Yep thought so, just found this in the Echo.
http://icliverpool.icnetwork.co.uk/0500liverpoolfc/0100news/tm_objectid=16607258%26method=full%26siteid=50061%26headline=benitez%2drefused%2dto%2djoin%2dwalcott%2dauction-name_page.htmlRAFA BENITEZ has explained why he wasn't prepared to join an auction for the services of Southampton wonderkid Theo Walcott.
The 16-year-old was today on the verge of joining Arsenal in a deal believed to be worth £12m.
Having tracked the youngster for a year, Benitez is disappointed the Gunners moved into pole position in the race for his signature.
The Spanish boss believed Walcott's original first choice was a transfer to Anfield, but it seems the youngster hasn't withstood the pressures put upon him to move for an extraordinary fee If Walcott didn't leave during this transfer window, Southampton wouldn't receive anything like the value they've agreed with Arsenal.
Benitez was hoping to swoop for Walcott in the summer for a compensation fee of around £3m.
Benitez says if Walcott truly dreamed of playing for Liverpool, as has been suggested, he could have made it happen if he and his family held their nerve.
"We know Walcott is a good player and his family say he's a Liverpudlian, but if he's decided to go to another club, we can't do anything about it," explained Benitez.
"If a player says he wants to go to a particular club, it must not be the agent who decides what that player should do. It always depends on the players.
"Walcott is a player I like, but the final decision about which club he joins is his.
"If the player decides to go somewhere else, maybe it's better for us."
Only a dramatic, late U-turn from Walcott is likely to prevent a deal with Arsenal proceeding today.