jumpship Posted January 30, 2012 Share Posted January 30, 2012 Taken form a Celtic forum. . Incredibly good source, with a very significant connection to the old Rangers regime tells me this is what has happened Whyte has forward sold 3 years worth of season book income. The anticipated value of this income was ?41,000,000. The amount advanced to Whyte was circa ?31,000,000. He used this to pay off Lloyds and provide working capital for this season. The reason the season tickets are being renewed early is because it was a condition of the forward sale The European and CIS results have blown a hole in the budget. With EL money and a reasonable run in the CIS, then Rangers could have got to season?s end. Paying season 2 early took most of the risk out for Close, and the creation of a first ranking charge for ?5 million gave them a guaranteed modest profit at worst. The lack of EL and CIS income is forcing player sales. My source also tells me that he believes if no significant player sales then receivership is likely in Feb. Link to comment Share on other sites More sharing options...
Stupid Sexy Flanders Posted January 30, 2012 Share Posted January 30, 2012 The OP is in his room, and won't come out - I hope you're happy! Link to comment Share on other sites More sharing options...
Moriarty Posted January 30, 2012 Share Posted January 30, 2012 my point exactly I very much doubt that it is. Link to comment Share on other sites More sharing options...
Guest Posted January 30, 2012 Share Posted January 30, 2012 so another bs story from sickback - gullet lounge Posted from the bench at Brunton Park, through a German translator, on my iPhone 5 (now with jigsaw framing app) :greggy: Link to comment Share on other sites More sharing options...
buba Posted January 31, 2012 Share Posted January 31, 2012 Front page of the record http://p.twimg.com/AkcWdNyCAAAhu0h.jpg:small Link to comment Share on other sites More sharing options...
Groot Posted January 31, 2012 Share Posted January 31, 2012 Front page of the record http://p.twimg.com/A...Ahu0h.jpg:small check the date, doesn't look like Jan 31st to me Link to comment Share on other sites More sharing options...
Chris Benoit Posted January 31, 2012 Share Posted January 31, 2012 check the date, doesn't look like Jan 31st to me Link to comment Share on other sites More sharing options...
Floyd Posted January 31, 2012 Share Posted January 31, 2012 check the date, doesn't look like Jan 31st to me Correct! Definitely a mock up, the date born is wrong as well from what I can see. It says 1872, whereas I was under the belief they were formed in 1873. Link to comment Share on other sites More sharing options...
buba Posted January 31, 2012 Share Posted January 31, 2012 check the date, doesn't look like Jan 31st to me Ah i was getting all excited there :-( Link to comment Share on other sites More sharing options...
Walter Bishop Posted January 31, 2012 Share Posted January 31, 2012 http://www.philmacgiollabhain.ie/ignoring-the-story/ Link to comment Share on other sites More sharing options...
beijingandrew Posted January 31, 2012 Share Posted January 31, 2012 I was excited for a second, now I just hate you . Link to comment Share on other sites More sharing options...
CJGJ Posted January 31, 2012 Share Posted January 31, 2012 Photoshopping has a lot to answer for Just as well the people doing it are most of the time too stupid to check their work. Link to comment Share on other sites More sharing options...
Swanyl Posted January 31, 2012 Share Posted January 31, 2012 Link to comment Share on other sites More sharing options...
Paolo Posted January 31, 2012 Share Posted January 31, 2012 http://www.philmacgiollabhain.ie/ignoring-the-story/ Interesting links there and an acknowledgement the press are Weegie orientated. Link to comment Share on other sites More sharing options...
Swanyl Posted January 31, 2012 Share Posted January 31, 2012 http://imgur.com/a/cwevJ/ full paper. Link to comment Share on other sites More sharing options...
Footballfirst Posted January 31, 2012 Share Posted January 31, 2012 Back page of the record Link to comment Share on other sites More sharing options...
Paolo Posted January 31, 2012 Share Posted January 31, 2012 Back page of the record My phone is being a pain in the arse. What does it say? Link to comment Share on other sites More sharing options...
Geoff Kilpatrick Posted January 31, 2012 Share Posted January 31, 2012 Back page of the record No broken crest though.... Link to comment Share on other sites More sharing options...
jumpship Posted January 31, 2012 Share Posted January 31, 2012 My phone is being a pain in the arse. What does it say? Ibrox chief has sold four years of season tickets to keep the club alive. . . Link to comment Share on other sites More sharing options...
K1874M Posted January 31, 2012 Share Posted January 31, 2012 How does this work? I'm guessing it's like a loan But who would be stupid enough to lend him that when the club could go down the swanny? Link to comment Share on other sites More sharing options...
ToYouToMe Posted January 31, 2012 Share Posted January 31, 2012 No broken crest though.... It will be a cold day in hell before they do that. Ours was fractured after the Jeffries sacking, lol! Link to comment Share on other sites More sharing options...
Seymour M Hersh Posted January 31, 2012 Share Posted January 31, 2012 Wouldn't be too surprised if certain sections of the weejie press make this out to be some sort of really smart business move. Link to comment Share on other sites More sharing options...
Cardiac Rucksack Posted January 31, 2012 Share Posted January 31, 2012 Whyte will ne praised to the highest by chick dung and co for his financial wizardry. There have been rumors with regards to this loan for months. The cash really must be running out at the death star. Link to comment Share on other sites More sharing options...
Gregory House M.D. Posted January 31, 2012 Share Posted January 31, 2012 Sold 4 years worth of ST's Non payment of VAT being investigated by HMRC during Whytes reign Link to comment Share on other sites More sharing options...
Guest Bilel Mohsni Posted January 31, 2012 Share Posted January 31, 2012 "Death Star" Link to comment Share on other sites More sharing options...
Gregory House M.D. Posted January 31, 2012 Share Posted January 31, 2012 He could only stump up ?3500000 of the ?9500000 so he mortgaged off part of 2014/2015' Bye bye Rangers FC You won't be missed :greggy: Link to comment Share on other sites More sharing options...
Moriarty Posted January 31, 2012 Share Posted January 31, 2012 That's 4 seasons those horrible cretins will never see :greggy: Link to comment Share on other sites More sharing options...
Sten Guns Posted January 31, 2012 Share Posted January 31, 2012 Coventry City done this recently I sure. Anyway, i hope it's a recipe for disaster. I don't have the financial acumen to know if it's a stupid idea or a desperate idea that had to be done and was therefore a good option despite the risks. I suspect none of us do. But we can all hope it's a bad move. Link to comment Share on other sites More sharing options...
Son Of Anarchy Posted January 31, 2012 Share Posted January 31, 2012 The arrogance of the Orks at my work last night was astounding! The general consensus was (and this was said word for word) "doesnt matter what happens to us as the sfa will do everything to lessen the damage because WE ARE SCOTTISH FOOTBALL" WTF?????? i had to walk away from the cretin. Link to comment Share on other sites More sharing options...
Roy Croppers Handbag Posted January 31, 2012 Share Posted January 31, 2012 The arrogance of the Orks at my work last night was astounding! The general consensus was (and this was said word for word) "doesnt matter what happens to us as the sfa will do everything to lessen the damage because WE ARE SCOTTISH FOOTBALL" WTF?????? i had to walk away from the cretin. They are the people. Link to comment Share on other sites More sharing options...
Pistol1874 Posted January 31, 2012 Share Posted January 31, 2012 Be some bargains to be had for Rangers season tickets over the next 3 years then. Hopefully demand will drop off a cliff when they realise they won't be winning much and fall back to pre-gloryhunting 80s crowds. Link to comment Share on other sites More sharing options...
Gregory House M.D. Posted January 31, 2012 Share Posted January 31, 2012 Coventry City done this recently I sure. Anyway, i hope it's a recipe for disaster. I don't have the financial acumen to know if it's a stupid idea or a desperate idea that had to be done and was therefore a good option despite the risks. I suspect none of us do. But we can all hope it's a bad move. Looks a disastrous idea because Whyte can't afford to pay the fees thus forcing him into a never ending spiral of accumulating debt to pay debt Mortgaging off part of a season to fund another season with the same company just means he'll be burdened with this for a very long time to come All very Although I can't see them making season 12/13 :greggy: :jbsmug: Link to comment Share on other sites More sharing options...
Andrew Gilbert Wauchope Posted January 31, 2012 Share Posted January 31, 2012 They are the people. And "They deserve better". Link to comment Share on other sites More sharing options...
Fxxx the SPFL Posted January 31, 2012 Share Posted January 31, 2012 They are the people. They were the people. Link to comment Share on other sites More sharing options...
hughesie27 Posted January 31, 2012 Share Posted January 31, 2012 What does selling 4 years worth of st money mean? Link to comment Share on other sites More sharing options...
TheBigO Posted January 31, 2012 Share Posted January 31, 2012 What does selling 4 years worth of st money mean? Aye - that's where I am too. It can't mean he's sold punters 4-year tickets. Apart from anything, that'd have hit the press by now. Guessing it means he's basically used that forecasted money already, when it would usually only be seen in one set of accounts? That it? Quite titter-worthy any way you look at it. Link to comment Share on other sites More sharing options...
Jambo, Goodbye Posted January 31, 2012 Share Posted January 31, 2012 Aye - that's where I am too. It can't mean he's sold punters 4-year tickets. Apart from anything, that'd have hit the press by now. Guessing it means he's basically used that forecasted money already, when it would usually only be seen in one set of accounts? That it? Quite titter-worthy any way you look at it. He'd still have to borrow it tho, so who dished out the cash? Link to comment Share on other sites More sharing options...
Sten Guns Posted January 31, 2012 Share Posted January 31, 2012 Looks a disastrous idea because Whyte can't afford to pay the fees thus forcing him into a never ending spiral of accumulating debt to pay debt Mortgaging off part of a season to fund another season with the same company just means he'll be burdened with this for a very long time to come All very Although I can't see them making season 12/13 :greggy: :jbsmug: What were the short term implications of not securing this funding? Link to comment Share on other sites More sharing options...
Cairneyhill Jambo Posted January 31, 2012 Share Posted January 31, 2012 http://www.dailyrecord.co.uk/2012/01/31/rangers-owner-craig-whyte-admits-he-sold-four-years-worth-of-season-tickets-to-keep-ibrox-club-running-86908-23728301/ And more troubles with HMRC CRAIG WHYTE sold off four years of fans' money to help fund his Rangers buy-out, it was revealed last night. And Record Sport can also reveal high-ranking HMRC officials are investigating alleged non-payment of VAT since Whyte gained control of the club last May. Current director Dave King and former board member Paul Murray have been quizzed by the tax authorities as part of their enquiry which has revealed ?24.4million has been borrowed against future season-tickets sales. Tranches of tickets over four seasons have been sold to Ticketus, a London-based group linked to Octopus, and it's claimed this deal helped finance Whyte's operating costs after the takeover. Whyte himself last night confirmed he had sold off the tickets but denied he used the money to pay off Lloyds Bank. He insisted the ?18m for the bank came from one of his companies. When Whyte took over Rangers' debt was ?18m to Lloyds Bank and their wage bill had been reduced to ?14m but it is believed the club could owe much more than that. It's thought the current debt is ?21m to Ticketus plus ?5m VAT on the ticket deal. But there could be other bills due and of course Rangers are awaiting the final verdict on their ?49m EBT (Employee Benefit Trust) tax case. Last night Whyte insisted the Ticketus deal was normal practice for clubs and his spokesman said: "The suggestion that the Rangers takeover was funded through financing arrangements on season tickets is categorically untrue. "Rangers FC is no different in that it has a working capital facility with Ticketus, as have many, many other clubs. It is a common arrangement in football. This facility was in place at Ibrox long before the takeover." The EBT ruling is due within weeks and if Rangers lose they will be facing financial meltdown. Their debt could then be in the ?75m region with liquidation a stark reality. But many now fear Rangers could be tipped over the abyss and into some kind of insolvency even before their Judgment Day over the tax case. Rangers fans put their faith in Whyte believing he would get rid of the club's debt and also provide transfer money for manager Ally McCoist, who has been an impoverished bystander during this transfer window. But the Ibrox club's support will be shocked by the detail of invoices and letters now in the revenue's possession. It is claimed these show Whyte sold off massive chunks of Rangers' future season-ticket sales. And former board member Murray believes the takeover wouldn't have been possible without the fans, even though they had no idea future tickets had been sold off to raise extra cash. Murray said: "These documents prove to me that Rangers fans have actually paid and will continue to pay for the sale of their club." He added that HMRC have told him they are also due VAT, as much as ?5m, on the deal with Ticketus and insists he has seen details of letters and invoices held by HMRC. Murray claims that in one of the documents, a letter dated March 8, 2011 and signed by Whyte, it is alleged he made it clear that through Wavetower, his bid vehicle at the time, he would be entering into a deal to sell the season tickets to a company called Ticketus. They are part of London-based Octopus, a perfectly legitimate lender who grant immediate loans based on future ticket sales. Record Sport managed to speak with most of the people who were on the Rangers board at the time of the takeover and they insist they knew nothing about the sale of season tickets. In fact they tried to ring-fence supporters' money. The papers, which are being pored over by HMRC officials, are said to reveal borrowing against ticket sales for seasons 2011-12, 12-13 and 13-14 that Whyte was able to raise ?24.4m. Then on June 27 he was hit with the first of his repayment bills from Ticketus, who were demanding a total of ?9.5m, their share of that summer's season-ticket sales. Whyte could only come up with ?3.5m cash and to fill the shortfall mortgaged off part of season 2014-15 to the value of ?6m. Opening in March last year Murray claims the detail contained within HMRC's file is extensive and explosive. This is the timetable and interpretation of events: March 8, 2011: A letter from Liberty Capital (one of Whyte's companies) is signed by Whyte and addressed to Ticketus. In the letter Whyte confirms the intention to sell Rangers' season tickets to Ticketus. April 7: Lawyers on behalf of Ticketus deposit ?24.4m into a Collyer Bristow (lawyers for Whyte's bid) client account. A further ?2m was placed in the same account from a company called JLT Benefit Solutions with ?1m from the Merchant House Group, a firm of corporate finance specialists with whom Whyte is closely linked. May 9: An agreement was entered into between Ticketus and Rangers to sell the season tickets.This was just three days after the takeover date of May 6. The bank was repaid the ?18m. June 27: Ticketus raised an invoice to Rangers seeking first repayment of ?9.5m on their agreement. Rangers paid only ?3.5m of that amount in cash and borrowed ?6m more from Ticketus by selling another portion of 2013-14 as well as a portion of season 2014-15. Analysts stress there is nothing illegal in selling future ticket sales. In fact, it is common practice in British football, although the problems encountered by Leeds United and Newcastle United, who both borrowed too often and too much, are proof of the dangers. Whyte has never declared the deals with Ticketus although HMRC documents suggest he has cashed in on fan loyalty. The tax officials quizzed Murray and South African-based King, who was on conference call, as recently as last Friday morning. They insisted they had no knowledge of what had been happening and Murray, who last year offered to take the club off Lloyds' books and invest ?15m in the team in a last-ditch attempt to prevent Whyte from getting the club, said he couldn't believe what he was reading when presented with the HMRC file. "HMRC asked for a meeting at the end of last week to find out what knowledge I, having been a director of the club at the time, had of these transactions prior to the takeover," Murray said. "I knew nothing about this and although I have been questioned by HMRC and seen some especially revealing documents which are in their possession, it is still very hard to take in what has been going on. "Collyer Bristow were acting for Craig Whyte during the takeover and I have been shown their client account, from the opening of it until today. "I've also seen all invoices from Ticketus to Rangers and Rangers to Ticketus supporting all these actions. "I can't believe Rangers have been handed over in this way. "Remember also, the Independent Board, set up to make sure any potential buyers were capable of making the purchase and then funding the business, asked repeatedly where Craig Whyte was getting the money. "He said it was from his own personal wealth and through Liberty Capital, which he insisted he owned 100 per cent, in the British Virgin Islands. "Plans were being made to sell off future ticket sales but the directors were never told. This was all being done behind our backs." King was also shocked to learn of the seasonticket sale and said: "Securitising season tickets is a valid seasonal funding strategy to smooth cash flows within the year - but no longer." Whyte's spokesman added: "The takeover team instigated discussions with Ticketus prior to the takeover because the relationship with Rangers was already in place and the new owners wanted to continue it. "They were clear from the outset they wanted to ensure there were robust working capital provisions in place that could deal with the many financial challenges the club faces. "The takeover was funded by one of Mr Whyte's companies. Several months before then - and long before any discussions with Ticketus - Mr Whyte was asked to provide proof of funds for the takeover and he did that to the satisfaction of the previous owners, Lloyds Banking Group and professional advisers." Link to comment Share on other sites More sharing options...
Deevers Posted January 31, 2012 Share Posted January 31, 2012 He'd still have to borrow it tho, so who dished out the cash? I wonder if "Ibrox" was used as security on this. Sounds like things are moving on at a pace through west. Their prize asset sold on the cheap (no matter what the press here might say). I reckon all the Jellyfish money is tied up in just keeping Rangers afloat for the next couple of months. Link to comment Share on other sites More sharing options...
TheBigO Posted January 31, 2012 Share Posted January 31, 2012 http://www.dailyrecord.co.uk/2012/01/31/rangers-owner-craig-whyte-admits-he-sold-four-years-worth-of-season-tickets-to-keep-ibrox-club-running-86908-23728301/ And more troubles with HMRC CRAIG WHYTE sold off four years of fans' money to help fund his Rangers buy-out, it was revealed last night. And Record Sport can also reveal high-ranking HMRC officials are investigating alleged non-payment of VAT since Whyte gained control of the club last May. Current director Dave King and former board member Paul Murray have been quizzed by the tax authorities as part of their enquiry which has revealed ?24.4million has been borrowed against future season-tickets sales. Tranches of tickets over four seasons have been sold to Ticketus, a London-based group linked to Octopus, and it's claimed this deal helped finance Whyte's operating costs after the takeover. Whyte himself last night confirmed he had sold off the tickets but denied he used the money to pay off Lloyds Bank. He insisted the ?18m for the bank came from one of his companies. When Whyte took over Rangers' debt was ?18m to Lloyds Bank and their wage bill had been reduced to ?14m but it is believed the club could owe much more than that. It's thought the current debt is ?21m to Ticketus plus ?5m VAT on the ticket deal. But there could be other bills due and of course Rangers are awaiting the final verdict on their ?49m EBT (Employee Benefit Trust) tax case. Last night Whyte insisted the Ticketus deal was normal practice for clubs and his spokesman said: "The suggestion that the Rangers takeover was funded through financing arrangements on season tickets is categorically untrue. "Rangers FC is no different in that it has a working capital facility with Ticketus, as have many, many other clubs. It is a common arrangement in football. This facility was in place at Ibrox long before the takeover." The EBT ruling is due within weeks and if Rangers lose they will be facing financial meltdown. Their debt could then be in the ?75m region with liquidation a stark reality. But many now fear Rangers could be tipped over the abyss and into some kind of insolvency even before their Judgment Day over the tax case. Rangers fans put their faith in Whyte believing he would get rid of the club's debt and also provide transfer money for manager Ally McCoist, who has been an impoverished bystander during this transfer window. But the Ibrox club's support will be shocked by the detail of invoices and letters now in the revenue's possession. It is claimed these show Whyte sold off massive chunks of Rangers' future season-ticket sales. And former board member Murray believes the takeover wouldn't have been possible without the fans, even though they had no idea future tickets had been sold off to raise extra cash. Murray said: "These documents prove to me that Rangers fans have actually paid and will continue to pay for the sale of their club." He added that HMRC have told him they are also due VAT, as much as ?5m, on the deal with Ticketus and insists he has seen details of letters and invoices held by HMRC. Murray claims that in one of the documents, a letter dated March 8, 2011 and signed by Whyte, it is alleged he made it clear that through Wavetower, his bid vehicle at the time, he would be entering into a deal to sell the season tickets to a company called Ticketus. They are part of London-based Octopus, a perfectly legitimate lender who grant immediate loans based on future ticket sales. Record Sport managed to speak with most of the people who were on the Rangers board at the time of the takeover and they insist they knew nothing about the sale of season tickets. In fact they tried to ring-fence supporters' money. The papers, which are being pored over by HMRC officials, are said to reveal borrowing against ticket sales for seasons 2011-12, 12-13 and 13-14 that Whyte was able to raise ?24.4m. Then on June 27 he was hit with the first of his repayment bills from Ticketus, who were demanding a total of ?9.5m, their share of that summer's season-ticket sales. Whyte could only come up with ?3.5m cash and to fill the shortfall mortgaged off part of season 2014-15 to the value of ?6m. Opening in March last year Murray claims the detail contained within HMRC's file is extensive and explosive. This is the timetable and interpretation of events: March 8, 2011: A letter from Liberty Capital (one of Whyte's companies) is signed by Whyte and addressed to Ticketus. In the letter Whyte confirms the intention to sell Rangers' season tickets to Ticketus. April 7: Lawyers on behalf of Ticketus deposit ?24.4m into a Collyer Bristow (lawyers for Whyte's bid) client account. A further ?2m was placed in the same account from a company called JLT Benefit Solutions with ?1m from the Merchant House Group, a firm of corporate finance specialists with whom Whyte is closely linked. May 9: An agreement was entered into between Ticketus and Rangers to sell the season tickets.This was just three days after the takeover date of May 6. The bank was repaid the ?18m. June 27: Ticketus raised an invoice to Rangers seeking first repayment of ?9.5m on their agreement. Rangers paid only ?3.5m of that amount in cash and borrowed ?6m more from Ticketus by selling another portion of 2013-14 as well as a portion of season 2014-15. Analysts stress there is nothing illegal in selling future ticket sales. In fact, it is common practice in British football, although the problems encountered by Leeds United and Newcastle United, who both borrowed too often and too much, are proof of the dangers. Whyte has never declared the deals with Ticketus although HMRC documents suggest he has cashed in on fan loyalty. The tax officials quizzed Murray and South African-based King, who was on conference call, as recently as last Friday morning. They insisted they had no knowledge of what had been happening and Murray, who last year offered to take the club off Lloyds' books and invest ?15m in the team in a last-ditch attempt to prevent Whyte from getting the club, said he couldn't believe what he was reading when presented with the HMRC file. "HMRC asked for a meeting at the end of last week to find out what knowledge I, having been a director of the club at the time, had of these transactions prior to the takeover," Murray said. "I knew nothing about this and although I have been questioned by HMRC and seen some especially revealing documents which are in their possession, it is still very hard to take in what has been going on. "Collyer Bristow were acting for Craig Whyte during the takeover and I have been shown their client account, from the opening of it until today. "I've also seen all invoices from Ticketus to Rangers and Rangers to Ticketus supporting all these actions. "I can't believe Rangers have been handed over in this way. "Remember also, the Independent Board, set up to make sure any potential buyers were capable of making the purchase and then funding the business, asked repeatedly where Craig Whyte was getting the money. "He said it was from his own personal wealth and through Liberty Capital, which he insisted he owned 100 per cent, in the British Virgin Islands. "Plans were being made to sell off future ticket sales but the directors were never told. This was all being done behind our backs." King was also shocked to learn of the seasonticket sale and said: "Securitising season tickets is a valid seasonal funding strategy to smooth cash flows within the year - but no longer." Whyte's spokesman added: "The takeover team instigated discussions with Ticketus prior to the takeover because the relationship with Rangers was already in place and the new owners wanted to continue it. "They were clear from the outset they wanted to ensure there were robust working capital provisions in place that could deal with the many financial challenges the club faces. "The takeover was funded by one of Mr Whyte's companies. Several months before then - and long before any discussions with Ticketus - Mr Whyte was asked to provide proof of funds for the takeover and he did that to the satisfaction of the previous owners, Lloyds Banking Group and professional advisers." So he's sold the rights to the tickets to a 3rd party who will now sell them? Closer to the mark? Link to comment Share on other sites More sharing options...
Swanny17 Posted January 31, 2012 Share Posted January 31, 2012 What does selling 4 years worth of st money mean? I think the gist of it is that he allegedly borrowed ?24M from Ticketus which he allegedly used to buy the club. This ?24M is a short term loan, and will require to be paid off with the cash from Season Ticket sales over the next 3 seasons. This leaves Rangers on the brink, as they?ll have very little income on a season to season basis, especially if the fail to win the league this year (and get the CL place). Tick tock indeed, and I?d just like to say to Chick Young ? GIRFUY. Link to comment Share on other sites More sharing options...
Moriarty Posted January 31, 2012 Share Posted January 31, 2012 Best article ever Link to comment Share on other sites More sharing options...
Pete Seeger Posted January 31, 2012 Share Posted January 31, 2012 I always enjoyed the Daily Record. Surely it could be bettered with a broken crest though? Link to comment Share on other sites More sharing options...
H J Simpson Posted January 31, 2012 Share Posted January 31, 2012 What does selling 4 years worth of st money mean? Ignore the figures as I've basically made them up as I don't know how much Rangers make in season tickets but assuming Rangers make ?10 million a year in season tickets, Whyte has gone to a company who have given him a loan for ?40 million to fund the take over and running costs, based on projected income on the season tickets for the next 4 years at ?10 million a year. They will now have to pay back the ?40 million plus the sizeable interest on the loan and, if I'm reading it correctly, the VAT on the ticket sales. Link to comment Share on other sites More sharing options...
Tasavallan Posted January 31, 2012 Share Posted January 31, 2012 I think the gist of it is that he allegedly borrowed ?24M from Ticketus which he allegedly used to buy the club. This ?24M is a short term loan, and will require to be paid off with the cash from Season Ticket sales over the next 3 seasons. This leaves Rangers on the brink, as they?ll have very little income on a season to season basis, especially if the fail to win the league this year (and get the CL place). Tick tock indeed, and I?d just like to say to Chick Young ? GIRFUY. Unless ST prices are ring-fenced it leaves Ticketus with the ability of raising ST prices not only to recover its ?24M, but to make a profit too. It will be interesting to see how the Weegia spin this. Link to comment Share on other sites More sharing options...
Guest GhostHunter Posted January 31, 2012 Share Posted January 31, 2012 Rangers "Due Diligence" when Whyte came in ? Link to comment Share on other sites More sharing options...
K1874M Posted January 31, 2012 Share Posted January 31, 2012 Sounds like poetry.... Wonder why the record have turned in their beloved. Link to comment Share on other sites More sharing options...
Guest Bilel Mohsni Posted January 31, 2012 Share Posted January 31, 2012 http://www.dailyrecord.co.uk/2012/01/31/rangers-owner-craig-whyte-admits-he-sold-four-years-worth-of-season-tickets-to-keep-ibrox-club-running-86908-23728301/ And more troubles with HMRC CRAIG WHYTE sold off four years of fans' money to help fund his Rangers buy-out, it was revealed last night. And Record Sport can also reveal high-ranking HMRC officials are investigating alleged non-payment of VAT since Whyte gained control of the club last May. Current director Dave King and former board member Paul Murray have been quizzed by the tax authorities as part of their enquiry which has revealed ?24.4million has been borrowed against future season-tickets sales. Tranches of tickets over four seasons have been sold to Ticketus, a London-based group linked to Octopus, and it's claimed this deal helped finance Whyte's operating costs after the takeover. Whyte himself last night confirmed he had sold off the tickets but denied he used the money to pay off Lloyds Bank. He insisted the ?18m for the bank came from one of his companies. When Whyte took over Rangers' debt was ?18m to Lloyds Bank and their wage bill had been reduced to ?14m but it is believed the club could owe much more than that. It's thought the current debt is ?21m to Ticketus plus ?5m VAT on the ticket deal. But there could be other bills due and of course Rangers are awaiting the final verdict on their ?49m EBT (Employee Benefit Trust) tax case. Last night Whyte insisted the Ticketus deal was normal practice for clubs and his spokesman said: "The suggestion that the Rangers takeover was funded through financing arrangements on season tickets is categorically untrue. "Rangers FC is no different in that it has a working capital facility with Ticketus, as have many, many other clubs. It is a common arrangement in football. This facility was in place at Ibrox long before the takeover." The EBT ruling is due within weeks and if Rangers lose they will be facing financial meltdown. Their debt could then be in the ?75m region with liquidation a stark reality. But many now fear Rangers could be tipped over the abyss and into some kind of insolvency even before their Judgment Day over the tax case. Rangers fans put their faith in Whyte believing he would get rid of the club's debt and also provide transfer money for manager Ally McCoist, who has been an impoverished bystander during this transfer window. But the Ibrox club's support will be shocked by the detail of invoices and letters now in the revenue's possession. It is claimed these show Whyte sold off massive chunks of Rangers' future season-ticket sales. And former board member Murray believes the takeover wouldn't have been possible without the fans, even though they had no idea future tickets had been sold off to raise extra cash. Murray said: "These documents prove to me that Rangers fans have actually paid and will continue to pay for the sale of their club." He added that HMRC have told him they are also due VAT, as much as ?5m, on the deal with Ticketus and insists he has seen details of letters and invoices held by HMRC. Murray claims that in one of the documents, a letter dated March 8, 2011 and signed by Whyte, it is alleged he made it clear that through Wavetower, his bid vehicle at the time, he would be entering into a deal to sell the season tickets to a company called Ticketus. They are part of London-based Octopus, a perfectly legitimate lender who grant immediate loans based on future ticket sales. Record Sport managed to speak with most of the people who were on the Rangers board at the time of the takeover and they insist they knew nothing about the sale of season tickets. In fact they tried to ring-fence supporters' money. The papers, which are being pored over by HMRC officials, are said to reveal borrowing against ticket sales for seasons 2011-12, 12-13 and 13-14 that Whyte was able to raise ?24.4m. Then on June 27 he was hit with the first of his repayment bills from Ticketus, who were demanding a total of ?9.5m, their share of that summer's season-ticket sales. Whyte could only come up with ?3.5m cash and to fill the shortfall mortgaged off part of season 2014-15 to the value of ?6m. Opening in March last year Murray claims the detail contained within HMRC's file is extensive and explosive. This is the timetable and interpretation of events: March 8, 2011: A letter from Liberty Capital (one of Whyte's companies) is signed by Whyte and addressed to Ticketus. In the letter Whyte confirms the intention to sell Rangers' season tickets to Ticketus. April 7: Lawyers on behalf of Ticketus deposit ?24.4m into a Collyer Bristow (lawyers for Whyte's bid) client account. A further ?2m was placed in the same account from a company called JLT Benefit Solutions with ?1m from the Merchant House Group, a firm of corporate finance specialists with whom Whyte is closely linked. May 9: An agreement was entered into between Ticketus and Rangers to sell the season tickets.This was just three days after the takeover date of May 6. The bank was repaid the ?18m. June 27: Ticketus raised an invoice to Rangers seeking first repayment of ?9.5m on their agreement. Rangers paid only ?3.5m of that amount in cash and borrowed ?6m more from Ticketus by selling another portion of 2013-14 as well as a portion of season 2014-15. Analysts stress there is nothing illegal in selling future ticket sales. In fact, it is common practice in British football, although the problems encountered by Leeds United and Newcastle United, who both borrowed too often and too much, are proof of the dangers. Whyte has never declared the deals with Ticketus although HMRC documents suggest he has cashed in on fan loyalty. The tax officials quizzed Murray and South African-based King, who was on conference call, as recently as last Friday morning. They insisted they had no knowledge of what had been happening and Murray, who last year offered to take the club off Lloyds' books and invest ?15m in the team in a last-ditch attempt to prevent Whyte from getting the club, said he couldn't believe what he was reading when presented with the HMRC file. "HMRC asked for a meeting at the end of last week to find out what knowledge I, having been a director of the club at the time, had of these transactions prior to the takeover," Murray said. "I knew nothing about this and although I have been questioned by HMRC and seen some especially revealing documents which are in their possession, it is still very hard to take in what has been going on. "Collyer Bristow were acting for Craig Whyte during the takeover and I have been shown their client account, from the opening of it until today. "I've also seen all invoices from Ticketus to Rangers and Rangers to Ticketus supporting all these actions. "I can't believe Rangers have been handed over in this way. "Remember also, the Independent Board, set up to make sure any potential buyers were capable of making the purchase and then funding the business, asked repeatedly where Craig Whyte was getting the money. "He said it was from his own personal wealth and through Liberty Capital, which he insisted he owned 100 per cent, in the British Virgin Islands. "Plans were being made to sell off future ticket sales but the directors were never told. This was all being done behind our backs." King was also shocked to learn of the seasonticket sale and said: "Securitising season tickets is a valid seasonal funding strategy to smooth cash flows within the year - but no longer." Whyte's spokesman added: "The takeover team instigated discussions with Ticketus prior to the takeover because the relationship with Rangers was already in place and the new owners wanted to continue it. "They were clear from the outset they wanted to ensure there were robust working capital provisions in place that could deal with the many financial challenges the club faces. "The takeover was funded by one of Mr Whyte's companies. Several months before then - and long before any discussions with Ticketus - Mr Whyte was asked to provide proof of funds for the takeover and he did that to the satisfaction of the previous owners, Lloyds Banking Group and professional advisers." Link to comment Share on other sites More sharing options...
The Comedian Posted January 31, 2012 Share Posted January 31, 2012 I wonder if "Ibrox" was used as security on this. Sounds like things are moving on at a pace through west. Their prize asset sold on the cheap (no matter what the press here might say). I reckon all the Jellyfish money is tied up in just keeping Rangers afloat for the next couple of months. It's been reported his old club are due a sell on aswell as the remaining initial transfer fee. Factor in wages, they might make a loss. Link to comment Share on other sites More sharing options...
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