Former Newcastle United manager Kevin Keegan has won £2M compensation plus interest, in damages from a Premier League arbitration panel, after his constructive dismissal claim against Newcastle United of £10M.
Kevin Keegan – gets £2M plus interest sttlement
We estimated earlier this morning that Kevin would get £3M – but this is good news for the Newcastle club, and a takeover could well now go ahead with Barry Moat in a good position to buy the club.
Announcing its decision, the panel said in a statement:
“We declare that Kevin Keegan was constructively dismissed by Newcastle United Football Club Ltd, for which Newcastle United Football Club Ltd must pay to Kevin Keegan damages in the sum of £2m plus interest to be assessed if not agreed.”
“We are satisfied that Mr Keegan left the Club (i.e. resigned) because the Club sought to impose upon him a player, namely Gonzalez, whom he did not want, in breach of the term in his Contract which we have found entitled and required him to have the final say.”
“This was his evidence, which we accept, and it is supported by the timing of his resignation.”
Here are the main findings of the ruling:
- Keegan was awarded £2m, having claimed for almost £25
- The Ignacio Gonzalez transfer was the straw the broke the camel’s back for Keegan. He was told to watch the player on You Tube by Dennis Wise, according to the Tribunal.
- According to witnesses to the tribunal, the club did the Gonzalez deal as a favour to two South American clubs.
- The tribunal was told that Keegan knew that Dennis Wise was coming in and he’d have final say on transfers.
- Gonzalez – despite costing £1million in wages – was never expected to play in the first team.
- Keegan always had a rocky relationship with Dennis Wise and Jeff Vetere – despite the club consistently denying it in their official publications.
- The club claim it was “blindingly obvious” from his contract that Keegan not get final say on transfers – although the Tribunal rejected that.
- The Tribunal condemned the club for lying in public statements about Keegan’s role – saying it was “storing up trouble” for the future
- Both parties wanted the judgement to be made public – and Keegan is now free to talk about his final days at St James’s Park.
We’re glad this is now behind the club, and we can move forward again to bigger and better things.
Since Kevin left the club last September, it’s been the worst 12 months in Newcastle’s long and illustrious history, but there are now some green shoots showing through, as Newcastle are 3 points clear at the top of the Coca Cola Championship.
For the good of the club, we have to hope that Newcastle can be sold shortly, so that Mike Ashely’s absolutely disastrous reign at Newcastle ends – and as far as we are concerned – the sooner the better.
Comments very welcome.