Football Federation Australia announced the immediate termination of the A-League licence held by Newcastle Jets, after the team were placed into voluntary administration earlier today.
Earlier today the club’s former owner Nathan Tinkler, announced he had handed the club over to the FFA after he failed to pay outstanding wages to staff and payers. It was reported that the club faced debts of $2.7 million.
Reports a-league.com, the very fact that the club was placed into administration is a breach of the A-League licence conditions, and thus the association has decided to terminate the club’s license.
They added that a club from Newcastle will remain a member of the A-League when a new license is offered to a new entity which is owned and controlled by FFA and current players of the Newcastle Jets will be offered contracts.
“Newcastle needs a club operating in a stable environment with certainty of resources in order to be successful and competitive in the A-League and to properly represent the community. HSG has proved to be incapable of meeting these requirements,” said FFA CEO David Gallop in a statement.
“HSG has behaved in a deplorable way towards the players and staff of the club in failing to meet basic obligations to pay wages. Anyone who takes control of a sporting club has an obligation to respect the people and the traditions of that club.
“HSG has failed miserably to in this regard. Today’s action to terminate the licence is the first step to restoring the proud traditions of football in Northern NSW.”
