Royal AM will get a chance to plead their case following the suspension of their fixtures due to the chaotic situation they themselves are in after a tumultuous couple of months.
Controversial businesswoman Shauwn Mkhize’s club were thrown into turmoil this week when the Premier Soccer League (PSL) announced that the club’s upcoming fixtures against Orlando Pirates in the Betway Premiership and their Nedbank Cup fixture against Milford have been cancelled.
The cancellation comes after the club was placed under the curatorship of the South African Revenue Services (Sars) over Mkhize’s R40 million tax debt.
Their first game of the year against Chippa United was postponed due to players reportedly being on strike after they were not paid their salaries in December.
In January last year Royal AM was hit by a FIFA transfer ban over outstanding payments to former Striker Nurkovic, who the club owes about R15 million in salary payments (plus interest).
The ban was enforced for three transfer windows, meaning the KZN team couldn’t refresh the squad to compete. Because of the ban, the PSL booted the club out of the DStv Diski Challenge because it couldn’t field a team in the competition.
The curatorship was the straw that broke the camel’s back, with the PSL finally stepping in after watching on the sidelines.
In November, chairman Irvin Khoza said the Betway Premiership must finish the season with 16 teams to protect the integrity of the league despite the drama surrounding Royal AM.
Khoza added that “it’s not going to be a good look” if Royal AM can’t finish the season, especially after the PSL signed a R900 million, three-year deal with new league sponsors Betway.
Royal AM are ripe for expulsion from the league
At 11am on Friday morning, Mkhize needs to provide evidence before the league that they can turn the ship around. However, it looks like that ship had already crashed into an iceberg called Sars and the band on the deck are ready to start playing “Nearer my God to Thee” …
In a statement this week, the PSL said: “On 17 January 2025, [the PSL] were informed that a joint letter of comfort [from the club and curator] would be provided confirming that the issues that led to the club being unable to meet its commitments had been resolved.
“No such letter of comfort has been forthcoming and the [PSL] has been left with no alternative but to cancel [the game against] Orlando Pirates at Harry Gwala Stadium, and to suspend all other Royal AM fixtures (Betway Premiership and Nedbank Cup) until further notice.”
At this point, the PSL could expel the club for a number of reasons. Even if Mkhize can convince them that everything will be fine, it may be a bridge too far for the KZN outfit.
Royal AM has brought the PSL and its sponsors into disrepute after the tax debacle and failing to pay players. The Nurkovic affair could also lead to expulsion, as Royal AM have been in contravention of multiple FIFA orders for more than a year now.
If they continue to miss matches because of their problems, the PSL may also be forced to award 3-0 victories to their opponents for no-shows. Royal AM are already second from bottom on the Premiership table on eight points, one point ahead of bottom side Magesi FC, and missing game will almost certainly lead to automatic relegation.
What about the tax problems?
Mkhize has several other business interests and her net-worth is estimated to be over R350 million. As it stands, with a R40 million tax bill, Sars may already be looking at selling some of her assets to try and recoup their money.
One of her biggest assets is the football club. Mkhize formed Royal AM after buying Bloemfontein Celtic’s top-flight status for around R50 million in 2021.
It’s not clear how much the club is currently worth, especially with the current FIFA ban and the monies owed to former players such as Nurkovic.
But there is some brand appeal, while the PSL seems like a great investment at the moment after signing a R900-million sponsorship deal with Betway at the start of the campaign.
Whatever happens on Friday, it could be a watershed moment for South African football and possibly the end of Royal AM as we know it.
@JohnGoliath82
