ATO Pushes to Wind up Newcastle Knights

[Steve]

The Australian Tax Office has moved to wind up Newcastle's NRL and A-League teams, the Knights and Jets, because of debts of $2.7 million.

Nathan Tinkler's Hunter Sports Group is also being targeted in the ATO action.

The ATO's deputy commissioner filed documents with the Federal Court in Sydney yesterday.

They show the Knights have debts of $1.7 million, the Jets owe just over $1 million and HSG has debts of $184,000.

The two clubs and their parent company were given notice of the debts in September, but failed to pay by the 21-day deadline.

A hearing has been set down for February 20 next year.

From ABC News

[Steve]

I imagine this won't happen. There'll be a rescue package, either from the NRL or a third party.

[TITAN PETE]

I imagine this won't happen. There'll be a rescue package, either from the NRL or a third party.

NRL won't let it happen but its not good for the Knights & they may lose their coach as i'm sure his contract is with Hinkler ..

[DIEHARD]

He is being attacked on all sides. The Knights will go on. I worry for the Jets. Soccer Australia will have to take over.

[TITAN PETE]

Knights future safe says NRL

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James MacSmith AAP Thu, Dec 13, 2012 - 12:47 PM


The NRL says the future of the Newcastle Knights is not in jeopardy despite the Australian Tax Office applying for a liquidator to be appointed to the club.

The ATO on Thursday applied for both of owner Nathan Tinkler's teams, the Knights and the A-League's Newcastle Jets, and their parent company Hunter Sports Group, to be wound up due to unpaid debts.

According to documents filed in the Federal Court in Sydney, the Knights owe more than $1.4 million to the tax office, the Jets owe just over $1 million, while Hunter Sports Group is $184,000 in the red.

However NRL interim chief executive Shane Mattiske said he was confident the future of the Knights was not under threat.

"In relation to the ownership by Hunter Sports Group, guarantees have been put in place by the Commission to safeguard the Knights position," Mattiske told AAP.

"Those safeguards were a condition of ownership and are there to ensure the club's future."

A $20 million bank guarantee was a condition of Tinkler's privatisation of the club.

Hunter Sports Group said they had not been advised of the ATO's move to appoint a liquidator and that monies owed to the tax office would be paid.

"We are surprised by the move by the ATO, as we have not received notification of this move," Hunter Sports Group said in a statement.

"We advise that any outstanding sum will be paid as soon as possible - well before the reported hearing date on the matter next February."

Gold Coast Titans suffered a series of financial problems before being granted a new NRL licence by the ARL Commission in November after meeting a series of restrictions imposed upon it by the game's governing body.

But Mattiske said the future of the Knights remained on sure ground.

[GC_Titans_Fan]

Knights members can buy back the club for $1. There in more money in the game now than before so the Knights will be able to survive easily. Jets could be in big trouble and so could the A-League.

[GOLDHAMMER]

Funny,i bet a few knights supporters were calling for us to be booted this time last year,now they are on the receiving end..