A coalition of disgruntled National Basketball League (NBL) franchise owners is publicly demanding the release of a confidential report commissioned by Basketball Australia (BA) concerning the league’s governance and its majority owner, Larry Kestelman. The group has formed an independent owners’ association, signaling a significant move to gain a formal voice in the sport’s direction.
Formation of Owners’ Association
The newly established Professional Basketball Club Owners Association includes prominent franchises such as the South East Melbourne Phoenix, majority-owned by US-based Romie Chaudhari; the Perth Wildcats, led by Mark Arena; and the Illawarra Hawks, whose ownership group includes US billionaire Jared Novelly. Novelly also serves as the chief of Crest Sports and Entertainment and holds the position of US Ambassador to New Zealand under the Trump administration.
A spokesperson for the association stated that its primary objective is to secure a formal voice and voting rights for club owners in league governance. A key demand is the public disclosure of a report prepared by former solicitor-general Justin Gleeson, SC. The NBL has previously stated that this report cleared Kestelman of any alleged wrongdoing, but has withheld its full public release due to confidentiality clauses.
Calls for Transparency and Shared Goals
The owners’ association views its formation as a constructive step toward strengthening Australian basketball. “We see this as a constructive and collaborative initiative that will strengthen the sport by bringing together owners, the NBL, Basketball Australia, the players’ association and other stakeholders in pursuit of shared goals,” the spokesman explained. “As a first step, the association is calling on Basketball Australia to release the Gleeson report in full. The association believes full transparency is in the best interests of the game in Australia.”
The group emphasizes that clubs, owners, players, coaches, communities, and fans all have a vested interest in the findings of the report, which is expected to shape the future governance of the sport. They believe that releasing the report is crucial for building the trust and confidence necessary for the game’s advancement.
Confidentiality and Stakeholder Involvement
Basketball Australia has consistently cited confidentiality as the reason for not releasing the Gleeson report. When approached for comment, BA directed inquiries to a third-party public relations firm. Information suggests that the Australian Sports Commission, which provides funding to BA, has been briefed on the report’s contents but has not received a copy. The office of the Sports Minister, Anika Wells, has also confirmed that her department has not been provided with the report.
Sport Integrity Australia declined to comment on the matter. The NBL has been contacted for comment regarding the owners’ demands.
Underlying Disputes and Legal Actions
The formation of the owners’ association comes amid ongoing disputes between the Phoenix, Wildcats, and Hawks, and Larry Kestelman concerning the NBL’s governance and financial transparency. These disagreements reportedly involve the licensing agreement for the Tasmania JackJumpers and have led to several legal and mediation processes. These include a case before the NSW Supreme Court, separate mediation concerning $1.5 million in alleged travel and flight costs, and an appeal lodged with the sport’s international governing body, FIBA.
In response to these actions, the NBL has initiated proceedings through the Court of Arbitration for Sport. The league maintains that the clubs’ claims are unfounded and points to the BA report as evidence that Kestelman and the league have acted appropriately. The seven-month independent investigation by BA’s integrity unit had previously dismissed a formal complaint lodged by Jared Novelly, though the full report’s non-disclosure remains a point of contention for the three clubs.
Owner Perspectives on League Future
Mark Arena expressed hope that the new owners’ association would foster improved relationships within the league. “I look forward to the club owners association facilitating better relationships between club owners and other parties,” Arena stated.
Romie Chaudhari also voiced concerns regarding potential league expansion. He indicated that the majority of current owners are not in favor of adding an 11th franchise, a move reportedly being considered by the NBL for locations like the Gold Coast or Canberra. Chaudhari, a prominent real estate entrepreneur and investor who also co-owns the US soccer club DC United, emphasized that this stance has been communicated to the NBL through various channels.
The Role of Owners in NBL Development
The owners’ association spokesperson highlighted the significant financial investment and crucial role club owners play in the professional basketball ecosystem. “Owners play a central role in building and sustaining the clubs that fans connect with, yet, until now, have had no formal mechanism to contribute to discussions about the future direction of the sport,” the spokesman said. “The formation of this association is about ensuring those responsible for much of the long-term investment in basketball have an appropriate voice at the table.”
Larry Kestelman acquired majority ownership of the NBL in 2015 and is credited with revitalizing the league. Recent reports indicate that the Melbourne United franchise has achieved a valuation of $50 million. Additionally, Nine, the owner of the publication that originally reported this story, is set to become the league’s free-to-air broadcast partner starting in the 2026-27 season.
