Royal AM Faces Financial Crisis: Court Orders Sale Amid Debt and Uncertainty

• A court ruling has mandated the sale of Royal AM to settle a R40 million debt owed by owner Shauwn Mkhize
• The club is facing significant financial instability, with overdue wages and the threat of liquidation looming
• The Premier Soccer League has suspended all fixtures involving Royal AM, intensifying uncertainty around the club’s future.

The future of Royal AM Football Club has been thrown into disarray after a court ruling in Pietermaritzburg mandated that the club be sold to settle a crippling R40 million debt owed by its owner, Shauwn Mkhize.

The club, currently competing in the Betway Premiership, is facing severe financial instability after an extensive battle with the South African Revenue Service (SARS) over tax irregularities.

Court Ruling Forces Sale Amidst Financial Woes

The club’s financial turmoil has reached new heights, with a court ruling forcing the sale to settle the R40 million debt.

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According to IOL, the financial struggles worsened after SARS seized assets, and a curator was appointed to oversee the club's management.

This move has paved the way for the sale, but it remains uncertain whether Mkhize can avert liquidation or a forced sale.

Frozen Accounts and Delayed Salaries

The ongoing crisis has resulted in frozen accounts and delayed salary payments. While some staff members have returned after receiving overdue wages, many players are still hesitant to resume training due to the looming threat of liquidation.

The uncertainty surrounding the club’s future has left both players and staff in a state of limbo.

PSL Suspension and Expulsion Threats

In response to the financial instability, the Premier Soccer League (PSL) took the unprecedented step of suspending all fixtures involving Royal AM.

This has added to the frustration of supporters, who are left waiting for clarity on the club’s fate. Some league teams are calling for the immediate expulsion of Royal AM, citing the reputational harm caused by the ongoing crisis.

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Struggling on the Pitch

On the pitch, Royal AM is struggling, currently sitting at the bottom of the Betway Premiership standings.

Their most recent defeat, a 3-1 loss to TS Galaxy, added to their woes, with the team managing just eight points from 11 matches. Their lack of form mirrors the challenges the club is facing off the pitch.

Uncertain Future Ahead

Despite the court ruling, there remains hope that the PSL will grant Royal AM time for a sale before making any final decision on expulsion.

This uncertainty has left fans and stakeholders anxious about the future of one of South Africa’s more prominent football clubs.

As the financial crisis continues to unfold, the football community watches closely, with Royal AM’s fate hanging in the balance.

Will the club be sold, or will the court's decision lead to its demise? Only time will tell.

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Here are some reactions from fans on X: @Khanyisile Ndzakana:

Entrepreneurs from Bloemfontein please buy this Royal AM. It would boost the economy of Bloemfontein to have Celtics back to the PSL."

@siyabulelatonon:

There's nothing sad about the death of Royal AM. This is the same club that gave players bonuses ka di brown envelopes. The same club that insults pro footballers by fielding Andile Mpisane. Their death is to be celebrated, if you ask me."

@Mosarwane:

Why should we cry? We hated Royal AM the day they brought Celtics' status."

Nedbank Cup Quarterfinal Draw

As reported by Briefly News, the Nedbank Cup quarterfinals draw, made on 17 February 2025, has set up some exciting matchups. Defending champions Orlando Pirates will face SuperSport United, while Kaizer Chiefs are drawn against PSL rivals Stellenbosch FC.

Pirates secured their spot with a hat trick from Tshegofatso Mabasa against Baroka FC, and Chiefs advanced after a 3-0 win over Chippa United.

Source: Briefly News