if the contract is not signed then they clearly cannot now go ahead. If it is signed then they would need to invoke the likely ‘bringing the club into disrepute’ clause.
If there is no such clause then someone has screwed up and it will be expensive.
Whichever way you look at it this guy cannot take over at the Phoenix.
The only way this makes sense is if you are trying to have him fired from the Victory. If they really tried to get rid of him, which they clearly don't (even Muscat said "I hope JP will be excused, heat of the moment", etc), then they may consider it a valid reason to fine him.
As for the Phoenix, I simply hope the contract has not been signed. Even if there is such "disrepute" clause in the - hypothetical - Welnix contract, then it simply could not be invoked in this case, since there was no official announcement, and press speculation does not count. What would be the trigger for this clause to be invoked? That his name appeared next to Nix name in the same sentence in the media? Pretty embarrassing for us, I know, but not enough.
Embarrasing for us sure, I only wish it would be equally embarrassing for the media moguls who ran with the story when it turns out to be false.
At best he is likely to be fined by FFA for bringing the game into disrepute, but no more than that. I agree with everyone that he would clearly be a hot potato for us, as the media would portray him as a liability and blame us for taking him on. He is simply not the best choice at all now, for many reasons.
If it is not Gombau, Poppa, Van Egmond or Farina, I would actually rather consider Paul Okon, since everyone in Oz wishes him well (in general), and he already knows how to coach cellar dwellers (motto: "lower your expectations"). Gary van Egmond was not a bad coach but then I do not know how Welnix arrives at the decisions that they make.