This is good news if true however they have had so long to cover there tracks that i fear even BDO Will be lead on a wild goose chase.
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The value of the company as a GC, though, lay in its playing staff. That was their opinion at the time, and mine as well. The administrators attempted to preserve that value by keeping the squad together, whilst at the same time reducing the costs substantially.
Where they went wrong, though, was in not recognising the extent to which they were to be mucked about by time-wasters. That is why, IMO, they were backed into the corner of the derisory offers for the CVA and the assets.
Indeed. The fix is well in.
Phoenix is the word that springs to mind again and again. If only someone with legal standing was willing to get them in court on this one. A creditor perhaps. It's amazed me how supine the creditors have been. If I was one of them and saw this phoenixism I would be lawyering up and getting sevco in court.
Of course if our so called governing body in the SFA, told them they couldn't do it, then that would help. Oh, I forgot, their purpose seems to be to fellate anything with the name 'rangers' attached. Silly me for thinking they might do the right thing.....
On what grounds, though? There is nothing illegal in the way that has happened. It's a fairly common business occurrence. That might not sit well morally, but as the law stands there's nothing wrong with it. That's particularly true in tthis case where the owners and directors of the two companies are completely different.
Kevin Kyle has now signed up for a year with sevco
I only get invited to them now if I sign in blood not to talk about Rangers, as my hockey loving Canadian pals are thoroughly sick of the subject now! So I just bore them with cosmology, multiverse theory and how we are all really living in a virtual universe. Serves them right :greengrin
What would happen if the trust asked for their money back and the recipients paid it?
I know that won't happen but would that money just sit around waiting for people to request loans from it?
Also, on dodds. If people had to request funds in the form of a loan them how could he not have known it was a loan?
I think this is what gets a lot of folk CWG in that highly paid footballers evade paying taxes with apparent impunity and millionaires like Murray comes out with nonsense like "As the law stands, it is the right of every taxpayer to minimise his tax liability". I am sure Bob Mugabe is operating "as the law stands"
If a guy paints an elderly neighbours house for £20 he is expected to pay tax on it, yet millionaires are not? Not only do they not pay they think its their "right" not to pay.
And Rangers continue on more or less as before.
That was something that crossed my mind too. According to Murray the trust has a massive debtor asset which is recoverable, no liabilities and the purpose of its existence has gone. In those circumstances I can only imagine that it would have to return the cash to RFC (IA) as it is collected.
I wonder when he's due to repay his £6.3m loan.
This is a man whose business empire, including Rangers FC 1872-2012 (RIP) was built on £700m worth of chummy loans from Bank Of Scotland, including the acquisition of Rangers in 1988. Too bad his easy money clique were cleaned out by the Halifax merger or he could have written another IOU. I hope he is jailed.
Murray's statement also contained the following line;
"The trustees could and did make loans to individuals carrying interest with scheduled repayment dates."
If this is correct Rangers paid £47.65 into a scheme that loaned money to people, with interest, but none of this is either repayable or recoverable by Rangers. Was the £47.65m therefore a "gift" to the scheme? There are surely tax and financial regulatory issues involved in just "giving" that sum of money away, particularly to a commercial concern.
I am not up on the finer points of this but has Murray's statement helped Rangers at all or made it worse? Either Dodds and Boumsong are lying or Murray is. Time for Plodd I think.
Dodds, in the Herald article on 27th May was pretty unequivocal;
"The full story is that David Murray came to me and asked if I would receive a payment that was due to me, after tax, through the EBT trust. And I said that I would. It was money that was owing to me when I had six months left on my contract and I moved to Dundee United. After the tax was deducted, that money was put in the trust fund."
http://www.heraldscotland.com/sport/...n-tax.17704904
The crowd for the game last night against East Fife was given as just over 38,000. Everyone on Radio Scotland last night disputed that as they thought it was a full house of around 50,000.
I wonder if The Rangers are starting off how the old Rangers ended. I hope East Fife get their full share of this!
It was a rhetorical question really, but you're right. If there really was a repayment schedule as Murray claims I would guess that the cash would eventually have to be returned to the club (or its successor?). I suspect there's a bit of truth economy in Minty's statement though.
Would it, though? Once the club had made its payments into the Trust, would that not be the end of it for them? I know that, again, this would depend on the Trust set-up... but, given that that the payments were expensed rather than set up as a debtor, it suggests that RFC didn't expect them back.
I am, of course, assuming that the RFC auditors did their job properly on this bit.... :cb
The club wouldn't expect the cash back in the normal course of events so, as a going concern it would treat them as an expense and the recovery when the EBT scheme came to an end as windfall income. If the EBT was genuinely operating as a lender I would expect it to recycle recovered loans as new employee requirements arose. Writing the loans off now would be unfair to all those employees who have already repaid their loans (pause for laughter to die down).
All that isn't really borne out by the apparent facts though, and that suggests to me that Murray is talking nonsense.
Edit: Just to clarify in the light of StevieC's post, I don't think BDO will be able to pursue the employees, I'm just examining the holes in Murray's claims.