Parramatta Leagues Club’s ­administrator Max Donnelly has described as “misconceived or false” fresh allegations by a whistleblower that have specifically singled out the club’s chief executive, Bevan Paul.

It can be revealed a raft of allegations have been made by the club’s former property and facilities boss, Pierina Cappelli, against Paul, through correspondence sent initially to the club, and ultimately to NSW Racing and Gaming Minister Paul Toole, as well as senior NSW clubs regulators.

The new details have emerged after The Australian revealed yesterday Cappelli had made allegations the Leagues Club’s subsidiary, the Parramatta Eels NRL club, was in breach of the code’s salary cap “to this day”, by heavily discounting rental properties in the Parramatta area for Eels players.

Donnelly has strongly denied the allegations, while the NRL says it is currently awaiting information from Liquor and Gaming NSW, which has commenced its own comprehensive investigation into the allegations.

An NRL spokesman said: ­“Liquor and Gaming NSW has ­indicated it will provide information to the Integrity Unit and we will assess that information.”

Toole has revealed that ­“Liquor and Gaming NSW was investigating allegations about the conduct of a senior manager at the Parramatta Leagues Club”.

It is understood the investigation has been directly prompted by Cappelli’s allegations.

Apart from the salary cap claims, Cappelli has also alleged:

• That Paul used the club’s disciplinary process to exclude political opponents at the club, ­including former Eels director Lawrence Shepherd;

• Contracts were awarded under Paul’s watch without competitive tender;

• The Parramatta Leagues Club CEO sought to break up expenditures on key club projects into increments of $100,000 or less to avoid having to seek Donnelly’s approval.

But Donnelly yesterday told The Australian an external report commissioned by the Parramatta Leagues Club — by law firm ­Integroe Partners — into Cappelli’s allegations had discounted the vast majority of the claims.

“As a result of the investigation that’s been conducted by an external investigator, I am confident that all the claims are misconceived or false,” he said.

The Australian has obtained a copy of the Integroe Partners ­report conducted for Parramatta.

The correspondence sent by Cappelli to Toole claims she joined the club at the behest of Paul himself in 2014, after working with him for four years when he was the chief operating officer of another Sydney club, Rooty Hill RSL.

Cappelli, who served on the leagues club’s disciplinary committee, has alleged problems with the club’s disciplinary process under Paul. She alleged in her letter to Toole: “On ‘political’ matters (especially involving directors, former directors and candidates for the board), Mr Paul would direct me to decide matters in a particular way (to punish or not to punish).”

In one matter involving Shepherd, Cappelli has alleged Paul gave ­direct orders.

“When Lawrence Shephard (sic), a former director, came before the disciplinary committee, Mr Paul directed me to suspend him for five years. When Bradley Wardle, a former candidate for the board, came before the disciplinary committee Mr Paul directed me to suspend him for three months.

“Mr Paul told me he was motivated by a desire to prevent Mr Shephard (sic) and Mr Wardle from standing for the board and from voting in board elections because he believed that those two gentlemen were hostile towards him.”

The Integroe Partners report conducted for the Parramatta Leagues Club found: “We accept Mr Paul’s evidence, as the Chief Executive Officer, he had a legitimate role in the Club’s disciplinary process. Our assessment is that the examples and information about specific disciplinary processes provided by Ms Cappelli are selective and do not accurately reflect the nature of Mr Paul’s involvement in these processes.”

In another instance, Cappelli accused Paul of engaging one firm to manage a number of building projects at the club. Cappelli claimed in her letter to Toole that some of the projects were awarded by Paul to the building firm “without any tender process”, and cost estimates subsequently made for some of these projects were “excessive and unreasonable”.

But the Integroe Partners report stated there “was information to which Ms Cappelli may not have been privy, particularly in relation to overarching budgets for particular projects, which would have impacted her understanding of the budgetary arrangements for these projects. This complaint ­appears to have come from Ms Cappelli making assumptions based on limited knowledge and understanding.”

In another case, in the correspondence sent to Toole, Cappelli referred to two club projects that have formed part of a massive redevelopment of the Parramatta club: its new brewery and noodle bar.

It is alleged that under the new administration, Paul could approve spending of up to $100,000 “without reference to Mr Donnelly”. She claimed expenditure of $250,000 had been approved by the club for the new brewery.

“(But) there were significant cost blowouts and the project eventually cost over $550,000. In order to conceal the cost overruns from Mr Donnelly, Mr Paul directed myself and the Food & Beverage manager to break up the additional costs (approx. $300,000) into components of less than $100,000 so that he could approve the expenditure without reference to Mr Donnelly.”

Again, the Integroe Partners report suggested no evidence of impropriety.

“We have found no evidence beyond Ms Cappelli’s assertions that Mr Paul operated outside of the bounds of his financial delegations. However, our finding in respect of this allegation is reserved pending finalisation of our more detailed analysis of the evidence.”

A Liquor and Gaming NSW spokesman has declined to outline how long its investigations will take.

“As this investigation is ongoing, Liquor & Gaming NSW cannot comment further.”

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  • 297989556?profile=RESIZE_1024x1024

  • Privatise.

    This shit has been going on for decades and will continue.

    Unfortunately, privatisation seems the only way to end this 'all for him/herself' money grabbing shitt.

    Not perfect but much better than this crap us fans have endured for so many years.

    • You can safely say that anything Fong says is irrelevant as he knows nothing more than anyone else.
  • There is nothing in the blog to support your false conclusion.Was/is your brother in law a yes man?

  • I don't see an issue with any of this - apart from the fact that it's getting leaked to the media and making things messy. Stuff like this goes on in business all the time - and by "stuff like this" I mean grievances (for whatever reason) that are referred to a higher relevant authority.

    I seriously don't reckon anything is going to come of this whatsoever.

    Bev Paul is a very good operator imo.

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