Exclusive: Leeds will not seek world title despite Melbourne Storm's salary cap cheating

The National Rugby League have stripped the Australian champions of their 2007 and 2009 premiership titles after they were found guilty of systematic breaching of the salary cap by a total of 1m over the past five years.

Melbourne – who defeated Leeds in the World Club Challenge in February –have carved out a reputation as the game's finest after reaching each of the last four Grand Finals.

Peacock admitted: "Everyone had them down as the benchmark side but they have cheated. It's that simple and it is disappointing.

"It takes a lot of the shine off what Melbourne had achieved.

"I don't know how much some people were aware of it all but it would be interesting to find out."

Many had wondered how the club could afford to retain so many of the game's superstars, such as Australia hooker Cameron Smith, Golden Boot winner Greg Inglis, Kangaroos full-back Billy Slater and Cooper Cronk, but now it has become clear.

The NRL ruled Melbourne will accumulate no competition points for the entire 2010 season and they will lose out to the tune of 1m in fines and returned prize money.

That includes 50,000 they collected for beating the Rhinos which the RFL are now looking to retrieve.

In the pre-match build-up, Leeds chief executive Gary Hetherington said that would be shared among the players if they won so Peacock and his team-mates may receive an unexpected windfall.

However, the England captain does not want to see the Yorkshire club installed as champions.

"You can't go back and claim the title; once a game is lost, you've lost it," he said. "I agree about the money – why should Melbourne get 50,000? – but it would be better if no one is named World Club Challenge winner for 2010 rather than us get it by default.

"I know the lads in the dressing room don't want it."

Hetherington reinforced that view, adding: "The punishment in Australia has seen Melbourne stripped of their titles in their domestic competition but those titles have not been awarded to the teams they beat.

"I think that is correct but what today's announcement does do is elevate the achievement of Leeds Rhinos."

The scandal was apparently uncovered by a tip-off from bookmakers who had taken a series of bets on Melbourne to finish the season with the wooden spoon.

The 600,000 the Storm earned in prize money will be distributed evenly between the other 15 NRL clubs while coach Craig Bellamy said he was "heartbroken" by yesterday's revelation.

NRL chief executive David Gallop called the cheating "elaborate" and "extraordinary", revealing details of how the Storm kept two different sets of books to conceal the breach.

Bellamy admitted news of the deception had come as a shock to him and his players but pledged to continue in his job.

Chairman and chief executive of club owners News Limited, John Hartigan, pointed the finger of suspicion at former Melbourne chief executive Brian Waldron, who ran the club from November 2004 to January this year when he quit to join Super 15 newcomers the Melbourne Rebels. Waldron has refused to comment.

In Super League, only minor breaches have taken place, the biggest seeing Wigan docked four points in 2007 after exceeding the cap by 220,000 the previous year.

Bradford Bulls had two points deducted the same season for a marginal over-spend but Melbourne's acts have stunned the rugby league world.