Salford hit with fresh salary cap sanction over non-payment of wages
The club’s new owners have been summoned to a meeting with the RFL over their failure to pay staff and players their February salaries
Salford Red Devils have been hit with another salary cap sanction by the Rugby Football League as the financial crisis at the club deepens.
The RFL has re-imposed a £1.2million squad limit after the club failed to pay its players and staff their February wages by a set deadline.
The club’s new owners, a group led by Swiss investment banker Dario Berta, have also been summoned to a meeting to explain the failure to pay.
The RFL had previously imposed the £1.2m limit on the club’s squad, with delays in finalising the takeover deal forcing Salford to field a squad of youth team players for their opening match of the season.
They lost by a competition record score of 82-0 at St Helens last month, but the RFL had lifted the measures when it ratified the takeover and believed sufficient funding to secure the club was arriving.
But with staff and players not receiving their February salaries the RFL has acted swiftly to re-impose the cap, which means that the Red Devils will again only be able to call on players worth a total of £1.2m in their £2m squad.
And with Salford’s players still yet to return to full training ahead of Friday’s game with Castleford in protest at the non-payment of wages, there is real doubt over whether the game will go ahead.
In a statement, the club issued a “sincere apology” to supporters, adding: “Salford Red Devils can confirm that the club will be under the restriction of a sustainability cap for this weekend’s Betfred Super League fixture against Castleford Tigers on Friday 7th March.
“This is due to the delay of funding following the takeover with funds currently pending regulatory clearance. CEO Chris Irwin and the new ownership will meet with the Special Measures Committee and RL Commercial tomorrow morning.”
Salford’s players and staff were due to have been paid on Thursday, and the club blamed the delay on standard money-laundering protocols relating to the transfer of money from abroad.
The club have been heavily criticised for their handling of the crisis, specifically head coach Paul Rowley’s decision not to include a number of senior players whom he still had at his disposal for the game at Saints.
Having belatedly had the takeover ratified, Salford played full-strength teams in their subsequent two games, which they lost 32-6 and 42-0 to Leeds and Hull KR respectively.
With further sanctions not being ruled out, the RFL said it would demand further assurances from the club at Wednesday’s meeting.
The RFL said in a statement that the club will be asked to explain “the current position regarding non-payment of staff, and how this will be rectified as well as a wider update on the club’s financial sustainability”.