DAVID Moffett has accused the Welsh Rugby Union of “keeping the game poor” by paying off £16.6million of debts quicker than they needed to, writes Chris Kirwan.
The former chief executive, who has helped force an extraordinary general meeting in Port Talbot on Sunday, employed a team of financial experts to pore over the WRU’s accounts.
He claims the Union have accelerated debt repayments rather than increasing funding to struggling clubs.
“If the WRU had followed the financing plan that existed when I left back in 2005, they would have had approximately £16.6m more cash at their disposal,” he said in a statement.
“It is highly irregular and a matter of huge concern that a company turning over £60 million does not have ANY cash reserves.
“Where has all the cash gone? Well you don’t have to be a genius to work out that it has all gone to pay off the debt early.”
Moffett goes on to state that, after building up the reserve, £11million could have been invested into Welsh rugby, £34,375 per club.
“They've used over £16 million of the clubs money to pay off the bankers in the face of one of the the worst economic crises to hit Wales,” he said.
“At the same time, our clubs, the lifeblood of Welsh rugby, are going bust or can't afford to buy rugby kit for the kids, repair their clubhouses or pay their electricity bills.”
The WRU declined to comment but expect more ‘propaganda’ from Moffett in the build-up to the EGM and intend to stick to their tactic of speaking directly to the clubs.
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