Manly have sacked assistant coach Willie Peters after an altercation with the club’s high-performance director Dan Ferris.
Peters, a former South Sydney and St George Illawarra halfback, was involved in a fight with Ferris outside a pub in The Rocks on Wednesday night.
The pair were spoken to by police, with Peters issued with an infringement notice for offensive behaviour.
However the disagreement has now cost Peters his job at Manly, after the club launched an investigation on Thursday.
“The Sea Eagles will not tolerate misconduct and expect all employees to represent the club at the highest standard,” Sea Eagles owner Scott Penn said.
“All employees agree to the club’s code of conduct and know what is expected of them.
“We must uphold these standards and will not accept any avoidable breach of them.”
Peters joined the club at the end of last season from the Wests Tigers, and also had coaching experience with the Rabbitohs’ junior teams.
A statement from the Sea Eagles on Friday also said that Ferris had been sanctioned but they considered the matter closed.
The incident came just four days after Manly’s NRL season was controversially ended 22-10 by Penrith at Allianz Stadium in last Saturday’s elimination final.
The club was also served with a $20,000 fine after the match by the NRL, following comments made by coach Trent Barrett against the referees.
They have until Tuesday to appeal the fine.