Incorrect imo. I have heard, on a few different occasions, Moyes mention in interviews how much of a leader Neville is in training, always hungry, tries to get the best out the players etc. Moyes was intimating that Neville is "his mouthpiece on the field" as it were. If he is good enough for Moyes, he's good enough for me.
Against City however (having thought about it a bit more), I would put Hibbert at Right Back and Neville in the middle of a 5 man midfield, leaving Moyes with an extra midfield option (i.e. hibbert off, manny on, neville to RB?)
As a side note, I reckon Phil Neville will be a great manager when he retires from playing.
Roy Keane is a leader, Gerrard is a leader. Neville falls well short on both counts. Whoopee the lad can shout, pity he has got no footballing ability as for the managers job, well thats just ridiculous