Community Football Club Crumbles Under Massive Debt
The Gungahlin United Football Club stands on the brink of complete collapse, with members set to vote on voluntary liquidation later this month amid revelations the club has accumulated debts exceeding $550,000. The Canberra community has been left reeling as one of the region's largest football clubs faces extinction after financial mismanagement and regulatory breaches came to light.
Critical Vote Scheduled Amid Financial Chaos
Club members will gather at the Hellenic Club on November 25 to decide the fate of Gungahlin United FC, where they'll vote on a special resolution to wind up the club voluntarily. The interim executive committee and nominated liquidator Eddie Senatore have promised to provide members with detailed information about the club's staggering financial situation before the crucial vote.
However, the full extent of the debt remains unclear, and members have expressed concerns they won't have a complete picture before making their decision. The liquidator cannot formally begin investigating all creditors and outstanding debts until after members pass the resolution to wind up the club.
"This really needs professionals to go in there, and spend the time that is needed to find out what's been going on," a spokesperson for the interim executive committee told The Canberra Times.
Domino Effect Leads to Complete Collapse
The crisis began unfolding in mid-September when Capital Football issued a breach notice over outstanding debts that threatened the club's National Premier Leagues licence. This notice reached a wider group of members than usual, alerting the broader community to the seriousness of the situation.
The domino effect was swift and devastating. The former executive committee of just four members was asked to step down soon after the breach notice arrived. Three members voluntarily formed an interim executive committee, initially hoping to salvage the club's NPL licence by presenting a recovery plan to Capital Football.
When the initial debt figure of $200,000 was revealed publicly, more creditors came forward, and the amount ballooned to more than $550,000 within two days. The interim executive quickly realized the situation was untenable.
"No one envisaged that kind of debt that just kept climbing," the interim executive spokesperson added. "We want to know what happened, and every member deserves to know that, too."
Regulatory Breaches and Constitutional Violations
Investigations have revealed multiple regulatory breaches that contributed to the club's downfall. The interim executive claims Gungahlin United has not held an annual general meeting since July 2023, meaning the club's official financial state may not have been properly documented or voted on for the 2023-24 or 2024-25 financial years.
This violates both Capital Football's NPL competition regulations and the club's own constitution, implemented after former president Aaron Alexander was found guilty of stealing from the non-profit organization in 2017-18.
The club's constitution clearly requires:
- Annual general meetings within five months after each financial year ends
- An executive committee of between six and ten members
- At least four office bearers and no less than two general members
Instead, only four members comprised the former executive committee that recently stood down.
Widespread Impact on Canberra Football Community
The collapse affects approximately 1700 community league players and 300 NPL players across Gungahlin United's programs. The interim executive made the difficult decision to cease operations immediately to allow NPL players time to trial with other clubs before 2026 squads are selected.
Capital Football ultimately revoked Gungahlin United's NPL licence completely after the club declined to provide revised financial forecasts that excluded NPL teams. The interim executive determined it wasn't feasible for the community arm to continue operating while burdened with massive debt and limited revenue potential.
The club owes more than $180,000 in unpaid sportsground hire fees to the ACT government and had not been meeting payment plan obligations. Additional complaints emerged about NPL squad members allegedly not receiving payments they were owed.
Nominated liquidator Eddie Senatore brings significant experience to the role, having handled the Canberra Cannons collapse in 2002 and maintaining connections to Canberra's soccer community as a former coach with several local clubs.
The November 25 meeting represents the final chapter for Gungahlin United Football Club, leaving Canberra's football community to grapple with the loss of a major sporting institution and unanswered questions about how such significant financial mismanagement could occur.
