Richmond issue statement slamming RFU decision to spare rival club

Richmond have issued a statement slamming a RFU decision to spare Yorkshire Carnegie relegation despite their ‘dire’ financial situation.

The financially stricken club has been set a target of getting all creditors to agree to the terms of a Company Voluntary Arrangement (CVA) by August 9. If not, the could potentially be handed a 28-point deduction before a ball has even been kicked in the new Championship season.

An RFU statement explained: “If the club stays up despite the points deduction, or would have been relegated anyway even without the points deduction, then there is a further deduction in the following season. The case remains subject to review.”

Commenting on the RFU statement, the Leeds RUFC board stated: “We have been liaising closely with RFU and a statement from the club will be made after next week’s board meeting.”

Richmond have not taken the news well.

Their statement reads:

Richmond are disappointed with the decision of the RFU Board that Yorkshire Carnegie can remain a Championship Club and will be seeking a review of that decision.

Richmond, as an interested party, has been in discussions with the RFU since April and were subsequently invited to make formal representations to the RFU board sub-committee considering the position. These representations were extensive. Richmond believe that Yorkshire Carnegie should be relegated from the Championship and that Richmond (who have remained financially solvent for many years) should be reinstated.

The reality is that Yorkshire Carnegie stand to suffer no sanction whatsoever as any potential points deduction is to all intents and purposes illusory. It arises only if a creditor refuses to sign up to their CVA and all have signed up already. Accordingly, it would appear that despite their dire financial position and the cancellation of contracts of players drafted in to rescue them from likely relegation, Yorkshire Carnegie remain a Championship Club.

Peter Moore, a director of Richmond, said “It cannot be in the best long-term interests of the Game that Clubs can run up debts of over £6m and cancel players’ contracts. We are very disappointed with the RFU decision, which we will ask to be reviewed”.

Pursuant to that process Richmond will be asking for full transparency and, in particular, to see the recommendations together with the written reasons that were made by the sub-committee to the RFU Board.

Peter Moore goes on to say “Despite our extensive submissions, all that we have seen is a brief RFU statement”. Richmond intend to make the application for the RFU’s decision to be reviewed early next week.