The players and coaching staff are among the more140 creditors listed in the liquidator’s report.
Photo: Photosport
Moana Pasifika is facing more than $8 million in creditor claims, according to the first report from liquidators appointed to the collapsed Super Rugby franchise.
The findings, released on Tuesday, offer the clearest picture yet of the financial issues that led to the club being placed into liquidation last month.
The report estimates total creditor claims at about $8.2 million, although liquidators say investigations are ongoing and the final figure may change as claims are assessed. Of the $8.2 million, about $4.3 million is owed to secured creditors and a further $3.9 million to unsecured creditors.
Among the report’s key findings is confirmation that the club’s employees – including all playing and coaching staff – are listed among the more than 140 known and potential creditors.
“The company employed staff on the date of liquidation. All employment contracts were terminated on liquidation, and the liquidators are working with the accounting team and reviewing the company’s records to determine amounts owed to employees as at the date of liquidation,” the report states.
Despite the collapse, New Zealand Rugby and the New Zealand Rugby Players’ Association reached arrangements that allowed Moana Pasifika to see out the Super Rugby season.
New Zealand Rugby had previously confirmed to RNZ it would cover player salaries through to the end of July.
Head coach Tana Umaga said the intervention had provided relief for players and staff, who had faced uncertainty since Moana Pasifika’s owners, the Pacific Medical Association, announced last month it would disband the franchise at the end of the season.
“Getting that news, it was met with a bit of applause. We’re very thankful to New Zealand Rugby for stepping in at this time. Having that certainty now, and being able to put some food on the table for the next couple of weeks. We’ll take what we can at this stage. It’s better than nothing and it is the reality of the situation we’re in,” he told reporters last week ahead of the team’s final game.
Moana Pasifika bowed out with a defiant 21-19 win over the Brumbies in Canberra at the weekend.
Moana Pasifika pulled off a narrow win over the Brumbies in their final outing.
Photo: AAP / Photosport
The report, compiled by Teneo Financial Advisory, describes the estimated $8.2 million owed to creditors as a starting point.
“We have written to all known creditors and have provided them with a claim form. To date we received claim forms from some creditors, and expect to receive more claims as the liquidation progresses,” the report read.
Among the unsecured creditors is Sport NZ, which is seeking to recover a reported $2.75 million loan – likely one of the largest individual claims against the franchise.
Sport and Recreation Minister Mark Mitchell said last week he had asked Sport NZ for advice on whether the money can be recovered, saying it remained unclear how much, if any, would be returned.
“Naturally it’s a concern because it’s taxpayers’ money, but I’m sure that it was invested in good faith.
“It’s sad that Moana Pasifika finds itself in the position that it is in now, but I’m interested in making sure that we’re being good custodians of taxpayers’ money.”
Other creditors listed in the report include ASB Bank, the Inland Revenue Department, the New Zealand Rugby Players’ Association, and the Auckland Council.
The report also outlines what assets remain within the franchise, as liquidators begin assessing whether any further funds can be recovered for creditors.
The report lists the book value of Moana Pasifika’s assets, which include a shipping container and gym equipment, at around $700,000.
Beyond physical assets, the report also confirms the company retains ownership of the Moana Pasifika intellectual property, including the franchise’s trademark.
“The liquidators also understand that the company owns the ‘Moana Pasifika’ intellectual property, including the trademark (IP).”
The ownership of the intellectual property could become an important consideration as efforts continue to secure the franchise’s future.
RNZ reported on Tuesday a new bid to rescue Moana Pasifika has emerged, with a consortium led by a Los Angeles-based tech multimillionaire exploring plans to relocate the Super Rugby franchise to Hawaii.
