Equestrian Australia enters voluntary administration as funding withdrawn

Olympic supremo John Coates has branded the collapse of Equestrian Australia an ‘unprecedented disaster’.

Equestrian Australia has been placed into voluntary administration. Picture: Sarah Reed

The national body that oversees equestrian sport has entered voluntary administration with its high performance program transferred to the Australian Institute of Sport after the embattled organisation had its funding withdrawn over governance issues.

In a shock announcement on Tuesday Equestrian Australia revealed KordaMentha had been appointed voluntary administrators in an effort to improve the “structure, culture and performance” of a sport that has cycled through three chairs and had its entire board reconstituted over the past 16 months.

Olympic supremo John Coates branded the collapse an “unprecedented disaster”.

Meanwhile Sport Australia said it did not “take these measures lightly but our priority is the long-term betterment of the sport and the welfare and safety of all EA athletes, participants, staff and volunteers”.

“In recent times, the leadership and governance at EA has fallen well short of acceptable standards with the resignation of eight directors, including three chairs, in the past 16 months,” Sport Australia said.

Sport Australia will revisit its position once Equestrian Australia had demonstrated it has implemented a new governance model that achieves its core requirements of being “structurally democratic, representative and stable.”

It follows Sports Australia’s withdrawal of public funds last week after it said it could no longer contribute money to the organisation in “good faith”.

Last month The Australian revealed that former chair and Olympian Ricky MacMillan had tendered her resignation after just six months in the role, declaring that change at the organisation had been “unobtainable”.

Coates ‘saddened’

Mr Coates said the shock collapse was unprecedented.

“I am surprised and sad that one of our longest most successful national federations has found themselves in this state,” Mr Coates said. “I frankly don't know of any other federation in my long involvement in the AOC that’s had to take this step.”

Following Tuesday’s announcement Equestrian’s high performance program is now under the oversight of the Australian Institute of Sport, but Mr Coates flagged that the Australian Olympic Committee can only accept recommendations for teams from a national committee and not the AIS.

He said Australia would be in breach of international rules if anyone other than a national sporting body selected the Equestrian team for Tokyo.

“Fortunately with the postponement of the games until next year — there is time for Equestrian Australia to relieve itself of this administration and put themself in a position to be able to nominate athletes and riders next year.”

Olympian ‘horrified’

Olympian Wayne Roycroft, who was once chair of Equestrian Australia and led the national team to three consecutive Olympic eventing gold medals from 1992 to 2000, said he was horrified to learn the sport’s governance was now “out of riders’ hands” and under administration.

“We had a very functional good board,” Roycroft told The Australian. “I think it’s difficult to say, but it appears that it went wrong when it got so called academics — those away from the coal face — running the sport.”

The Australian understands there are concerns that splitting High Performance from the national body could be detrimental to the development of grassroots clubs.

MacMillan told The Australian on Tuesday that the pathway to the Olympics starts with the individual members, volunteers, and grassroots clubs.

“Without them there no equestrian sport,” she said. “Equestrian Australia must in the future be member-centric and become a truly grassroots sport.”

In a statement to its members Equestrian Australia said it was clear the current model did not work and that it had entered voluntary administration to avoid insolvency, “which would be disastrous” and to create the conditions for a “successful and sustainable equestrian community into the future”.

Ricky MacMillan.

Sport Minister Richard Colbeck said good governance had been lacking at the organisation and had led to unnecessary internal division.

“It has been a distraction for our promising equestrian athletes,” Senator Colbeck said. “The decision to withhold core organisational funding will ensure the organisation can realign its focus after a difficult period of governance.”

Crossbencher and Centre Alliance Senator Rex Patrick, who has previously called for an inquiry into the sport, welcomed the announcement.

“Given the turmoil the organisation has been in over the last 18 months, voluntary administration is a step in the right direction to getting Equestrian Australia back on track,” Senator Patrick said. “If meaningful reform is to occur it is imperative that both cultural and governance changes occur.”

Equestrian Australia said that in a sport with such diverse interests, it was rare for all the branches, committees, and members to share a cohesive view.

“Disagreement, however, should not be destructive,” they said.

“We should strive to improve the structure, the culture, and the performance – all in the interests of greater opportunity, participation and enjoyment.”