Source :- THE AGE NEWS
Receivers have taken control of the parent company of A-League soccer club Western United, whose co-director is Jason Sourasis, the controversial ex-manager of Collingwood star Scott Pendlebury.
The 7000-member club has been in hibernation this season due to financial issues facing its owner-operator WMG Holdings and key investors.
Football Australia two weeks ago rejected its licence application for next season – a decision the club was planning to appeal – and WMG Holdings received a wind-up action in April, lodged by security company Dominance Enterprises, with a hearing scheduled for mid-June.
In the latest twist in the saga of the embattled club, WMG Holdings went into receivership this week under the control of firm Alvarez and Marsal, on behalf of project partner Johnson Controls.
The company is also behind plans for an ambitious sporting, entertainment, health and retail precinct in Tarneit, which would have housed Western United.
Former AFL player manager and financial advisor Jason Sourasis has been a key figure behind both the club and the development project.
Another company he oversees, Sayers Road Investment Co – which was also involved in funding the precinct – was last month ordered into liquidation at the request of an investor.
Sourasis has himself been battling legal claims from former clients, including Pendlebury, that he mismanaged their investments. Sourasis denies the allegations and is defending the claims.
Sources close to the club, speaking on condition of anonymity to share details of private conversations, said by taking control out of Sourasis’ hands, the receivership could ultimately help save the club and precinct project, which already has $80 million committed by financial backers. It would also allow new governance structures to be implemented to address delivery issues.
Wyndham City Council is due to vote on whether to approve the development this month. If approved, it would pave the way for the expansion of Ironbark Stadium, on which Western United’s future depends.
A source close to the situation said potential suitors had approached WMG Holdings to take ownership of the club.
Sourasis has been contacted for comment.
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Bridget McArthur is a sports affairs reporter at The Age, covering the intersection of sports and politics/business/economy/society.Connect via X or email.
