Parramatta Eels: Liquor and Gaming NSW investigating NRL club over third-party payments to players

THE net is closing on the directors and officers of the Parramatta Eels, with Liquor and Gaming NSW now part of the investigation. Despite this Eels chairman Steve Sharp claims now is not the time to step aside.

THE net is closing on the beleaguered directors and officers of the Parramatta Eels, with Liquor and Gaming NSW now part of the investigation.

The move by the clubs regulator came as Eels chairman Steve Sharp made a desperate pitch to cling to his role.

“I shouldn’t resign at the moment,” Mr Sharp said last night in an interview with Fox Sports News.

Parramatta chairman Steve Sharp.

“I’m the person, and the board I’m working with, that’s driving change in our organisation.”

A Liquor and Gaming NSW spokesman last night confirmed it was “monitoring the situation around Parramatta Leagues Club as it unfolds”.

Liquor and Gaming NSW has extensive powers over clubs and their governing bodies, with the ability to launch prosecutions and to suspend and remove directors and officers.

The fresh official interest comes amid new revelations by The Daily Telegraph this week that dodgy invoices were issued to cover up third-party payments to Eels players.

This was on top of extensive allegations over the past week over suspect transactions involving sponsors and third parties at the club.

, which last year subsidised the Eels by $8 million.

The boards of the two clubs are identical, with beleaguered Eels chairman Steve Sharp also the chairman of the Leagues Club. Tom Issa is his deputy at both clubs.

Daniel Harrison was allegedly paid between $15,000 and $20,000 as part of a third-party deal that saw him leave the Eels to join Manly.

The Telegraph yesterday revealed claims from insiders that the Eels made one payment of $15,000-$20,000 to the Zibara Clothing Company, despite the fact no goods or services were provided in exchange for the money.

Instead, the payments were used by the Eels to organise for Zibara to make third-party payments to former Parramatta player Daniel Harrison, now with the London Broncos.

Zibara supplies staff uniforms to Parramatta Leagues Club, sports apparel to the Eels junior rugby league, and suits to various Parramatta personnel. Zibara has had no comment on the transaction. There is no suggestion that either Zibara or Harrison have done anything wrong.

Mr Sharp, Mr Issa and CEO John Boulous are conducting an “internal investigation” at the Parramatta club, despite the fact that they each participated in many of the decisions under investigation.

The NRL — which itself is conducting an extensive investigation — is understood to be highly concerned about the Eels’ corporate governance.

While it has no direct jurisdiction over the Parramatta NRL team, Liquor and Gaming NSW has direct powers over Parramatta Leagues Club.