Ruling opens door to sale of Newcastle United

Oct 3 2009 by Stuart Rayner, The Journal

Although yesterday’s ruling could not be described as the best case scenario for United, whose £2m counter-claim for breach of contract was dismissed out of hand, it is not far off.

There had been rumours that Keegan refused a £4m settlement to stop the case going to arbitration, but the former England manager denied this in a statement on the League Manager’s Association website reflecting on the tribunal’s outcome.

The scathing assessments made by the three-man panel made up of two QCs and long-serving former Manchester United secretary Kenneth Merrett were a further blow to the credibility of the Magpies hierarchy – although if the ownership of Newcastle United was decided on popularity, Ashley would long since have relinquished it.

Most damaging was the revelation that United repeatedly lied about Keegan’s responsibilities with regards to selling players – the crux of the case – in interviews in independent and official club publications. The tribunal noted the club’s claim “that they were nothing more than an exercise in public relations carried out so as not to undermine Mr Keegan’s position”, adding “we do not understand why the club could not set out publicly and truthfully what they maintain was the true position” or explain its actions to Keegan.

The dispute centred around whether Keegan resigned or was effectively pushed out of his job last September. Keegan claimed he had been promised the “final say” on all transfers, Ashley countering that although never explicitly stated, it was “blindingly obvious” this was not the case. The tribunal found in Keegan’s favour.

Matters came to a head with the loan signing of midfielder Ignacio González, made despite Keegan’s disapproval and no one at the club ever having watched him play. Executive director (football) Dennis Wise told Keegan to watch the Uruguayan on the You Tube website, something Keegan felt in the words of the tribunal “provided no proper basis for signing a player to a Premier League club” and a move explained to him as a “favour” to “two influential South American agents”.

During a one-year stay on Tyneside which earned him £1m in wages, González was available to two managers (he was allegedly injured throughout Joe Kinnear and Alan Shearer’s tenures), but made just two substitute appearances.

In his statement Keegan added: “There are a number of technical issues that still need to be resolved by the tribunal.”