Big Rangers Administration/Liquidation Thread - All chat here!

[pollymac]

Ouch

Disciplinary Proceedings Outcome

Monday, 23 April 2012

A Judicial Panel Tribunal convened to hear the cases against Rangers FC and Craig Whyte today concluded their findings and set out the following outcomes:

Name: Craig Whyte, Director, Rangers FC

Dates: 6th May 2011 to 6th March 2012

Disciplinary Rule(s) allegedly breached: Rules 66, 71 and 105

Outcomes:

The Tribunal found Craig Whyte guilty under Rule 66 and fined him £50,000.

The Tribunal returned a Not Proven verdict in respect of Rule 71.

The Tribunal found Craig Whyte guilty on three separate counts under Rule 105 and fined him £50,000 in respect of each breach.

The above sanctions shall be paid within 30 days, with interest of 4% per annum over the base lending rate of Bank of Scotland plc from the date of determination until paid.

Under Articles 94.1 and 95, the Tribunal expelled Craig Whyte for life from any participation in Association Football in Scotland.

Name: Rangers FC

Dates: 6th May 2011 to 6th March 2012

Disciplinary Rule(s) allegedly breached: Rules 1, 2, 14, 66, 71 and 325

Outcomes:

The Tribunal returned a verdict of Not Proven in respect of Rule 1.

The Tribunal found Rangers FC guilty in respect of Rule 2 and imposed the maximum fine of £10,000 payable within 12 months.

The Tribunal found Rangers FC guilty in respect of Rule 14 and imposed the maximum fine of £50,000 payable within 12 months

The Tribunal found Rangers FC guilty in respect of Rule 66 and imposed the maximum fine of £100,000 payable within 12 months. In addition, the Tribunal imposed a prohibition in terms of Article 94.1 and 95 of the Articles of Association, prohibiting Rangers FC for a period of 12 months from the date of determination from seeking registration with the Scottish FA of any player not currently with the club, excluding any player under the age of 18 years.

The Tribunal found Rangers FC guilty in respect of Rule 71 and imposed a censure.

The Tribunal found Rangers FC guilty of two breaches in respect of Rule 325 and imposed further censure.

Notes for Editors:

The Judicial Panel Tribunal shall issue a note of reasons in early course.

Both Rangers FC and Craig Whyte have a right of appeal against findings of guilt and any sanction imposed, within three days of receipt of note of reasons.

I wonder how and when they'll collect any of the fines.

[Lofarl]

http://www.scottishfa.co.uk/scottish_fa_news.cfm?page=2566&newsCategoryID=1&newsID=9718

Oh whytey boy. Drop in the ocean to a billionare though.

[pollymac]

Of course, the SFA will receive heehaw from Whyte as they've absolutely no jurisdiction over him whatsoever and will be forced to sing for their money from der orkenkind (in administration).

The 12 month signing embargo is rendered worthless in a couple of weeks (days??) time anyway when Rangers FC become Govan Inbreds FC.

Still, I'm sure Regan et al got some very nice chicken satays from their working lunches.

[Northsea80]

At least there's a payment plan for Rangers to follow.

Lets see how Miller and the Blue Knights respond to this.

Also did this collective group christen themselves 'The Blue Knights'?

[thelegendthatis]

The plan seems now to be as follows, with what I see as obstacles noted.

1 The Blue Knights take over, and pay the administrators slightly more than Mr Miller's £11.2 million offer.

2 As the Blue Knights are set against liquidation and a newco, this must, by necessity, involve them buying Rangers Football Club PLC (in administration).

3 That company is 85% owned by Rangers FC Group Ltd, which is in turn, and eventually, owned 100% by Craig Whyte.

4 To displace Mr Whyte, the administrators will need to go to court (and what about the owners of the remaining 15% of the shares)?

5 IF Mr Whyte's ownership is overturned, then who owns Rangers? Murray International Holdings?

6 Let us assume that the "purchase price" paid by the Blue Knights is in fact to go in its entirety into a pot to pay creditors. The order of preference is as follows:- Duff & Phelps (administration expenses); Close Leasing (finance re catering); Rangers FC Group Ltd, as holders of a floating charge; and finally unsecured creditors (potentially HMRC/Ticketus etc).

7 How much money will be left, if any, to propose an acceptable CVA to the creditors? D&P's costs will now be around £2 million; Close is due £1.6 million; Rangers FC Group Ltd might be due £10 million, £20 million, who knows!

8 Therefore, unless I am missing something, like the floating charge being declared invalid or Group not being a creditor (which will involve a court decision), there is nothing left for a CVA.

9 D&P had a share issue, followed by a CVA as one of its two strategies (the other being an asset sale and a CVA).

10 The publicity regarding the Blue Knights seems to suggest that the plan is a CVA, followed, once the club is debt free by a share issue.

11 That, if achievable, would seem to meet the first purpose of administration, namely to rescue the business as a going concern.

12 However, paragraph 3 (2) of the Insolvency Rules contained in Schedule B1 to the Insolvency Act states "the administrator of a company must perform his functions in the interests of the company's creditors as a whole."

13 Is it "in the interests of the creditors as a whole" to rescue the club with a CVA, if accepted, which meant unsecured creditors receiving 1p to 5p in the pound, if that?

14 The assets are valued at far more than the £11 million being offered. In that event, surely it would be better for creditors for D&P to (a) limp on till the transfer window opens, funds permitting (b) sell every player with any value and © either pre or post liquidation sell the fixed assets of Murray Park and Ibrox?

15 Also, if a share issue post CVA might raise £50 million, being one of the figures bandied about, might the creditors wonder why D&P would not attempt one pre-CVA, as indeed is their stated plan?

I am sure I am missing many important factors, and very wise people can correct me on them. However, if Mr Miller bids £11.2 million to buy all the assets of Rangers, which are in the books at far more than £100 million, how on earth is that generating a better result for creditors than a sale as described in para 14 above?

It all comes back to para 3 (2) of the Insolvency Rules. Whilst I am sure D&P have not forgotten what that says, I suspect other people, in the rush to "save Rangers" have done so.

The purpose of administration is not to save Rangers for the club, for its history or for its fans; it is to save it for the benefit of its creditors!

Copy of post on the forever excellent blog

http://tinyurl.com/boentj2

The above is reminding us clearly that Craig Whyte is really pulling the strings on every front. Listening to the fat administrator on radio on Saturday he waffles about what they will do to ignore and bypass Whyte, but there is never anything concrete. Just his bluster as he knows he can do nothing.

Edited April 23, 2012 by thelegendthatis

[LordHawHaw]

Of course, the SFA will receive heehaw from Whyte as they've absolutely no jurisdiction over him whatsoever and will be forced to sing for their money from der orkenkind (in administration).

The 12 month signing embargo is rendered worthless in a couple of weeks (days??) time anyway when Rangers FC become Govan Inbreds FC.

Still, I'm sure Regan et al got some very nice chicken satays from their working lunches.

Yeah, meaningless and safe decision from the SFA

[pollymac]

lots of stuff from pmcc

re point five: I was discussing this the other day and wondered if that's what would happen if Haudit and Daudit successfully challenged Agent Whhyte's purchase of the club - would it revert back to Murray and if not, who would own it?

[chico]

Also did this collective group christen themselves 'The Blue Knights'?

By polishing a turd.

[sparky88]

Now that its clear that all 11 SPL sides are going to bend over and take one for the Gers, I would just like to thank you all. Never again will I set foot in any of the grounds. No more going to Paisley on a Saturday or an Aberdeen match when I am up there on business.

Nor will I ever attend a match when you play Clyde (not likely in next few years, but we will come up a league or 2 and some of you will go down a league).

You have finally destroyed the game. Since the early 80's its been heading this way, but thanks to each and everyone of you the game is finally dead.

A Clyde boycott of SPL grounds is like an 18 handicap golfer refusing to take part in the Open.

[Lex]

BBC reporting on twitter:

Rangers owner Craig Whyte banned for life from Scottish football, and 12-month transfer embargo imposed on the club. More details soon.

[pollymac]

Yeah, meaningless and safe decision from the SFA

On reflection though, if a transfer of share in the SPL is used, does that mean the SFA license and by extension these measures are also transferred?

Or would the share be transferred to a NewCo, who, by having a share in the SPL, is automatically granted a new (clean) license from the SFA?

Clear as mud.

[Desert Nomad]

Didn`t think the SFA would have the balls to do anything as severe, magnificent.

[TonMan]

Will be a shame for AFC Rangers 2012 not being allowed to sign any players when they're in the 3rd Division. Looking forward to seeing the under 17s getting played...

oh wait, they'll probably have to release them too!

[capt_oats]

Grant Russell ‏ @STVGrant Those asking if punishment would apply to any Rangers newco. Answer is yes if SFA allow club's membership to transfer.

[~~~]

Rangers are even more fucked, if someone they managed to survive. They'll have to sell players in the summer, if they can't bring in replacements means they will be forced to use the kids.

Bottom 6 at best next season.

[Drooper]

I'm actually quite stunned by how hard a line the SFA have taken over this.

Bravo!

[Lyle Lanley]

PLEASING NEWS

[Virtual Insanity]

One of the STV guys on Twitter is saying if the Newco has it's registration transferred then the embargo stands. Thinking aloud, could this be the SFA's way of circumventing the SPL? I.e. Get in the third division and go about your rise with some dignity and you can sign players (by re-applying rather than transferring registration) or stay in the SPL with a skeleton squad, fail miserably and publicly and get relegated to the First division anyway (presumably).

[~~~]

meanwhile over at rangers media

http://forum.rangersmedia.co.uk/index.php?showtopic=217737&pid=1059973902&st=0&&unlockUserAgent=1

"Rangers banned from signing players because the fucking useless tarrier c***s over at SFA can't do their own jobs properly.

I'd love it if someone cut off Stewart Regan's penis and fed it to him. Mind you there is probably no room to fit it in when Liewell's is already in there "

[MarreZ]

Brilliant, transfer embargo will be superb if they liquidate