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SHOCKING TRUTH ABOUT Vodaphone led $8million sponsorship deal: only $3.6m in cash per year as humbled FRU chairman Waqabaca  forced to admit to local media 

6/2/2014

10 Comments

 
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Fijileaks report:

The shocking truth about the Fiji Rugby Union’s baseless claim to have signed an $8m a year for five years sponsorship agreement can now be revealed: it includes only $3.6m in cash per year as a humbled FRU chairman Filimone Waqabaca was forced to admit to local media (see right column) 

In other words the FRU is receiving almost $4.5m each year in corporate padding to make the offer look attractive, which is likely to include millions from Vodafone in worthless free airtime and text messaging.

The $3.6m in cash each year for all the FRU’s properties means it is less than double what Digicel were paying last year for only the national 7s team and the Digicel Cup.

The make up of the Vodafone-led consortium is exactly as Fiji Leaks predicted in our article on January 12 when we reported that regime-toadying Vodafone had cobbled together a disparate group of companies to help fluff up their financial proposition: CJ Patel, ATH/Telecom Fiji and Fijian Holdings having nothing in common in business terms, other than a desire to stay close to the capricious and vengeful rule of prime minister Frank Bainimarama, and a number of expat Sri Lankans who provided the backchannel through which the deal was put together.

Even more terrifying for genuine rugby fans is the prospect raised by Francis ‘Killer’ Kean, chairman of the Suva Rugby Union over the weekend about where what little new cash this deal does generate might actually be heading.

In an article in the Fiji Sun, Kean warned that once the new sponsorship deal has been approved he wanted his cut: ‘On behalf of the Eastern and Northern Unions, we are seeking nothing less than $280,000 per major union.’ http://www.fijisun.com.fj/2014/02/01/%e2%80%98choose-right-sponsor%e2%80%99/

The FRU consists of 10 major unions, those that play in the soon to be renamed Digicel Cup, so Kean’s cash grab would see $2.8m flow to the provincial unions which in most instances are famously financially unreliable, unaudited and ill-disciplined.

The January 2010 international Suva Rugby Festival – run by Kean’s own union – was even more financially catastrophic than usual provincial union initiatives – with losses in the hundreds of thousands, a completely lost audit trail and the SRU having to rely on the FRU to bail them out.

 Story by: Victor Lal

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Fijivillage report:

The biggest ever rugby sponsorship for Fiji rugby has been announced today after the Fiji Rugby Union confirmed that it has signed a 5 year deal with a consortium led by Vodafone Fiji Limited. Fiji Rugby Union Chairman Filimoni Waqabaca said the total value of the historic 5 year contract is $40 million. Waqabaca said it is an $8 million a year deal.

When questioned by Fijivillage, Waqabaca confirmed that the cash and kind sponsorship components are still being negotiated. However, he confirmed that the cash component for a year currently stands at $3.6 million. The cash component includes bonuses for players and cash for player contracts.

The consortium led by Vodafone includes Fiji Airways, CJ Patel Company Limited, Home Finance Company Limited and Fijian Holdings Limited. Waqabaca said all the naming rights for the different brands will be revealed later. However, it has been confirmed that the naming rights for the National 7s team will be Vodafone.

Waqabaca said the Fiji 7s team will be known as the Vodafone Fiji 7s team on the IRB 7s circuit. This means the National 7s side will run out with the new look jerseys which features the Vodafone logo.
 
The National 15s side will be known as the Vodafone Flying Fijians. Home Finance Company will sponsor the National Provincial Championships while the other sponsors for the brands will be revealed within the next few hours.

This will be from the Kaji rugby to the Flying Fijians and all local rugby tournaments run by the FRU. An important clause has been included in the new rugby sponsorship contract where the value of the sponsorship will be reviewed after three years.

Waqabaca said this is based on the fact that the value of Fiji rugby will grow after the 15s Rugby World Cup and the Rio Olympics.   

FRU board director responsible for sponsorships Baljeet Singh said it has been agreed that the value of sponsorship will go upwards during the review of the contract after 3 years.

Acting Fiji Rugby Union CEO Doctor Berlin Kafoa also revealed that there is no clause giving the sponsors the first right of refusal after the five year contract comes to an end.

Kafoa said this will ensure that the FRU board does not have any restrictions when negotiating sponsorships after the five year term.

Story by: Vijay Narayan

New appointments made, Flying Fijians coach pending

A day after announcing their biggest sponsorship deal the Fiji Rugby Union has made new appointments for national team selectors, Pacific Rugby Cup and Under 20 coaches with their management.

The national selectors are Eminoni Batimala, Savenaca Aria, Joji Rinakama and Bill Gadolo. They will serve as national selectors for a term of one year. Tailevu provincial coach Lance Whippy will head the PRC team with Eroni Vereivalu his assistant coach while Joe Browne will manage the team. Suva provincial coach Salimoni Ravouvou has been appointed to coach the Fiji U20s and will be assisted by Iliesa Tanivula.

Current Vodafone Fiji 7s manager, Paula Biu will manage the Fiji U20s. All appointments are consistent with the Board’s policy of appointing those who have worked at provincial and national levels. An overseas coach has yet to be identified to lead the Flying Fijians – like in 7s, the FRU had successfully applied for a coach through the Fiji Sports Commission under the sports budget allocation from the Government. Source: Fiji Broadcasting Commission

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10 Comments
Rajesh
6/2/2014 11:07:36 am

FRU How will they use 4.4 million in text ,airtime,others from vodafone network?
What amount of Govt 150% Tax Rebate will Vodafone claim on 8 million or 3.6 million?
Thats have to be clairfied by both parties.
FNRL gave Vidafone so much milage but only given 1 million a years. Why ?

Reply
Voda fan
6/2/2014 12:23:50 pm

Hey Victor, can you tell us who sends confidential emails to Vodafone regarding Digicel?

Post this if you have the guts mate!!!

Reply
Voda Good
6/2/2014 01:53:12 pm

Not sure what the fuss is all about when this is much better than Digicel. In fact, the kaji, schools and even B Division will benefit. The B Division has been struggling all these years now they will be helped. The Island Zone will now be revived and island players exposed. Digicel was useless in these areas. The texts will directly benefit the unions and there will be no clause restricting FRU. All these is good. Only problem was this was delayed from 2008 when the offer was first made which resulted in internal clashes at FRU at that time.
Guys - stop playing politics cause at end of the day the sponsorship which benefits the people who matter most ie the rugby players, clubs and provinces unions must be accepted which is Vodafone and comp. Finally, most of you critics are politicising these which is wrong and most of you such as victor lal have never played rugby not involved in club or provinces ,,,,,,so pls stop the guesswork and be thankful for this new deal.
As for Frank and Kaiyum - focus on the elections and deal with them there!!

Reply
Rugby Referee
6/2/2014 02:12:21 pm

Voda Good - one does not have to have played rugby to expose all the corruption inside FRU - when did Esther Williams play rugby - if we are to swallow your criticisms of those taking opposite views

Reply
Keep The Faith link
6/2/2014 03:07:35 pm

Well isn't this alliance of organisations bailing out the FRU interesting.

Fiji Airways is only just recovering from over extending themselves; Telecom has just laid off some workers; Vodafone is fighting bad consumer experiences for their under-performing 4G network (Z Tee gone wrong); Fijian Holdings has just sold off an under performing subsidiary & Home Finance is a subsidiary of FNPF that has no business putting money in a kitty until it can tell pensioners the true worth of their returns as a pensioner investment.

Rugby will be the biggest loser in this farce padded up with cheap marketing gimmicks.

Sock it to em Digicel.

Reply
Rugby Player
6/2/2014 04:58:26 pm

rugby ref and ktfaith
you are mixing up the issues.
Keep to the facts ie at the end of the day which sponsor brings in the most benefits and at all levels.
No use making comments as both of you are unaware of issues challenges from Kaji to provincial levels - you also dont even know the levels of rugby competition in fiji .......so how can you say anything.
stop being blinded by politics and just see what benefits the rugby player!!! phhew no sure why i am explaining this to morons

Reply
Groundsman
6/2/2014 05:11:39 pm

Voda Good aka Rugby Player - good to see you appearing in another guise but one and same person!

Reply
Keep The Faith link
6/2/2014 07:12:55 pm

@ Rugby Player: Run along and keep playing rugby boy.

The issue here is that FRU is a long-standing unaccountable joke of the kila vata gravy train. You want money to develop rugby in this nation then account for it. Right now your standards of accountability are repugnant even to the IRB and this 'conglomerate' is being pushed to bear the cost despite their own core business having issues.

If you're so adamant that players will benefit then negotiate with the alliance to put cash down that is worthy of Fiji's acquisition of the best in the rugby business. This bullshit inflated $8 million deal is only benefiting a few and we'll leave you to interrogate the fine-print of the deal and come back to tell us exactly what dollar-for-dollar incentives are there for players.

Reply
bored with the Fiji bullshit !!!
7/2/2014 08:48:06 pm

" kila vata gravy train" had started to roll full speed ahead on the 10th October 1970.......the only reason for complaining about it now is that the gravy train has been hijacked by another lot of bandits. Same race ,different time....always the taukei !!!!!!

Reply
Sam watisoni
13/2/2014 01:08:20 am

Judge Kamal Kumar should have disqualified himself.
Aslams daughter worked under Kamal in the law fim run by the chairman of the Election commission.
Judge Kamal and Aslam are very close friends.

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