Fate of Glenorchy RSL buildings hangs in the balance
UPDATED: RSL Tasmania has revealed more about why the Glenorchy RSL Club suddenly closed with administrators now to decide the fate of club’s buildings and assets.
Business
Don't miss out on the headlines from Business. Followed categories will be added to My News.
The buildings housing Glenorchy RSL Club are likely to be sold to cover repayments to creditors.
RSL Tasmania president Robert Dick was briefed on the future of the club by administrators Rogers Reidy on Monday morning after the club’s sudden closure by administrators on Sunday.
He said the decision to close the club was sad but the business was running at a loss.
“They’ve been running the business for the last couple of weeks and in their opinion it was not viable to keep it running. It was costing more to run that it was taking in,” he said.
He said it looked like the club and its assets would have to be sold to repay creditors.
“If the building has to be sold to cover those costs, then that will happen,” he said.
“The way things are looking at the moment that’s looking like that’s what will happen.”
“We will make sure that the staff get entitlements, and we will make sure the other creditors get their entitlements as well — it’s just a matter of how many cents in the dollar.
“We have to make sure that everything is being done legally and correctly.”
Mr Dick said the RSL would continue to provide services for veteran and the community and Anzac Day and other commemorations would not be affected.
MORE NEWS:
TITMUS FAMILY REACTS TO EXTRAORDINARY WIN
Staff at the club who were sacked without notice on Sunday had reported that their superannuation entitlements had not been paid for months before the club went into administration.
United Voice state branch secretary Jannette Armstrong said members working at the club had noticed their superannuation entitlements had not been paid.
“We’ve had some concerns for a little while ago and they said that they had not been paid superannuation for 12 months,” she said.
“They were told a few weeks ago that administrators were coming in. They were told everything was going to be fine … and then yesterday it was just the sign on the door.”
Ms Armstrong said workers had been given no information about when they might be paid.
“None whatsoever at this point in time. We spoke to some of the staff yesterday and they had only been told that they don’t have jobs anymore and they had to leave,” she said.
“We’ll be trying to go through that and ascertain what they’re owed and go through the process to try to make sure they are paid.
“We’ve got over a dozen workers there who don’t know how they are going to pay their rent or mortgages this week.
“They’re going to need some urgent assistance.”
Calls to administrators Rogers Reidy were not returned.
Acting Premier Jeremy Rockliff said he was saddened by the club’s sudden closure.
“I think Tasmanians would be disappointed when they see any RSL club close and we’d hope that the RSL sub-branch remains in some form and some service to our community,” he said.
He rejected assertions the Liberals had used the club for political advantage during last year’s pokies debate.
“Returned servicemen leagues are above politics and we don’t draw our veterans into political discussion,” he said.
“We support our RSL clubs so we support our veterans and will continue to do so.”
But Greens leader Cassy O’Connor said the club’s closure laid bare the “lies and corruption” at the heart of the state election campaign.
“The closure of the Glenorchy RSL is confirmation that the only people reaping rewards from poker machines are the Liberals’ donors, the pokies barons,” she said.
A show by country singer Jean Stafford at the RSL club this Thursday has been rescheduled to be held at the Glenorchy District Football Club at 4pm on Sunday.