Big Rangers Administration/Liquidation Thread - All chat here!

[Chris-54Titles-]

^{Speirs and delacunt are seething on radio snyde.}

[ray_of_licht]

Just what we need - more di Stefano around the place

Rangers Football Club has won an appeal against a tax bill over its use of Employee Benefit Trusts.

The club, which is now in ‘liquidation,’ used the scheme from 2001 to 2010 to make £47.65m in payments to players and staff in the form of tax-free loans.

HM Revenue and Customs (HMRC) had challenged the payments, arguing that they were illegal.

Rangers disputed the bill and a First Tier Tax Tribunal (FTT) has ruled the payments were loans that can be repaid.

The decision was welcomed by Murray International Holdings, who were majority shareholders of the old club until Craig Whyte's takeover in May 2011.

However, HMRC said it was considering an appeal.

Giovanni Di Stefano a shareholder in the company has stated that after this result, which “was nothing other than obvious and expected” will now be “a launching for an “action as a shareholder to revoke and reverse the Administration, the Liquidation order and the return of monies that have been at best misappropriated at worst stolen from RFC which amount to some £40 million.”

Di Stefano also stated that there is a current criminal investigation in New York, Monaco and Glasgow into the whole RFC matter and that “it has now been proved that the basis for Administration was fraudulent and obviously clearly a ploy by those in high office whom we will be naming to ruin RFC for political and economic motives.”

In its ruling - which was endorsed by two judges, with one dissenting - the FTT said the lengthy appeal had been heard over 29 days.

"At a late stage in its deliberations it became clear that the tribunal would be unable to issue a unanimous decision. It is conscious of and regrets the consequent delay," it said.

"The majority view reflects the argument that the controversial monies received by the employees were not paid to them as their absolute entitlement.

"The legal effect of the trust/loan structure is sufficient to preclude this. Thus the payments are loans, not earnings, and so are recoverable from the employee or his estate.

The dissenting opinion came from Dr Heidi Poon, who concluded that the money received by the employees through the trust constituted earnings for income tax purposes.

The tribunal agreed to a request to anonymise the published form of the decision.

Di Stefano stated that “the decision to edit the judgement was consistent with all I have been saying that the whole RFC matter is politically motivated using money as bait. I kicked up a big stink over all of this and for sure if I had not made so many things public the RFC case would have been dead and buried. The Culture and Media Commons Select Committee had scheduled a debate over the Rangers debacle and as soon as I wrote to them saying I wanted to be heard and to supply documents they cancelled the hearings. It’s time now for explanations.”

In a statement, Murray International Holdings said: "We are satisfied that the tax tribunal has now published its widely awaited decision and note the contents thereof.

"We are pleased with the judgement which leaves minimal tax liability and overwhelmingly supports the views collectively and consistently held by our advisers, legal counsel and MIH itself.

"This has been an exceptionally long, difficult and expensive process involving not just the tax tribunal but also significant efforts to resolve the matter with senior HMRC officials on a commercially sensible basis for all parties.

"We will therefore review the detailed content of the decision with our advisers and legal counsel to ascertain what action, if any, is now required by MIH."

The MIH spokesman said that while the company had "respected the privacy" of the tribunal proceedings, "a substantial quantity of confidential information" about the case had made its way into the public domain stimulating "often ill-informed debate".

The statement continued: "This has been wholly inappropriate and outwith the fundamental principles of natural justice.

"We therefore formally request that the relevant authorities investigate how these sensitive details have been released so widely.

"We have instructed our lawyers to retrospectively review online and printed publications relating to the case to identify whether legal redress is either appropriate or necessary."

A spokesman for HMRC said: "We are disappointed that we have lost this stage of the court process and we are considering an appeal.

"The decision was not unanimous and the diligence of HMRC investigators was acknowledged by the whole tribunal.

"HMRC is committed to tackling avoidance and it is right that we challenge the type of avoidance seen in this case."

Old Rangers was under the control of Sir David Murray when it began using EBTs.

He sold the club for £1 to Scottish businessman Craig Whyte in 2011, while the tax liability was in dispute.

The FTT, before three judges, concluded in January, one month before the old Rangers, now under the control of Mr Whyte, was forced into administration by HM Revenue and Customs (HMRC) over non-payment of tax totalling about £14m.

HMRC subsequently rejected proposals for a creditor’s agreement that would have allowed the old club to continue.

Administrators Duff and Phelps then negotiated a sale of assets to a consortium led by Charles Green for £5.5m.

He has since formed a new club, now playing in the Scottish Football League Third Division.

In the event the Court revoke the Administration and Liquidation Orders Di Stefano has stated that the best course would be for “RFC PLC and Sevco to merge. That resolves all.”

Phew.

[Guest Kincardine]

Looks like the side letters should have been registered with the SFA and SPL

You've made enough of an arse of yourself on this thread without coming out with shite like that.

If you register a side-letter then it isn't a side letter. It's a letter.

Want to join my Truth and Reconciliation Commission?

The premise is that folk like you made capital in judging the outcome of The Big Tax Case and folk like me said we're not as bad as portrayed.

I am hoping for peace and harmony on the board.

[ray_of_licht]

I am hoping for peace and harmony on the board.

I'm hoping for a bike from Santa. I think we're both going to be disappointed

[Bearwithme]

Liquidated and history lost for next to nothing?

Glorious

You lot can't get anything right.

[Guest Kincardine]

I'm hoping for a bike from Santa. I think we're both going to be disappointed

You can get your wish. I also have a wee pair of stabilisers from when my wee yin learned to use a bike that I will happily send you for free.

Edited November 20, 2012 by Kincardine

[Bendarroch]

This rather suggests that the goodwill Green has enjoyed may be about to evaporate. He may be forced to pre-empt a leak by announcing that a major reason for the fund raising is to reduce the debt owed to Ticketus<br style="color: rgb(28, 40, 55); font-family: verdana, tahoma, arial, sans-serif; font-size: 11.199999809265137px; line-height: 17.600000381469727px; background-color: rgb(252, 252, 252);">

Not long to wait

Not long?

No sooner than one fantasy w**k-fest hit's the rocks for the internet warriors - another appears.

[Fotbawmad]

So does this mean former players will now be made bankrupt

BTW, this is only round 1, HMRC will appeal.

Edited November 20, 2012 by Fotbawmad

[Paquis]

So when the players are approached to pay the taxes due and they state categorically the payments were wages and the club guaranteed to honour the tax due, is any liable for perjury or submitting false evidence to the court?

The Tribunal made the following Findingsof Law:

3 The sums advanced to the employees of the Appellants by way of loan interms of the relative loan documents, were made in pursuance of discretionary powersand remain recoverable and represent debts on their estates.

There are no taxes due on a loan.

[Guest Kincardine]

So does this mean former players will now be made bankrupt

BTW, this is only round 1, HMRC will appeal.

It isn't and they won't.

[Bearwithme]

So does this mean former players will now be made bankrupt

BTW, this is only round 1, HMRC will appeal.

An appeal is only possible on a point of law. So we'll see.

[Paquis]

You've made enough of an arse of yourself on this thread without coming out with shite like that.

If you register a side-letter then it isn't a side letter. It's a letter.

Want to join my Truth and Reconciliation Commission?

The premise is that folk like you made capital in judging the outcome of The Big Tax Case and folk like me said we're not as bad as portrayed.

I am hoping for peace and harmony on the board.

Umbungo made this error based on a misreading of the Tribunal's findings. He confused the argument of Mr. Thomson with an actual finding in law. In fact, the majority of the tribunal did not accept Mr. Thomson's argument.

[FinnesTON]

I would suggest that the creditors should also be hounding HMRC. The refusal of HMRC to accept a CVA will have substantially reduced the amount of money they would get.

The CVA was rejected because of the non payment of PAYE and NI not the BTC, separate situation

[Lanarkshire Lad]

20 November 2012 Last updated at 17:59

Former Rangers Football Club wins Big Tax Case

appeal

http://www.bbc.co.uk/news/uk-scotland-glasgow-west-20414804

:lol: :lol: :lol:

[SS-18 ICBM]

Well now that it appears to be certain that the new Rangers will arise like a phoenix from the ashes of liquidation and soon be the second best team in Scotland, i think it is time for me to depart from this thread.

There is nothing more to be discussed (for me).

Enjoy the next few years in the SFL new Rangers fans, i wouldn't wanna be you watching your team struggling in Scotland's fourth tier league this winter and panicking when FPLG's team is sitting in 5th position come May 2013.

Edited November 20, 2012 by SS-18 ICBM

[ray_of_licht]

You can get your wish. I also have a wee pair of stabilisers from when my wee yin learned to use a bike that I will happily send you for free.

In which case I thank you for the kind offer* and hope you get your wish.

*you can hold on to them. I'll just use the set that our youngest has when he's done with them. If you have any handlebar streamers or spokeydokes though I'll take them.

[SelkirkSaint]

The Tribunal made the following Findingsof Law:

3 The sums advanced to the employees of the Appellants by way of loan interms of the relative loan documents, were made in pursuance of discretionary powersand remain recoverable and represent debts on their estates.

There are no taxes due on a loan.

Absolutely correct. The liquidator will go after the players (and others) for the total amount of 'loans' they received. They can ask for every penny to be 'repaid'. A whole new can of worms. More interesting days ahead.

[Paquis]

Absolutely correct. The liquidator will go after the players (and others) for the total amount of 'loans' they received. They can ask for every penny to be 'repaid'. A whole new can of worms. More interesting days ahead.

This assumes that it was the company that is in administration that made the loans and not MIH. Remember, the case was against Murray Group Holdings and others rather than specifically against Rangers.

[Paquis]

I'm sure the BDO/liquidators should have something to say about the recovery of the 'loan money' as well for the creditors. Haul the players into court for recovery. I am sure they will have plenty of assets to chase. Those involved in this farce are as guilty as those running the scheme.

Guilty of what? Running a perfectly legal tax avoidance scheme?

[Fife Saint]

Brilliant stuff today. As if the entire charade couldn't get any more ridiculous.