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Cronulla face a $10,000 fine after being issued with a breach notice for using an unregistered player, Laloa Milford, during last Sunday's National Rugby League clash with Newcastle.
The NRL says Milford received a clearance to play from his previous club but had not been registered with the Sharks. Cronulla has five working days to respond to the breach notice.
It is the last thing the Sharks need after being relegated to the bottom of the NRL ladder as the only team not to have won a game after six rounds.