we lose.
It's a huge decision, with considerable risk