Comment on Why the Beast of Armageddon Failed to Show? by Johnbhoy75 (@Johnbhoy75).
Tom English has a point, I’m afraid.
This and the RTC blog became bogged down with a smug righteousness, groupthink and logical analysis came to be replaced by wishful thinking and conspiracy theories. Any dissenting opinion was rewarded by a flurry of TDs and the author denounced as a troll.
Examples of wishful thinking that did not and will not come to pass:
Various SFA/SPL rules will lead to the expulsion of Rangers (oldco)
UEFA and FIFA will step in to punish RFC
Lord Glennie’s ruling will cause FIFA to expel RFC
There is a Nuclear event (like Hitler’s secret weapon at the end of the war) that will bring down everything. From my own discussion with barcaboy on the old RTC site it transpires that this is mostly about payments to ex managers at other clubs and BB had a misunderstanding of the mechanism of the EBT. Redknapp’s dog would attest that bungs to managers are hardly nuclear events these days.
Greens consortium will not be allowed to buy the assets of Rangers if the CVA is rejected
BDO will unwind the sale to CG
Green is a frontman for evil genius Craig Whyte
Whyte is a frontman for evil genius Minty
Ticketus is still involved (why oh why do people give oxygen to the theories of a particular poster whose obsession is this wild conspiracy)
Sevco are desperately short of cash and close to administration.
The FTT defeat was an HMRC trap so that they could set precedent in the UTC
BDO will reclaim the loans from various players.
The SFA will have no choice but to expel sevco after the LNS report.
None of the above has or will happen I’m afraid. Wishful thinking and TUs will not make it so. What I think will happen will be more or less (and it’s not all bad):
HMRC may or may not appeal. Hard to say. 50/50. They probably don’t know themselves yet.
BDO will not get much joy for the creditors. However Whyte will be everyone’s fall guy. Minty et al will get off chastised but essentially Scott free.
Ticketus will attempt to get recompense from Whyte and Collyer Bristow. They won’t get much if anything. However they don’t care. It is tax payers via EIS who lose out.
D&P will try to keep their heads down.
LNS will give some rudimentary punishment to Sevco but will possibly bottle the stripping of titles.
League reorganisation will give Sevco one less year away from the top flight (i.e. 2 seasons instead of the current 3 if they get promoted each season)
The share offer will raise a slightly disappointing £15M for 50% of the company, most of which will go into repaying the initial £8M to £11M “start up” loans from the CG consortium who will still be left holding 50% of stock – this will be their profit – and will be released by selling their shareholding over a period. I think they genuinely believe that a well run sevco would be worth as much as £50M in 5 years time or at least as much as Celtic (£35M). However post the IPO I believe the shares will drop by 50% or so and value the company at a more realistic £20M given where they are and what Celtic’s value is. It will not recover.
Over time the bears will become bored with the redemption story and the large number of them who support the club for reasons of the feeling of supremacy (footballing or otherwise) will drift away. The new Rangers will be caught in a vicous spiral in that the absence of trophies, lording it over the rest of us and landmark signings will cause many to walk away over time thus reducing revenues thus in turn further inpairing the ability to make those signings and compete. The patience for the bluster from CG will run out. They will reach an equilibrium at about the 25,000 crowd level and will have to cut their cloth accordingly. Perhaps like Leeds United their return to the top will not be so straightforward and they may miss a promotion or two.
Johnbhoy75 (@Johnbhoy75) Also Commented
Why the Beast of Armageddon Failed to Show?
A lot of wishful thinking here tonight regarding BDO calling back the loans. It’s not going to happen I’m afraid.
Rangers paid the remuneration into the trust. The players are the beneficiaries of the (sub)trust(s). The player instructs the trustee to lend them an amount from the trust fund. This amount is usually identical to the amount of promised remuneration (as stated by Dr Boon). The trust is legally completely at arms length from Rangers.
The two learned gentlemen were of the opinion that the loan can be called back by the trustee at any time or at death. Strictly speaking, and in law, this is true, notwithstanding the hazy understanding of Ms Crimson, the trustee. Rae and Muir were of the opinion that upon death, the beneficiaries’ family, now as the beneficiaries themselves, would recall the loan, and thus reduce the dead players estate for inheritance tax. Afterwards they would be free to make themselves a new loan, or buy property etc with the trust fund.
A trust is a perpetual device. The only drawback are the annual fees to the trustee which are around 2 to 3 grand a year. Income Tax and NICs only crystalises when the trust is unwound or the monies paid out of it. The beneficiary would be hoping for an limited term liability or amnesty.
EBTs in general, and this rangers one in particular, make a sham out of trust law – which can have benign uses. However there is some legal merit – in a technical sense – of the view Rae and Muir took. However, if their ruling does stand, and I would like to see it rigorously challenged, then BDO/oldco have no more claims over those loans than do you or I.
Recent Comments by Johnbhoy75 (@Johnbhoy75)
Scottish Football and the case for a Bismarck!
SFA licences and footballing matters aside – hasn’t there now been a massive defrauding of UK tax payers and a whole host of creditors? Essentially RFC, directors thereof, and their associates put assets beyond creditors.
Notwithstanding HMRC foolishly giving their blessing to football continue to be played at Ibrox, why are they or BDO not pursuing this obvious scam. Why is this not a matter for the police or the SFO?
Everything Has Changed
I would agree that the “nuclear” info became a key article of faith on the old RTC board. That it was further endorsed by RTC himself lent more weight to it.
It emerged in the days following the second Mark Daly documentary when a partial list of EBT recipitants was released. I recall posters trying to coax it out of BB:
Were EBTs given to referees? No
Was RFC laundering money for Ulster paramilitiaries? No
Match fixing? No
Any of the above would have been truly nuclear.
No it turned out that the info was about payments to two, maybe three former managers who were no longer employed by the club, but allegedly received payments for “services” rendered, i.e. bungs for purchasing donkeys from RFC at rediculous prices.
Unfortunately in light of many scandals involving football managers and bungs, this story is hardly nuclear, and got little traction.
If this is not the essential nature of the “nuclear” info then please deny it, BB.
Everything Has Changed
Basically it transpired that the nuclear info was essentially that Souness and (perhaps) Smith took multiple payments of EBTs while not in the employment of old Rangers (allegedly).
Now Harry Redknapp’s dog could have told you that this managers taking bungs is hardly a story these days.
Everything Has Changed
Basically the ball is back in Celtic’s court, again.
I know all teams in Scottish football are one way or another victims of this cheating but ultimately it is Celtic who have lost out on five titles and tens of millions of winnings and CL money.
For Celtic to acquiesce with the SPL and SFA in this outcome legitimises all that went on over the last ten years.
In fact it has become obvious that Lawell and the Celtic board operated behind the scenes in 2012 in order to keep Rangers in the SPL and thereafter in SFL1 and at last SFL3. This was done purely for financial reasons (as all RFC fans rightly claim) in spite of the greater sums of money lost to Rangers. This is financial Stockholm syndrome.
It was only pressure from the fans, Celtic’s and all others, that put the pressure on reluctant boards to refuse Newco admission to the SPL and then SF1
Again it looks like pressure again must come from the fans again.
Unless and until the Celtic board seek and obtain redress from the SPL for all the titles and monies lost through this institutional cheating then I will not set foot in CP again.
Everything Has Changed
I suspect that the story will be that Alex Tommo has Green, Ahmed or Stockbridge on tape offering CW a million quid and six “debentures” in the executive box for services rendered. This offer was probably later reneged on by Green and so our hero is releasing the tapes.
Green in the knowledge that this is about to hit has been getting in first telling the various supporters clubs that he always tells the truth, doesn’t give into threats or blackmail, and that the delusional Whyte approached him. It will be portrayed as “All a bit of joke, really”.
Perhaps, and I don’t want to sound goosygoosy on this one, just maybe CW is actually behind the Orlitt invoice?