Other options sought for G?bah RSL
By SAMANTHA TURNBULL
AMALGAMATION is not the only solution to the financial plight of the Goonellabah RSL Sports Club, receiver David Leigh said yesterday.
Mr Leigh, of the club's receivers, Simspartners, said amalgamation was just one of the options available to help the club pay off a $3.2 million debt to the National Australia Bank.
However, because of commercial confidentiality agreements, Mr Leigh could not say what other options the receivers were considering to clear the debt.
The defunct Lismore RSL Club in Market Street will be sold at auction on March 17.
The club is tipped to sell for less than $1 million, leaving its sister Goonellabah club with a debt of about $2 million.
Tweed Heads-based giant, the Twin Towns Services Club, last year expressed interest in amalgamating with the Lismore and Goonellabah clubs, but the offer was turned down.
"Negotiations with that body concluded some months ago, as the offer made by them was significantly lower than the asset values of the company," Mr Leigh said in a written statement.
"When a counter offer was put to them by us, they were totally unwilling to revise it."
Mr Leigh has said it was unlikely that the Goonellabah RSL Sports Club would suffer the same fate as the Lismore club becauses it traded profitably and should continue to do so.
He also said if the Goonellabah RSL Sports Club did amalgamate with another club, it would not necessarily mean jobs would be lost.