RUGBY PROFITS

Evening Post, Volume CXI, Issue 81, 7 April 1931, Page 10

RUGBY PROFITS

THE BRITISH TOUR

SCHEME OF DIVISION

WELLINGTON'S IDEA

One section of the New Zealand Rugby Union's financial statement to be closely examined by delegates at the annual meeting this month is that relating to the proceeds from the British team's tour. No announcement lias as yet been made as to the financial result of the tour, but in the opinion of the Wellington Rugby Union's Management Committee the profits from the British team's visit should exceed £20,000. The manner in which this big addition to the Rugby Union's funds should be utilised has been considered by the Wellington Union's committee, and a motion is to be moved at tho annual meeting of delegates to the New Zealand Union with a view to seeking the opinion of unions as a whole as to what should be done with the profits from the big tour. The various unions have been, advised of tho Wellington Union's intention, and it is likely that there will be some counter-proposals to the local suggestions. "Up to tho present the Management gommittee of the New Zealand Rugby nion has not issued any statement with regard to .tho. financial results of the British team's visit," states the chairman of the Wellington Rugby Union (Mr. J. Prondeville), on behalf of his committee. "From the reported attendances and takings, and from our own results, and making due allowance based on tho Management Committee's estimates at the last annual mooting when fixing tho charges, the profits should be well over £20,000. The balance-sheet in 1930 showed the balance to the credit of accumulated funds of the uuion at £19,000. It is considered by my committee that this is an ample reserve fund for the purpose of the governing body, and that the profits derived from the British team's tour should be divided amongst tho various unions. Without having a statement showing the actual results it is difficult to frame an equitable scheme of division. In the meantime my committee is giving notice of motion to tho following effect:— That the net profits from tho tour of the British team be divided amongst all the affiliated unions and the Now Zealand Union in accordance with a scheme of division to bo approved by the delegates. "As a basis for the consideration of the different unions tho attached scheme is submitted by my committee, and I am directed by it to ask that each union and its delegates carefully consider the proposals before the annual mooting." SCHEME OUTLINED. The proposed scheme for dividing tho profits is outlined as follows: — (1) That from the gross takings at each match of the British team's tour in New Zealand there be deducted — (<.) the local expenses and charges, i.e., advertising, wages, ground rent, etc.; (b) tho proportionate part of the total cost of the tour, that is to say, from each gate there shall be deducted the pro rata -cost of the whole tour irrespective of tho fact that for convenience tho local expenses of board, etc., may have been paid by the local union out of its takings before remitting to tho New Zealand Union; (c) 10 per centum of the balance after deducting (a) and (b) above. (2) That the resulting net gate for each provincial match be paid to the local union that controlled the match, subject to the following conditions: (a) That the local union has been ov first becomes incorporated under the Incorporated Societies Act, 1908; (b) that it has a rule providing that in the event of the local' union being wound up its balance of assets shall vest in the New Zealand Union in trust for any new Rugby Union formed in the district; (c) that such money shall be expended either (1) in acquiring the freehold or leasehold of a ground or grounds for Rugby football, (2) in paying off any mortgage on grounds already purchased and held by the union, (3) in effecting permanent improvements on any grounds already purchased, provided that before any money is paid over by the New Zealand Union the local union shall satisfy the New Zealand Union Management Committee that the money is being applied solely for one. or more such purposes. 3. That of the resulting net gate from the four Test matches 50 per cent, be paid to. tho union controlling the match on condition that it is expended in providing increased accommodation for tho public on its principal ground. 4. That the remaining 50 per cent, be diveded amongst those unions that did not get a match with the British team (i.e., Thames Valley, Bay of Plenty, King Country, East Coast, Bush, Nelson, Golden Bay, Buller, Ashburton, North Otago), subject to the same conditions as in clause 2, so that each union with thirty teams and over, based on the 1930 returns, shall get the same amount as the lowest amount any union gets under clause 2, and unions with less, than thirty teams shall get a proportionate amount based on that amount in accordance with the number of teams it had in 1930. If the fund is insufficient to meet these payments, it be supplemented out of the 10 per cent, deducted under clause 1 (c). 5. That the net proceeds of the Maori match bo held by the New Zealand Union for tho assistance of Maori and primary school football. CANTERBURY OPINION. When the scheme was placed before the Management Committee of the Canterbury Rugby Union last week the chairman (Mr. A. R. M'Phail) remarked that it did not seem to be a brilliant idea. He considered that the present practice of the controlling union holding the funds was the best. Mr. A. Duggan: "If we received the money tho clubs would have a right to ask us for a portion." Mr. S. F. Wilson stated that the principle of the proposal did not seem to be right, though in theory it must be good. There was a grave danger in its adoption. He moved that the matter be left in the hands of the union's delegates. Mr. J. .K. Moloney: "Under this schemo Canterbury would do well, but it is not wiso to divide the money. There would be no check as to how the money was spent. There are some unions which have borrowed money and have paid no interest for years." Mr. Wilson: "There is this in the Wellington suggestion, that it costs us up to £100 to gather our team together, and we should be reimbursed for that." Mr. Wilson's motion that the matter be left in the hands of the union's delegates was carried.