Ken Borland

The players, through their union, the South African Cricketers Association, have now had their say in the governance crisis in South African cricket and have questioned whether the Members Council is acting in the best interests of the game.

Cricket South Africa stands on the brink of no longer being recognised by the Minister of Sport and therefore unable to represent the country internationally, after the events of the Special General Meeting last weekend in which the Members Council refused to ratify the proposed amendments to the constitution that would have ushered in a more independent board of directors.

SACA accused the Members Council of acting in bad faith.

“We respect the fact that the Minister has shown great patience in dealing with the governance crisis, and the events as they unfolded at the Special General Meeting of 17 April 2021, were in bad faith and disrespectful not only to his office, but to all cricketers and the public. Government intervention in the sport will have dire consequences, the full extent of which we do not yet know.

“The right to represent South Africa may be withdrawn and the ICC may suspend Cricket South Africa. These outcomes will in turn impact touring, broadcast rights and sponsorship deals. Ultimately the financial viability of the game will suffer and cricket at all levels will be severely prejudiced. The Members’ Council has now acted contrary to the wishes of the Minister, the Nicholson Recommendations, King IV Governance principles, and international best practice – how can this be in the best interests of our game?,” SACA said in a statement released on Monday night and signed by national captains Temba Bavuma, Dane van Niekerk and Dean Elgar.

SACA pointed out that these events will be particularly injurious to the women’s game in South Africa. The last 14 months have been smooth sailing for the Proteas Women, as they have reached career-high rankings in the sport. But all their had work will be undone if CSA aquaplane out of control and drive cricket off a bridge.

“The Momentum Proteas Women’s team has enjoyed unparalleled success over the past 14 months, and the women’s game in South Africa is on the verge of significant expansion. The development of the game is now under serious threat, and at a time when we should be enthusiastic about the future, we have to be concerned about its future.
“The Proteas Men’s team has an ICC World T20 Event in November. Preparation has already started for this event, and the current state of cricket administration undermines our work in this regard. It may even lead to our suspension from this event should the ICC decide to suspend South Africa. To the sponsors, we apologise for the actions of our administrators who have undermined and betrayed your commitment to the sport,” the statement says.

Sanzaar CEO Andy Marinos said on Saturday that cross-border rugby between South Africa, New Zealand, Australia and Argentina needed to continue, but whether he was just talking about the Rugby Championship or also SuperRugby surviving in something similar to its current format seems to still be classified information.

New Zealand Rugby seem to have already taken the decision to pull out of SuperRugby, while South Africa seem to be looking more and more into throwing in their lot with European competition. Australia are desperately trying to stay joined with their Kiwi neighbours, while Argentina are probably just hanging on to whatever scraps they can get.

But Marinos disagreed with the current narrative that Sanzaar’s partners are all trying to jump ship when he spoke in an SA Rugby Legends webinar on Saturday.

“We are busy working through our 2021 plans, but the whole return-to-play is not easy to navigate, you have Product A and then 24 hours later you have to change to Product B. The challenge is cross-border rugby because of all the government and medical controls and access to flights. We have to be realistic: The individual unions are responsible for keeping rugby alive and sustainable in each of their markets and then they can look at the feasibility of cross-border competition.

“But we are working through this as a joint venture. A round-robin structure next year is not looking that optimistic because flying won’t be that easy yet. But there is a strong acknowledgement that cross-border rugby needs to be in place in the future. Playing against players from other countries only makes our nations stronger internationally, that’s what has allowed the Sanzaar nations to be the dominant force in world rugby,” Marinos said.

The former Stormers and Wales centre denied that there was anything wrong with SuperRugby as a product and said the attacking nature of the competition has played a major role in the success of the four Sanzaar nations at the World Cup.

“The impact on the bottom line has been significant but it’s not because of poor delivery or a lack of quality or interest in the product. I would unashamedly say we have some of the best players in the world and we’ve seen that at the World Cup. The strength we’ve got is that the toughness of the competition and the global expansion of SuperRugby means our players are used to adapting to different conditions and being on the road for long periods.

“The Northern Hemisphere players don’t have that benefit, they have one-hour flights and they’re away for a weekend. The conditions we play under, plus the fact we put more air on the ball – there’s a very attacking mindset and the teams are as positive as possible – has played a significant role in the World Cup results. And with New Zealand and Australia playing again, we have seen an upturn in people coming back to the game, and SuperRugby can start regenerating itself,” Marinos said.

SA Rugby CEO Jurie Roux said recently that every union whether provincial or international is going to join up with private equity partners either sooner or later. Rugby has been one of the slowest sports to embrace professionalism though and I can hear many fans wailing that private equity is going to ruin the game.

“Private equity in rugby will have a massive influence, it will probably control rugby. And yes, SA Rugby is in discussions with private firms, but I don’t think there’s a union that’s not talking to someone. We all live in a post-Covid world that is now a much smaller pond and there is the opportunity now for investors to buy things at much cheaper prices. Private equity is here to stay, you’ll either join early or late, but join you will,” Roux said in an online press conference earlier this month.

There is perhaps going to be understandable anxiety that rugby is going to end up in the same sort of mess as the Premier Soccer League has with the controversial sale of the famous BidVest Wits club to a little-known National First Division club, Tshakhuma Tsha Madzivhandila, based in Limpopo. Thanks to BidVest cynically pulling the plug based purely on financial considerations, 99 years of history is down the drain, a club that has won nine top-flight trophies and produced players such as Gary Bailey, Peter Gordon, Richard Gough, Sam Magalefa, Thulani Hlatshwayo and Benson Mhlongo for all intents and purposes no longer exists.

Never mind Western Province leaving Newlands, can you imagine the outrage if it was announced that the Bulls were moving to Polokwane and would henceforth be known as the Buffaloes?

But let me allay your fears by pointing out that rugby has mechanisms in place to prevent such stupid things from happening.

Before going to market, a union will split its assets between a commercial/professional arm, which will largely deal with corporate matters like sponsorships, advertising, marketing and broadcast deals, and an amateur arm which will hold assets like the stadium (whether they own it or have a rental deal) and ‘intellectual property’ like the team name.

Stakeholders can then buy shares in the commercial/professional arm. A private company can buy 25% of those shares and the union gets the cash, while the equity partner takes dividends while also hopefully driving up the commercial value of those properties.

Even though SA Rugby’s constitution now allows for private companies to own up to 74% of a union’s professional arm, as long as the ‘amateur’ administrators have done their paperwork correctly then properties like the team name or where they play should be totally protected even if the union is now a minority shareholder.

The Bulls have been amongst the first unions to really make private equity work for them, with Patrice Motsepe’s African Rainbow Capital Investments and Johann Rupert’s Remgro each owning 37% of the Blue Bulls Company. First prize to them because the influx of cash has allowed the Bulls to hire big-name coaches in John Mitchell and now Jake White, who is totally revamping the team with a host of quality additions to the player roster.

Perhaps the first thing for a union to ensure is that there is synergy between themselves and their private equity partners, so that they can work together to run a successful team.

Unfortunately there have been two unions in the news lately for getting it all wrong – the Eastern Province Rugby Football Union and the Western Province Rugby Football Union. Both those beleaguered unions seem to be suffering from a bunch of rank amateurs trying to run multimillion rand businesses.

After years of wrangling seemed to be coming to an end with the signing of heads of agreement to sell Newlands to Investec, WPRFU president Zelt Marais has unilaterally decided not to sign off on the rest of the deal, despite already taking an advance of more than R50 million from Investec. Interestingly, the WPRFU also owe Remgro R58 million for a loan. These are powerful enemies to have and one fears that the once proud union could be heading the same way as Eastern Province.

The embattled Port Elizabeth franchise just seems to lurch from one crisis to the next and fresh problems are now springing up between the company that holds the majority shareholding in the Southern Kings and the EPRFU.

Roux was not specifically talking about the Southern Kings or Western Province, but his message certainly applies to them when he said political interference tends to surface when administrators try to run their franchises as an amateur entity.

But to borrow from Saturday Citizen deputy editor Brendan Seery’s excellent Column, for every couple of Onions that have to be dished out to unions, there will be more Orchids given out to those who make private equity work.

Simply put, rugby is unable to survive this post-Covid world without them so, like the Wallabies and scrums, every union just has to find a way of making these partnerships work.

Depending on whether you believe the suspended chief executive and his legal advisors, Cricket South Africa now have two CEOs in Thabang Moroe and Jacques Faul and it is a chaotic situation that is almost entirely the fault of the president Chris Nenzani and the CSA Board.

It has been more than six months now since CSA’s Social and Ethics and Audit and Risk committees provided the evidence needed to suspend Moroe on December 6. A time period which, according to Moroe’s lawyer Michael Bill, means his suspension has lapsed. Which is why the suspended CEO pulled his brazen stunt this week of rocking up to CSA’s offices in Melrose Estate to ‘report for duty’ and there just happened to be a radio journalist on the scene to take the photo …

Despite the South African Cricketers’ Association warning CSA at the beginning of the week that their failure to make progress on Moroe’s disciplinary hearing would seriously erode the small gains in confidence that have been painstakingly acquired by acting CEO Faul and director of cricket Graeme Smith, the CSA Board were taken by surprise by Moroe’s act of defiance and, despite having practically the whole day to respond, could only issue a statement after midnight in the early hours of Friday morning.

While acknowledging that it might not be easy to pin down a slippery character like Moroe, six months is surely enough time to formulate charges against him given that the financial audit was already picking up irregularities a couple of months into their brief. Plus the state of cricket in December and the relationships Moroe had destroyed with vital stakeholders such as the players association, sponsors and the media should be enough to dismiss a chief executive for obvious incompetence.

The CSA Board have made such a pig’s ear of the entire situation that it is easy to wonder if it has not all been deliberate. Nenzani and Moroe were certainly in cahoots for much of the program of Cricket Capture and it is known that there are still directors who want the former CEO back. Plus the person responsible for handling disciplinary matters, company secretary and head of legal Welsh Gwaza, is a known Moroe ally.

Perhaps commercial manager Clive Eksteen and chief operations manager Naasei Appiah should also get ideas now and return to work after they were suspended by Moroe at the end of October? The then CEO made them, along with Corrie van Zyl, who has already been found guilty and given a final warning, the scapegoats for SACA not receiving the image rights money that was due to the players. But the players’ association say there is proof that it was not Appiah, Eksteen and Van Zyl who were delaying the payments but Moroe himself. Such malfeasance should be sufficient reason to dismiss the CEO.

The CSA Board’s response to Moroe’s ‘return to work’ was to say he is still suspended. Those incompetent directors who have shown themselves to be utterly incapable of coming up with ideas that will benefit the game look set to argue that the former CEO was never told his suspension would only last six months. But Nenzani is on record as having promised the process would be completed within six months.

CSA’s disciplinary processes talk about employees only being suspended for two months, unless there are exceptional circumstances. The Board obviously believe there are exceptional reasons for them to have flouted process, while Moroe and his legal team are within their rights to claim they have been unfairly prejudiced, pointing out that there has been a lack of formal written communication and just ‘conversations’.

There is little doubt the whole fiasco is heading for court and it will be for a judge to decide whether CSA or Moroe are in the right.

It’s going to be yet another financial drain on an organisation that was in dire straits even before the Covid-19 pandemic. All of this overseen by Nenzani, who is still trying to wrangle the constitution into allowing him to stand for yet another term as president. He has changed the constitution three times already and is the longest-serving president South African cricket has ever had to endure. And what good has he done for the game?

For South African cricket-lovers, it has been another week of shame that our beloved sport is in the hands of such delinquents.