South African Rugby Union (SARU) CEO Roux stands accused of financial mismanagement during his time as a senior director of finance for Stellenbosch University, according to an audit report by KPMG.
It is believed that he allegedly redirected funds – which is reportedly around R32 million – from the university to the Maties Rugby Club, of which he was chairman, to grant bursaries to players. In addition to that, Roux may have benefited financially himself as a director of a rugby agency who managed the affairs of those Maties players.
Roux has been called to the Western Cape High Court to defend a civil claim by Stellenbosch University for the R32 million.
The issue has caused a huge divide in the corridors of Saru’s Executive Council (Exco), according to Netwerk24, with most of the provincial presidents siding with Roux, and wanting Hoskins out.
Further revelations of alleged misconduct from Roux came to light and it also involves his long-time lawyer, Frikkie Erasmus, who has also represented Saru and their general manager of rugby Rassie Erasmus in legal matters before.
Rapport newspaper reported that Frikkie Erasmus was the sole director of a sports nutrition company called EE Sportconsult Nutrition, who supplies nutrition products in the BokPulse range to Saru.
But it is believed that the company hasn’t paid any licensing fees to Saru since the deal was made in 2013. The BokPulse range are licenced Saru products and has the Springbok logo on it, so Frikkie Erasmus’ company are supposed to pay licensing fees. Saru received R13 million in the last financial year from 80 licensees.
Frikkie Erasmus and Saru told Rapport that the Exco was aware of his role as a lawyer to Roux, Rassie Erasmus and Saru when the union bought the BokPulse products and that the deal didn’t transgress any rules.
It is understood that a motion of no confidence could be brought against Hoskins at a meeting next week.
This comes after Hoskins apparently called for Roux to be suspended before Roux goes to court, but he was outvoted by the majority of the Saru Exco, who are now trying to oust Hoskins.
The Exco will hold a meeting in Johannesburg next week to discuss the matter again but under the chairmanship of an independent person and not Hoskins.
Source: African News Agency (ANA)
