PSL Faces Pressure to Resolve Royal AM Saga Amid Sponsorship Concerns

The Premier Soccer League (PSL) is facing mounting pressure from sponsors and stakeholders to make a decisive ruling on the future of Royal AM, as the club remains under financial turmoil and curatorship by the South African Revenue Service (SARS).

Royal AM’s Tax Woes and PSL’s Demands

The Durban-based club, owned by businesswoman Shaun Mkhize, reportedly owes SARS around R40 million. As a result, the PSL requested financial guarantees from the SARS-appointed curator, ensuring that Royal AM could meet its financial obligations to players, staff, and service providers. However, the league has yet to receive a “letter of comfort” from the curator, which has led to the suspension of all Royal AM fixtures until further notice.

Legal Battle and PSL’s Scheduling Crisis

Desperate to resume matches, Royal AM took the matter to the North Gauteng High Court, seeking an order to force the curator to cooperate with the PSL. However, their application was dismissed as frivolous, leaving the club in limbo.

The situation has created a major scheduling headache for the PSL, with Nedbank Cup fixtures severely impacted. The round of 32 match between Royal AM and Milford FC has yet to take place, delaying the round of 16 fixture between Sekhukhune United and the eventual winner.

With the quarterfinal draw scheduled for Monday, sponsors such as Nedbank are growing concerned about the tournament’s credibility. If a resolution is not reached soon, Sekhukhune United’s potential quarterfinal opponent will remain unknown, an unprecedented and unfair scenario for a team trying to prepare for the next stage.

League Matches Piling Up

Beyond the Nedbank Cup, Royal AM’s league campaign is also in jeopardy. Their upcoming DStv Premiership clash against Richards Bay FC on Tuesday is at risk of postponement. If that happens, the club will be seven games behind the rest of the league, making fixture congestion an even bigger issue.

PSL Running Out of Time

The PSL’s delay in making a definitive ruling on Royal AM’s status is raising serious concerns among sponsors, broadcasters, and advertisers. With fixture rescheduling adding costs and logistical complications, the league will have to act swiftly to prevent further embarrassment.

A final decision on whether Royal AM will continue as a PSL member club is expected imminently, as the situation has spiraled out of control. If the club fails to meet the league’s financial requirements, expulsion from the PSL remains a real possibility.