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Royal AM’s legal challenge against PSL, SARS & curator rejected

Royal AM’s legal challenge against PSL, SARS and the curator has been rejected with the club fighting to participate in the Nedbank Cup and 2024/25 Betway Premiership remaining fixtures.

Thwihli Thwahla have been under curatorship since January 2025 after the South African Revenue Service [SARS] obtained a preservation order over the club’s assets. 

This arose as a result of the reported outstanding debts owed by club president Shauwn Mkhize to SARS.

Meanwhile, Premier Soccer League [PSL] also took the decision to suspended Royal AM from both the Nedbank Cup and the Betway Premiership “until further notice”, citing the club’s inability to guarantee its financial solvency and meet its future commitments for the 2024/25 season.

In an effort to return to action, Royal AM filed an urgent court application seeking an order compelling the curator to issue a letter of comfort to the PSL, thereby confirming their capacity to fulfill their fixture commitments.

Furthermore, it appears the club also requested the court to force the PSL to allow them to participate in the 2024/25 remaining fixtures.

The PSL, curator and SARS together opposed Royal AM’s urgent application. And according to SARS statement, the court heard the matter on 5 February. They dismissed Royal AM’s urgent application due to a lack of urgency.

The club’s fixtures remain suspended by the league’s mother-body.

Royal AM taking a team picture ahead of Mamelodi Sundowns clash
Royal AM taking a team picture ahead of Mamelodi Sundowns clash – Picture courtesy of Royal AM

COURT RULES AGAINST ROYAL AM IN LEGAL BATTLE AGAINST PSL, CURATOR & PSL

“On 29 January 2025, the Club instituted action against the curator, SARS and the NSL by way of an urgent application,” SARS stated in a statement.

“The application sought the court to direct the Curator to issue a letter of comfort to the NSL, guaranteeing the Club’s financial ability to fulfil its league fixtures. The application also sought to review the Curator’s decision not to issue the letter of comfort as irrational, unreasonable and unlawful. 

“In the alternative, the Club requested the court to compel the NSL to allow the club to play the remainder of the football season’s league and Nedbank Cup games.

“SARS, the curator and NSL opposed the urgent application. The matter was heard on 5 February 2025 and struck from the roll for lack of urgency, with costs.

“The court was satisfied that the Club had failed to meet the test for urgency as set out in the court’s practise note. The court stated that procedures and practice notes are not there for the taking; an applicant needs to set out facts showing why the matter is urgent.

“The urgency was self-created as the Club was aware of its precarious position vis a vis the Curator’s inability to provide a letter of comfort to the NSL, way before it elected to launch the urgent application The court did not deal with the merits, and because of the court’s ruling, the Club remains suspended from the NSL.”

RELATED STORY: PSL suspends Royal AM matches amidst financial turmoil 

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