EP Rugby could lose R40m in Lotto funding Instability in union is reason for application being in jeopardy, says financial head Gidane

• Published date: 25 April 2024
• Publication title: Herald, The (Port Elizabeth, South Africa)

Gidane revealed the shocking information to club delegates when he presented the union’s financial report during EP’s annual meeting at Cillie High School on Saturday

He made the comments at a rowdy meeting which was marred by an altercation between deputy president Roger Serfontein and Young Collegians president Dan Ngcape, which resulted in mayhem erupting in the hall.

“You will recall we have appointed a consultant, Weza Moss,” Gidane said.

“[He] made a submission to Lotto of R40m.

“EP have received a clean bill of health from Lotto.

“That application we have submitted to Lotto is in serious jeopardy because of our situation right now at the union [instability].

“We have subsidised clubs out of the money.

“Also because of money we are not going to get from the municipality [R6m] it will be difficult for us to fund any transport for clubs in the 2024 season.

“This is sad news I must present.

“One structure that we receive an allocation from is Saru and it totals R12m per annum and the R6m from the municipality is the only [other] income we receive.”

Gidane said potential sponsors were reluctant to get involved with EP Rugby because of a R7m SA Rugby debt hanging around the union’s neck.

Despite being impressed by an electrifying Grand Challenge club final rugby in 2023 at the Nelson Mandela Bay Stadium, sponsors do not want to become involved with the union.

Gidane gave an insight into the union’s financial affairs when he spoke for more than an hour at EP’s annual meeting.

He said Saru debt should be written off and the issue must be raised as a matter of urgency with the mother body.

“EP went to speak to some sponsors.

“The first thing the sponsor said was that he was impressed by your electrifying club rugby final between Gardens and Kruisfontein United and also that you took your final to Nelson Mandela Bay Stadium and a big crowd attended.

“The potential sponsor said he would like to be involved, but he could not...