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A detailed Probity Report commissioned by the Cronulla Sharks new board of directors has been completed by BDO Kendalls. This report is yet another step taken by the board since 28th May 2009 in their commitment to their new principles of transparency and modern board governance as they continue to rebuild the club's structures and reputation.
The purpose of the Probity Report was to conduct a review of various aspects of the Club's management and accounting practices after issues came to light and were reported on in depth by various media outlets during May and June of this year.
The report found several areas of weakness such as a lack of up to date board approved policies and procedures including but not limited to a code of conduct and policies covering procurement and conflicts of interest, incidents where the board and management did not always adhere to existing policies and procedures including those related to capital expenditure, the entering of contractual agreements and other financial transactions, and incidents where the conduct and decision making of senior management on behalf of the club was not sufficiently questioned.
The report found no evidence that the funds related to the Beyond Sharks Foundation had been used for the benefit of the club and found no evidence of a formal connection or relationship between the Beyond Sharks Foundation and the Club. The report also found no evidence of any transactions financial or otherwise that breached NRL Salary Cap Rules.
The report recommended that the Club's Policies and Procedures Manuals be updated to reflect best practice governance, and that clear policies regarding conflict of interest, risk management, unethical and dishonest behaviour, procurement and remuneration be established in order to bring the Club into line with acceptable modern best practice standards.
These are all issues that the new board recognise and have been implementing since the most recent AGM on May 28th 2009.
Chairman Damian Irvine welcomed the report today. "This is another strong step towards our Club re-establishing itself as a leader in our industry.
" We accept that things could have been done better in the past, but as a Club we are totally committed to establishing the structures and policies that will best equip us to avoid any repeat of the events of 2008/09. Without the right protocol and planning, unsavoury incidents not only are more likely to occur but also have the ability to manifest into greater problems, and I think that has happened at the Club in recent years.
"Those issues are firmly in the past and our Club now closes that chapter of our 43 year history. I am very confident in moving forward with a new CEO and a board brimming with an exceptional financial, governance, football and black white and blue balance," Irvine said.
The club has now closed this chapter and with its new Board of Directors is committed to the current challenges and opportunities it faces for the 2010 season and will not be making further public statements. |