Anon
Last year
The embattled Mandurah Basketball Association has moved to implement new financial controls after thousands of dollars were charged to its debit card during nights out in clubs, pubs, and a strip club in the name of business development.
The MBA faced a barrage of questions from members towards the end of 2022 and into 2023, with many voicing concerns around the organisation's spending.
The annual general meeting was delayed three times in three months and several staff members resigned, including its CEO and almost the entire board.
Bank statements for the account linked to the MBA’s debit card, seen by the Mandurah Coastal Times, reveal sessions at local pubs and taxi trips to Perth and popular nightlife district Northbridge to visit more pubs and clubs, as well as a visit to a strip club.
However minutes from a board meeting on September 12, 2022 show the board acknowledged that while "not all transactions look good on (the) organisation", the expenditure was “minimal compared to overall turnover”.
It also said while the issue was only “missing tax invoices not missing finances”, the MBA “must learn from this and put more current policies and procedures” in place.
The board then agreed to “implement an updated finance policy and controls” around expenditure, which is yet to be approved.
One set of more than 30 transactions between Friday December 17, 2021 and Saturday December 18, 2021 saw a spend of more than $2700 at several pubs and clubs including The Peninsula, Murphy’s Irish Pub, Top Floor Nightclub and The Court Hotel in Perth — blowing almost all of the $3000 'top up’ which had been put into the account earlier the same day.
In the 2021-22 financial year, there were at least 25 transactions at Top Floor Nightclub, 16 at Murphy’s Irish Pub as well as a transaction at Galaxy Lounge in Northbridge on December 30, 2021 in the early hours of a Thursday morning.
More recently in the financial year 2022-23 up until about November 2022, there were nine transactions at Top Floor, five at The Peninsula and two at Murphy’s.
There was also a transaction to M&M Entertainment on Tuesday July 19, 2022 — better known as the Penthouse strip club in Northbridge.
Minutes from a later meeting on September 29, 2022, indicate that then chief executive Lennon Smartt presented an expenditure review to the board, noting that the purpose of the spending was due to Mr Smartt being “instructed to grow MBA” and that there were records of “emails and calendar bookings to connect with expenditures”.
The minutes also note concerns raised by board members including the “accountability of CEO expenditure” due to a “lack of reporting processes”.
The bank statements also show that more than $115,000 was transferred to the debit card account from July 2021 up to as recently as November 2022.
The 2021-22 financial year saw 24 designated ‘top ups’ to the account to the tune of $71,015, with the incoming funds only just keeping up with the money being spent.
Between July and November 2022 the account was topped up 16 times with a total $46,000.
Of the tens of thousands of dollars that left the account, there was also more than $30,000 spent on domestic and international flights.
While the Magic likely paid for several of their imports’ flights to WA, it remains unclear how many of these more than 30 airline payments were linked to players.
Minutes from a later meeting on September 29, 2022, indicate that then chief executive Lennon Smartt presented an expenditure review to the board. No
The Coastal Times sent several detailed questions to the interim board about the spending, how it furthered the MBA’s interests and the dozens of ‘top ups’ to the debit card at the time, but was told most of the heavy lifting surrounding investigations into spending was for the incoming board — to be elected at its AGM on Monday.
“Once the elected Board is appointed, a decision must be made in relation to whether an investigation is carried out,” the interim board said in statement.
“These investigations generally include who was making these transactions, who was in attendance, authority to spend, description of expenditure and connection to the objects of the Association.”
The interim board also acknowledged there had been “many members who have been concerned” about the club’s losses in the 2022 financial year.
“This level of expenditure is not sustainable and the interim Board has implemented measures to reduce the impact for 2023 since taking over management,” the interim board said.
“If the (incoming) Board decide to carry out an investigation, the findings will determine the next course of action. We have heard from our members that they want answers and any outcomes of an investigation will define the actions taken.”
The Mandurah Basketball Association’s AGM is set for Monday February 27 at 6.30pm for a 7pm start at Coodanup Community Hall where members are expected to elect a new board and hear reports from the interim chair, finance director and auditors.
Sebastian
Last year
Is 2021 the season Machado played for Mandurah :)
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