For over a year, there has been movement in relation to the administration of cycle sport in Australia. Much has been reported on the AusCycling proposal and today WestCycle has issued a statement, raising concerns about the process.
“Cycling Australia’s continued lack of engagement with members collaboratively is reflective of how the AusCycling process has been managed over the last two years,” says WestCycle CEO Matt Fulton, “and will likely continue to be managed into the future.”
WestCycle has advised members of the course of action it will be taking and there has been correspondence with Cycling Australia about issues relating to a general meeting scheduled for Saturday 19 September.
– Below is the release from WestCycle. –
Cycling Australia General Meeting to Vote on AusCycling
Today WestCycle has written to the Board of Cycling Australia to inform them of deficiencies in their Notice of General Meeting dated 28th August 2020 and we immediately call on Cycling Australia to cancel the pending General Meeting and follow the appropriate processes provided for in the Constitution and the Corporations Act.
In summary the issues with their notice include:
- It does not provide adequate and current information for Members to make an informed decision
- It results in a defacto winding up of Cycling Australia without outlining the consequences for Members who vote for or against it;
- The Cycling Australia Board has not expressed a view on what is in the best interests of members of Cycling Australia;
- The resolutions are oppressive to, unfairly prejudicial to, and unfairly discriminatory on the Members not in favour of the accompanying resolutions and are open to challenge in court.
Cycling Australia must now cancel the General Meeting scheduled for Saturday, September 19th 2020, address the deficiencies in the notice and re-engage with WestCycle in a meaningful way in order to continue the discussions relating to AusCycling.
Of primary concern to WestCycle is the failure of Cycling Australia to provide meaningful and required information for a decision to be formed by members. The State Member bodies of Cycling Australia are being asked to wind-up Cycling Australia, and agree to establish AusCycling, with no detail or information to inform this decision. This is concerning, not only in context of this current decision but as a sign of intent on how AusCycling intend to operate into the future.
“The latest financial modelling provided was compiled in October 2019, using assumptions as far back as 2017. Since that time the economy has significantly changed, as have the financial positions of many organisations involved, to request a decision of such significance is made based on this information is one that no sensible or well governed organisation would make in any industry.”
“Given AusCycling goes live in less than a month, it is incumbent on Cycling Australia to provide the required information for an appropriate process of evaluation to be conducted prior to a vote being held. This information must include details such as the most current constitution, updated financial modelling, membership fees; event fees and charges, club affiliations fees; management structures and transition plans.”
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