The Parramatta Eels have become embroiled in a new salary cap rort, with claims that off-the-book payments totalling more than $1 million were made to the club's star players.
The Eels are alleged to have circumvented the NRL's strict salary cap by utilising third-party payments to top up the salaries of Jarryd Hayne, Chris Sandow and Will Hopoate.
The Sydney Morning Herald reported that controversial former Eels chairman Roy Spagnolo funneled a number of additional payments outside of the salary cap into front companies set up for his personal property development deals.
Spagnolo ran the Eels from 2009 to 2013 and, after an investigation by the Independent Liquor and Gaming Authority, was recently found to be unsuitable to run a club. And the SMH reported claims that off-the-book payments were made under Spagnolo's stewardship via a controversial businessman.
Eddie Obeid Jr is alleged to have provided a payment of as much as A$200,000 to supplement Sandow's $550,000 salary from the club, while Hopoate is said to have received an additional $50,000 to top up his $750,000 in a deal not registered with the NRL.
