Covid-19: USA Rugby files for bankruptcy, recovery plan to be overseen by World Rugby

"Due to the current suspension of sanctioned rugby activities caused by the ongoing Covid-19 pandemic has accelerated the existing financial challenges facing the Union, USA Rugby files for bankruptcy as a result of compounded and insurmountable financial constraints," said the governing body of American rugby on 30/03/2020.

"Given the ongoing financial challenges following a 2019 budgetary overspend, the unplanned loss of income advanced an insurmountable cashflow deficit and immediate action needed to be taken in order to sustain operations within USA Rugby and the rugby community," continued the body which had suspended its competitions for "a 30-day period" on 13/03 and then indefinitely on 20/03/2020.

"Throughout this process, USA Rugby will retain procedure of the reorganisation over a 30-day period where World Rugby and other creditors will need to review and endorse final court-approved restructuring plans," explained USA Rugby which, after already having almost filed for bankruptcy in 2018, announced "a significant financial loss in 2019" on 27/11/2019.

"We hope that what…