Also during the pre-season on 13 February (the same date of the Charity Shield) the All Stars match will be played originally consisting of the following Rabbitohs; Greg Inglis, Alex Johnston, Chris Grevsmuhl (Indigenous All Stars) and Sam Burgess, Tom Burgess (World All Stars). However, as of 9 February, Johnston and Grevsmuhl withdrew with injuries and Sam Burgess chose not to participate. Adam Reynolds has since been added to the World All Stars team.
Auckland Nines
South Sydney started the year with the 2016 NRL Auckland Nines. They were captained by 2014 Premiership winning captain John Sutton. This years nines tournament saw Damien Cook, Michael Oldfield, Hymel Hunt and Cody Walker make their rabbitohs debuts along with a number of under South Sydney NYC players playing. South Sydney started with a win over the Sydney Roosters, Souths won the match 14–13 to extend their Nines winning streak to 7 strait matches. Alex Johnston, Kirisome Auvaa and Michael Oldfield scored tries with new recruit Damien Cook kicking the winning goal. South Sydney then faced the Melbourne Storm where they lost 18–12. John Olive, Hymel Hunt and Damien Cook scored tries in the match. On day 2 of the nines, Souths needed to either beat or draw with eventual champions the Parramatta Eels. Souths lost the game 24–11 with Bryson Goodwin and Cameron McInnes scoring tries along with a goal from Damien Cook.
In January, Keary was involved in an ugly bust-up with actor and Rabbitohs club co-owner Russell Crowe in a boozy pre-season bonding session at Crowe's farm in Nana Glen, New South Wales. It was revealed that Keary was furious at Crowe after he berated him, Cameron McInnes and some of the younger players. Keary defended them then Crowe told him that he not worth the money of his contract, sending Keary into a rage towards Crowe then at senior Rabbitohs leader Sam Burgess for reportedly not sticking up for the younger players. After that he was ordered by Crowe to leave his property, so left catching a taxi at about 3:00am.[21][22]
Keary later signed a contract to join rivals the Sydney Roosters from the start of 2017.
Chris Grevsmuhl walking out on the Club
In January, it was revealed that Grevsmuhl had signed a 2-year contract with the Penrith Panthers starting in 2017.
On 20 May, Grevsmuhl joined the Panthers mid-season after being released from the remainder of his Rabbitohs contract.[23] He said that he was unwilling to play under Rabbitohs coach Michael Maguire any further. Grevsmuhl said, "He’s a mind-game specialist. He breaks you down mentally. He questioned why I was there, the effort I was putting in, and questioned why I was talking to other clubs.[24]
Kirisome Auva'a Sacking
On 13 July 2016, Auva’a was sacked by the Rabbitohs for a second breach of the NRL’s Testing Policy for illicit substances. While Auva’a, did not return a positive test for an illicit or hazardous substance in this instance, he contravened the rules as set out in the NRL Policy. Under the terms of the policy, the Rabbitohs had the right to terminate the troubled star’s contract for a second breach. In a statement released on Thursday afternoon, South Sydney said they would “continue to offer welfare assistance and support to Kirisome”.[25][26]
Paul Carter Sacking
In July 2016 (while contracted with the Rabbitohs) Carter was sacked because he failed to attend a training session following a weekend bender.[27] This was not Carter's first breach of conduct with the club.
Following Carter's sacking by the Rabbitohs, he checked into an alcohol rehabilitation centre in Thailand.[28]