SWD on the brink of chaos
Posted by Morné - 05/02/10 at 01:02 pm under Rugby AdministrationOnce again political issues have left the beleaguered SWD Eagles players with major uncertainty and insecurity.
SWD Rugby has been in the news recently for all the wrong reasons. It varies from Presidents, vice presidents and executive committee member’s being removed, to costly litigation in the High Court and now, players not being paid on time or only getting ‘assurances’ that the employers contractual obligations to pay them in the future, will be honoured.
A while back it was reported that SA Rugby would sell its shares in SWD Rugby Union to a private company, Bunker Capital. The shareholding was reported to be 50% which at the time and was heralded as groundbreaking in South African rugby.
Relationships however between Bunker Capital and the SWD Rugby Union (amateur arm) and Eagles Pty Ltd. (commercial arm) broke down over the last couple of months, ironically enough at the same time that SWD President, Stag Cronje, was voted out as president from the union – Cronje is currently challenging this action in court.
Willie Small, union chief executive, was quoted in saying that the breakdown in relationships between Cronje and the union, directly affected the investment and partnership they have with Bunker Capital suggesting that the reason for Bunker’s apparent refusal to honour their agreement to the union and Eagles company, was as a direct result in the union’s democratic decision to relieve Cronje from his duties.
“Cronje is said to have initiated our partnership with Bunker, and now it would appear as if he is favouring the interests of Bunker Capital over those of SWD Union,” Small told the Herald in a recent interview.
Relations did not only break down between Cronje and SWD union, but also with the players and their Trade Union SARPA, where there have been alleged cases of intimidation where the professional players and their Union Office bearers have been threatened that they would be chased away from the union for getting involved in political games.
The players have lodged a grievance about their concerns which has been ignored. Player’s have also been reluctant to participate in formal practice sessions for fear of injury. The main reason being that if they were not going to be paid again they would not be able to pay their medical aid premiums. The players were also threatened that they would be chased away if they fail to pitch up for practice.
Bunker Capital however claims that they ceased payments to SWD union because of their failure to honour their obligations after Cronje was ousted.
From what we gathered speaking to representatives of SWD Union, the interim committee appointed under leadership of Fareed Stemmett, Edward Jackson and John Nortje, raised concerns about funds paid over to Bunker Capital and how it is managed.
Apparently there is a fund arranged by Bunker Capital to assist Eagles Rugby, SWD Union and the academy to meet their financial obligations. This includes a reported R3-million paid to the SWD union, R2-million to the Eagles and R1.5-million to establish an academy. There is also talk of a player salary protection fund.
It would appear that the SWD union, nor any of the players, have clear insight how this fund works, what agreements are in place etc. One of the reasons raised for concern by the SWD union (alarm bells) is the apparent ability for Fund to show in excess of a 300% growth in funds in just over a month!
SARPA is in the process of calling SA Rugby to intervene as a matter of urgency to assist in addressing our member’s concerns.
Initially after SARPA,’s repeated and protracted intervention to try and facilitate a resolution of the dispute, affecting their member’s, between SWD Rugby union and Bunker Capital, player’s salaries were eventually paid (although late).
A compromise was then reached between SWD Rugby and Bunker Capital where it was agreed to commit to certain conditions raised in the deliberations. SARPA however are perturbed that commitments given by Bunker have not been complied with.
In January the same problems surfaced again and players were told that they either might not be paid, or paid late. Eventually, players received cheques as payment but then again, the cheques had a clearance period in some cases of up to 8 days.
According to SARPA, it is clear that conditions agreed to by all parties have not been met, nor are the SWD Union or Bunker Capital willing to meet the players demands. SARPA has thus been left with no other option to refer the matter to the Commission for Conciliation, Mediation and Arbitration (CCMA) on behalf of the players for urgent attention.
As a SARPA representative told us, attempts or negotiations with the employer and shareholders have been exhausted and effectively failed.
We have also learned that the majority of the professional players currently contracted to SWD Eagles are being hounded by player agents with offers of employment elsewhere.
Should this matter not be resolved by 12th February 2010 all the players at SWD Eagles will be entitled to terminate their contracts and seek reasonable compensation. In addition they will be free to then enter into negotiations with Agents and or other rugby employers. At this stage there is no real justification for the players to remain in George, much to the detriment of rugby in the region and province.
The situation has degenerated to such and extent that the player’s only option left, apart from lodging a case with the CCMA, is to consider participating in a strike action with the possible result that where no rugby will be played in the union until such time that this matter is resolved.
The time has now come for the leaders in our game to stand up and make themselves heard. And there is no better time than now because in a couple of month’s time the new leadership of SA Rugby will be elected.
For far too long have we neglected our greatest assets of the game (the players), not to mention the game itself, were it can be reasonably perceived that individuals are in all likelihood trying to further their own selfish interests and retain power, all in the name of rugby.

February 6th, 2010 at 3:51 am
Why would anyone invest a cent of their own money in a South African sports team?
February 6th, 2010 at 9:21 pm
Fund managers use other people’s money, not their own.
The only thing they can hope to gain is publicity, free test tickets and VIP seats.
It’s a great deal, when you are using your customers (suckers) money.
The final result is guaranteed to be miserable for the poor sods that fronted the money.
February 7th, 2010 at 4:59 am
Reply to fyndraai @ 9:21 pm:
Bunker Capital straight off the bat, after one look at their website… appear to be no more than the multitude on Ponzi/Hedge/Stock-lending/front coy spivs… the money will be long gone IMO…
February 7th, 2010 at 9:48 am
Reply to bryce_in_oz @ 4:59 am:
I wanted to ask you since you have some knowledge in this environment.
Looking at Bunker, what’s your take on them?
March 2nd, 2010 at 3:24 pm
Reply to bryce_in_oz @ 4:59 am: Just a question to Bryce. When you say one look at their website, are you talking about design, content, images or your own preference, or maybe something else? I designed the website and built it, and as with everything in life, there’s a history as to why things are the way they are. Imagine if I had to look at your website once, then make up my mind on who you are. Would that be fair? Don’t think so.
March 2nd, 2010 at 3:50 pm
http://www.weekendpost.co.za/main/2008/11/15/news/nl01_15112008.htm
March 2nd, 2010 at 4:01 pm
Reply to Darryl @ 3:24 pm:
Hi DaRRyl
How is the weather in Göteborg?
March 2nd, 2010 at 4:51 pm
Reply to Darryl @ 3:24 pm:
Heheheh. You can’t even skinder
on RW or someone picks it up!
Pages looks a bit empty, but
there’s probably good reason.
Nice blue, nice pics.
As for SWD: