Melbourne Storm has been stripped of two championship wins by Australia's National Rugby League (NRL) after the club was found to have breached a salary cap.

The club spent at least AU$1.7m (£1m) more than was allowed on player wages over a five-year period, and will lose its 2007 and 2009 Telstra Premiership titles as a result. In addition to being stripped of its titles, Melbourne Storm will be forced to pay a fine of AU$500,000 (£300,000) and to repay the AU$1.1m (£659,600) prize money it received during the period.

The prize money will be redistributed among the 15 other clubs competing in the Telstra Premiership, while points accumulated by Melbourne Storm during the 2010 season will be removed. Points gained during the remainder of the season will also not be awarded. NRL chief executive David Gallop said: "While the amount itself is cause for concern, the most damning indictment is the systematic attempt by persons within the club to conceal payments from the salary cap auditor and, it would now seem certain from the club's board and from its owners, on an ongoing basis."