The Rangers soap opera goes on and on.

[rudi]

I've seen it claimed ('Tomo' on Twitter) that even if the ruling sides with HMRC, they still don't get extra money from Rangers. Can someone more knowledgable in this department explain why this is the case? I would've thought that it meant they had a claim for a bigger proportion of the cash from the liquidating of Rangers?

I would say it's because Murray doesn't own der hun anymore and that is who they are having their battle with, IMO it would be like the Lithuanian authorities coming after us now for money due to them by vlad.

[Toxteth O'Grady]

I would say it's because Murray doesn't own der hun anymore and that is who they are having their battle with, IMO it would be like the Lithuanian authorities coming after us now for money due to them by vlad.

could hmrc go after the EBT recipients?

[Footballfirst]

I've seen it claimed ('Tomo' on Twitter) that even if the ruling sides with HMRC, they still don't get extra money from Rangers. Can someone more knowledgable in this department explain why this is the case? I would've thought that it meant they had a claim for a bigger proportion of the cash from the liquidating of Rangers?

 

Any liability will fall on the Oldco (RFC 2012), so BDO will have to include the appropriate amount to that already assessed for the non payment of the wee tax case, PAYE, NIC and VAT.

 

If the appeal is indeed rejected I would expect Rangers fans to claim that the club was victimised.  However the argument falls down with the lack of distinction between club and company. Their fans will rightly claim that the club they support is not liable for the old company's tax debts.  However, they then can't play the victim card if they also claim to be the old club within a new company.  The "club", as they quote LNS, has "no legal personality", so it can't have ever been liable for tax as that is the responsibility of a company or a person which has a "legal personality" 

[GarryJ-o-s]

Thank you for your full assessment in your previous comment. Had to read through it, literally, about five times before I understood it (not a slight on your explanation, the liability is on me lack of following the case until fairly recently), but I can honestly say I now do.
 

Any liability will fall on the Oldco (RFC 2012), so BDO will have to include the appropriate amount to that already assessed for the non payment of the wee tax case, PAYE, NIC and VAT.

 

If the appeal is indeed rejected I would expect Rangers fans to claim that the club was victimised.  However the argument falls down with the lack of distinction between club and company. Their fans will rightly claim that the club they support is not liable for the old company's tax debts.  However, they then can't play the victim card if they also claim to be the old club within a new company.  The "club", as they quote LNS, has "no legal personality", so it can't have ever been liable for tax as that is the responsibility of a company or a person which has a "legal personality" 

By this comment, are you saying that HMRC would have a larger proportional claim on the Oldco liquidation purse?

For clarification, is the second paragraph indicating that they may claim to be incorrectly liquidated; however, as their club is no longer affected by the Oldco (in their eyes) then that would make this case irrelevant? Will they not put up an argument suggesting that they were liquidated because of the prospect of this tax case - as I read on social media earlier - though we (the impartial) know they were unable to cover their debts even excluding the outcome of tomorrow's appeal?

Apologies in advance, this case is like the Hydra: every time a question is answered, several other emerge.

[Footballfirst]

Thank you for your full assessment in your previous comment. Had to read through it, literally, about five times before I understood it (not a slight on your explanation, the liability is on me lack of following the case until fairly recently), but I can honestly say I now do.

 

By this comment, are you saying that HMRC would have a larger proportional claim on the Oldco liquidation purse?

 

For clarification, is the second paragraph indicating that they may claim to be incorrectly liquidated; however, as their club is no longer affected by the Oldco (in their eyes) then that would make this case irrelevant? Will they not put up an argument suggesting that they were liquidated because of the prospect of this tax case - as I read on social media earlier - though we (the impartial) know they were unable to cover their debts even excluding the outcome of tomorrow's appeal?

 

Apologies in advance, this case is like the Hydra: every time a question is answered, several other emerge.

 

The HMRC claim on the oldco currently stands at ?94M, ?72M relates to the BTC.  The other ?22M is not disputed and includes the WTC, PAYE, NIC and VAT.

 

If the HMRC appeal fails then the ?72M will be reduced accordingly but any liability that is confirmed by the reconvened FTTT in respect of the 5 and the 35 EBTs will remain. 

 

Let's say the FTTT quantifies this liability as ?10M, then HMRC's claim against the oldco would go down to ?32M (including the undisputed ?22M).

 

===========================

 

In answer to the "unfairly liquidated" question, HMRC's undisputed ?22M claim represented more than 25% of the total unsecured creditors claims at the time of the CVA, therefore HMRC would have had a big enough vote to block a CVA, and liquidation would have followed anyway.

 

The expectation that the club would lose the BTC was obviously a major factor in their demise, as the potential liability would have put off most prospective purchasers. The negotiations over the sale of the club had been going on around the ?6M mark before the liability for the "Wee Tax Case" surfaced, so Whyte was able to negotiate the price down and acquire the club, including liabilities, for just the ?1.

[Footballfirst]

Dave King's previous "Contempt of Court" charge in South Africa

 

http://www.saflii.org/za/cases/ZAGPPHC/2013/68.html

 

 

I can come to no other conclusion but that contempt of court has been proved. The respondent did not advance any evidence to show that he was not wilful and mala fides. All the evidence show that the respondent is obstructing the court order wilfully and has no intention to comply with the order. Therefore I find the respondent in contempt of court.

 

[36] I therefore make the following order:

1. The matter is urgent;

2. The respondent is in contempt of the court order granted by His Lordship Mr Justice van der Menwe on 14 November 2012 in the above Honourable Court Case under case no. 65542/2012 (?the order?)

3. The respondent is ordered to purge his contempt of the order within 24 hours of service of this order by:

3.1 Delivering to the applicant, in his capacity as curator bonis, all books and records in his possession or under his control relating to the affairs of Talacar Holdings (Pty) Ltd (?Talacar?) and Gaius Atticus (Pty) Ltd (?Gaius Atticus?) including, in particular, all bank statements and formal company documents (including but not limited to minutes of meetings) in accordance with paragraphs 2.4 of the order;

3.2 Insofar as the respondent is not in possession or does not have control of the books and records referred to in paragraph 3.1 above, the respondent is required to inform the applicant in writing as to the whereabouts of such records in accordance with paragraph 2.4.2 of the order;

3.3 Handing the keys of the Volkswagen Golf Cabriole? with registration number parked in the garage at 54 Beachy Head Drive, Plettenberg Bay (?the Plettenberg Bay property?) so that same can be removed by the Sheriff;

3.4 Handing over the keys to the Mercedes S500 vehicle with registration number JJY 630 GP currently parked at Erf 2258, Blanco, George situated in the Fancourt Golf Estate (?the Fancourt property?) so that same can be removed by the Sheriff;

3.5 Handing over the keys to the Ferrari with registration number HBS 274 GP currently parked in the garage at 34 Coronation Drive, Sandhurst (?the Sandhurst property?) and giving the sheriff and applicant access to the Sandhurst property so that the vehicle can be removed;

3.6 Permitting the applicant and a valuator to attend at the Sandhurst property for the purpose of inspecting and valuing the wine collection and the assets previously attached.

4. In the event of the respondent failing to purge his contempt in

terms of paragraph 3 above:-

4.1 The Sheriff of the above Honourable Court is directed to take all and any steps necessary to ensure the removal of the vehicles referred to in paragraphs 3.3 to 3.5 above;

4.2 The Sheriff is directed to take any steps necessary to obtain access to the Sandhurst Property to enable the applicant to inspect the wine collection and the assets attached and to have them valued;

4.3 The respondent is committed to prison for a period of 3 months imprisonment suspended for 3 years on condition that the respondent is not found in contempt of court during the period of suspension.

5. The respondent is ordered to pay the costs of this application on the scale as between attorney and own client, such costs to include the cost of two counsel.

6. The counter application is dismissed with costs, including the costs of two counsel.

 

Judge Preorius

Case number: 5984/2013

Heard on: 13 February 2013

 

So he it still under a suspended sentence of 3 months imprisonment

Edited November 3, 2015 by Footballfirst

[...a bit disco]

could hmrc go after the EBT recipients?

 

Like Billy Dodds you mean?

 

Marvellous.

 

[Guest Bilel Mohsni]

Like Billy Dodds you mean?

 

Marvellous.

 

Now that would be amusing. Wasn't Bazza on that list too? Sure there were a few more on it who I'd enjoy watching squirm.

[...a bit disco]

Now that would be amusing. Wasn't Bazza on that list too? Sure there were a few more on it who I'd enjoy watching squirm.

 

Thanks to the Daily Record for this.

 

 

  

WHO GOT WHAT

 

Alan Hutton ?364,000 . Made debut in 2002 and played 94 games, before ?9million move to Spurs.

 

Alex McLeish ?1.7million . Managed Rangers from 2001-06.

 

Alex Rae ?569,000 . Midfielder arrived at Ibrox in 2004 and spent two years there. Played 34 games.

 

Andrei Kanchelskis ?145,000 . Russian winger arrived from Fiorentina in 1998 for ?5.5million.

 

Andrew Dickson ?33,000 . Head of football administration since 2003. Previously financial controller at Ibrox.

 

Arthur Numan ?510,000 . Dutch full-back arrived at Rangers from PSV Eindhoven in 1998 for ?4.5million. Played 118 times.

 

Barry FergusonBarry Ferguson  

Barry Ferguson ?2.5million . Former youth player who became Rangers captain. Played at Ibrox from 1996-2003 and 2005-09.

 

Bert Konterman ?300,000 . Dutch defender signed by Dick Advocaat for ?4.5million in 2000.

 

Bert Van Lingen ?65,000 . Assistant manager under Dick Advocaat from 1998 to 2002.

 

Billy Dodds ?190,000 . Arrived in a ?1.5million deal from Dundee United in 1999.

 

Bob Malcolm ?125,000. Central defender started his career with Rangers in 1997. Played 88 games. Left for Derby County in 2006.

 

Carlos Cuellar ?448,255 . Spanish centre-half arrived from Osasuna in ?2.37million deal in 2007. Moved to Aston Villa in 2008.

 

Chris Burke ?55,000 . Started career at Rangers, playing 96 games from 2002 to 2009. Left for Cardiff City.

 

Christian Nerlinger ?1.8million . German midfielder signed from Borrusia Dortmund in 2001 and left in 2004.

 

Claudio Caniggia ?1million . Argentinian signed from Dundee for ?1million in 2001.

 

Craig Moore ?1.1million . Australian centre-half played more than 90 games from 1994-98. Returned in 1999 and stayed until 2005.

 

Dado Prso ?1.9million . Croatian striker was free transfer in 2004. Left for Dinamo Zagreb in 2007.

 

Dan Eggen ?68,000 . Norwegian central defender signed in 2003 from Spanish club Alaves.

 

Sir David Murray ?6.3million . Owned club from 1988-2011. They won 15 titles and 26 cups. Sold shares to Craig Whyte for ?1.

 

Dick AdvocaatDick Advocaat  

Dick Advocaat ?1.5million . Rangers manager from 1998-2002. Spent almost ?74million to win five trophies, including two titles.

 

Douglas Odam ?119,000 . Finance director for 15 years. Left in 2003 to take up a role within 

Sir David Murray?s business empire.

 

Egil Ostenstad ?370,000 . Norwegian forward signed from Blackburn on free transfer in 2003.

 

Fernando Ricksen ?684,225 . Dutch right-back signed in 2000 from AZ Alkmaar for ?3.75million.

 

Federico Nieto ?24,500 . Argentine striker joined on loan deal in 2005 from Almagro. Scored once in three matches.

 

Gavin Rae ?376,000 . Midfielder signed from Dundee in 2004 for a fee of ?250,000. Moved to Cardiff in 2007.

 

George Adams ?30,000 . Ex-player was head of youth development between 2003-05.

 

Graeme Souness ?30,000 . Player-manager from 1986-91.

 

Gregory Vignal ?173,000 . French defender joined on loan from Liverpool in 2004. Moved to Portsmouth in 2005.

 

Ian McGuinness ?25,400 . Club doctor sacked after Paul Le Guen left.

 

Ian Murray ?95,000 . Midfielder was free transfer from Hibernian in 2006. Left in 2007.

 

Jan Wouters ?285,000 . Former Dutch midfielder joined as a coach under Dick Advocaat, then Alex McLeish. Left in 2006.

 

Jean-Alain Boumsong ?630,000 . French centre-half joined in 2004 on free transfer. Moved to for Newcastle for ?8million.

 

Do you know your EBTs from your HMRCs?  

Jerome Bonnissel ?48,000 . French left-back arrived in 2003 from Bordeaux.

 

Jesper Christiansen ?320,000 . Danish goalkeeper signed in 2000 as injury cover.

 

Joel Le Hir ?28,275 . Paul Le Guen-appointed physiotherapist from 2006 to 2007.

 

John Greig ?40,000 . Played for club from 1961-78. Managed Rangers from 1978 to 1983. Later became a director.

 

John McClelland ?225,000 . Appointed a director in 2000. Chairman from 2002 to 2004. Resigned last year.

 

Julien Rodriguez ?638,000 . French centre-half signed from Monaco in 2005 for ?1million. Left for Marseille in 2007.

 

Kevin Muscat ?1million . Australian defender joined from Wolves in 2002 on free transfer. Joined Millwall in 2003.

 

Kris Boyd ?215,000 . Signed from Kilmarnock in 2006 for ?500,000. Left in 2010.

 

Libor Sionko ?178,000 . Czech midfielder signed from Austria Vienna in 2006. Played 18 matches before signing Copenhagen in 2007.

 

Lorenzo Amoruso ?639,000 . Italian defender signed from Fiorentina for ?4million in 1997. Moved to Blackburn Rovers for ?1.4million in 2003.

 

Martin Bain ?249,000 . Chief executive of Rangers from 2005 to 2011. Resigned after Murray sold club to Whyte.

 

Marvin Andrews ?316,025 . Centre-half from Trinidad and Tobago joined from Livingston in 2004.

 

Maurice Ross ?120,000 . Played 78 games for Rangers from 2000 to 2005, before moving to Sheffield Wednesday.

 

Michael Ball ?1.4million . Left-back signed from Everton in 2001 for ?6.5million. Moved to PSV Eindhoven in 2005.

 

Michael Mols ?260,000 . Dutch striker joined Rangers under Dick Advocaat. He arrived in 1999 and spent five years at Ibrox.

 

Mikel Arteta ?674,603 . Spanish midfielder joined in 2002 and played 50 matches, scoring 12 goals. Moved to Everton.

 

Nacho Novo ?1.2million. Spanish striker joined in 2004 from Dundee for ?450,000.

 

Neil McCann ?500,000 . Winger joined from Hearts in 1998 for ?2million.

 

Nuno Capucho ?970,000 . Portuguese winger who arrived in 2003 for ?700,000.

 

Olivier Bernard ?224,000 . French defender arrived on a free transfer in 2005.

 

Paolo Vanoli ?592,000 . Italian left-back joined from Bologna in 2003 and played in 28 matches.

 

Tore Andre FloTore Andre Flo was given ?1.3m from the EBT cheme  

Paul Le Guen ?201,250 . French manager replaced Alex McLeish in 2006. Left in January 2007 after a string of poor results.

 

Pedro Mendes ?1million . Portuguese midfielder joined in 2008 for ?3million. Joined Vituria Guimares in 2010.

 

Peter Lovenkrands ?902,000 . Danish winger arrived in 2000 from Akademisk Boldklub for ?1.3million.

 

Ronald De Boer ?1.2million . Dutch midfielder joined in 2000 under Advocaat.

 

Ronald Waterreus ?510,000 . Dutch goalkeeper joined Rangers in 2004 from Manchester City.

 

Sasa Papac ?319,000 . Bosnian left-back arrived in 2006 from Austria Vienna for ?450,000.

 

Sotirios Kyrgiakos ?532,200 . Greek centre-half signed from Panathinaikos in 2005.

 

Stefan Klos ?2million . German international keeper signed in 1999 for ?800,000. Join Bayer Leverkusen in 2007.

 

Stephane Wiertelak ?28,275 . French fitness-physiotherapy coach joined Rangers in 2006 under Le Guen.

 

Steven Davis ?600,000 . Northern Ireland midfielder. Left for Southampton in the summer.

 

Steven Smith ?7500 . Defender came through youth ranks and made debut in 2004.

 

Steven Thompson ?485,000 . Joined from Dundee United in 2003 for ?200,000. Went to Cardiff City in 2006.

 

Tero Penttila ?140,000 . Finnish defender joined in 1999 for ?300,000 from Haka Valkeakoski. Left in 2002 to join HJK Helsinki.

 

Thomas Buffel ?1.2million. Belgian midfielder joined in 2005 for ?2.3million from Feyenoord.

 

Tore Andre Flo ?1.3million . Norwegian striker joined from Chelsea in 2000 for ?12million. Sold for ?6.75million to Sunderland in 2002.

 

Yves Colleau ?106,200 . Former French midfielder served as assistant to Le Guen at Rennes, Lyon and Rangers from 2006 to 2007.

 

Zurab Khizanishvili ?405,000 . Georgian defender joined on a free transfer from Dundee in 2003. Moved to Blackburn Rovers in 2005.

[Mysterion]

Could it be the case that if it ruled in HMRC's favour then it could come under BDO's remit to pursue a payment (either to request the EBT loan be repaid or the tax normally due be paid to them)?

Edited November 3, 2015 by Mysterion

[Guest Bilel Mohsni]

 

 

 

Thanks to the Daily Record for this.

 

 

Delightful.

[Dutchmul]

Re the tax case judgement, rangers(IL) have already admitted liability for tax on 5(i think) of the ebt's, those are not up for dispute, they lost the wee tax case as well, plus hmrc are looking for approx 15m in unpaid PAYE, NIC's and VAT from whyte's time at the club, those again are not up for dispute re what is owed. It's only the remaining EBT cases that are covered by this appeal.

 

If HMRC lose, they will take it to the supreme court.

 

Re going after the recipients of the money from the EBT's, that normally does not happen in cases like this, it's usually down to the company which used the schemes to avoid tax that have to stump up the evaded tax(even if they are in admin/liquidation). Remember that the players that received money, actually got the money from a trust based in the channel islands, not from rangers directly and it's in the form of a loan(however dubious), so the only party owed money by the players is the trust and not rangers themselves. 

[Dutchmul]

What seems clear to me is that the Rangers PR 'machine' is making serious attempts at painting SD / Ashley as the bogey men.  King's statement last week, the DR article today and Sons of Struth digging up a story from August.  Classic deflection tactics, in preparation for more bad news - publication of the accounts possibly, or something more serious?

 

 

I thinks it's a combination - the accounts, no cash & whatever ashley is up to.

[Footballfirst]

I take it you've read this too. [emoji6]

 

http://www.ftomasek.com/4745.pdf

 

 

Sent from my iPad using Tapatalk

 

Yes - I think its the one that John James keeps referring back to re Specialised Outsourcing.

[Jambo 4 Ever]

 

 

Thanks to the Daily Record for this.

 

 

 

WHO GOT WHAT

 

Alan Hutton ?364,000 . Made debut in 2002 and played 94 games, before ?9million move to Spurs.

 

Alex McLeish ?1.7million . Managed Rangers from 2001-06.

 

Alex Rae ?569,000 . Midfielder arrived at Ibrox in 2004 and spent two years there. Played 34 games.

 

Andrei Kanchelskis ?145,000 . Russian winger arrived from Fiorentina in 1998 for ?5.5million.

 

Andrew Dickson ?33,000 . Head of football administration since 2003. Previously financial controller at Ibrox.

 

Arthur Numan ?510,000 . Dutch full-back arrived at Rangers from PSV Eindhoven in 1998 for ?4.5million. Played 118 times.

 

Barry FergusonBarry Ferguson

Barry Ferguson ?2.5million . Former youth player who became Rangers captain. Played at Ibrox from 1996-2003 and 2005-09.

 

Bert Konterman ?300,000 . Dutch defender signed by Dick Advocaat for ?4.5million in 2000.

 

Bert Van Lingen ?65,000 . Assistant manager under Dick Advocaat from 1998 to 2002.

 

Billy Dodds ?190,000 . Arrived in a ?1.5million deal from Dundee United in 1999.

 

Bob Malcolm ?125,000. Central defender started his career with Rangers in 1997. Played 88 games. Left for Derby County in 2006.

 

Carlos Cuellar ?448,255 . Spanish centre-half arrived from Osasuna in ?2.37million deal in 2007. Moved to Aston Villa in 2008.

 

Chris Burke ?55,000 . Started career at Rangers, playing 96 games from 2002 to 2009. Left for Cardiff City.

 

Christian Nerlinger ?1.8million . German midfielder signed from Borrusia Dortmund in 2001 and left in 2004.

 

Claudio Caniggia ?1million . Argentinian signed from Dundee for ?1million in 2001.

 

Craig Moore ?1.1million . Australian centre-half played more than 90 games from 1994-98. Returned in 1999 and stayed until 2005.

 

Dado Prso ?1.9million . Croatian striker was free transfer in 2004. Left for Dinamo Zagreb in 2007.

 

Dan Eggen ?68,000 . Norwegian central defender signed in 2003 from Spanish club Alaves.

 

Sir David Murray ?6.3million . Owned club from 1988-2011. They won 15 titles and 26 cups. Sold shares to Craig Whyte for ?1.

 

Dick AdvocaatDick Advocaat

Dick Advocaat ?1.5million . Rangers manager from 1998-2002. Spent almost ?74million to win five trophies, including two titles.

 

Douglas Odam ?119,000 . Finance director for 15 years. Left in 2003 to take up a role within

Sir David Murray?s business empire.

 

Egil Ostenstad ?370,000 . Norwegian forward signed from Blackburn on free transfer in 2003.

 

Fernando Ricksen ?684,225 . Dutch right-back signed in 2000 from AZ Alkmaar for ?3.75million.

 

Federico Nieto ?24,500 . Argentine striker joined on loan deal in 2005 from Almagro. Scored once in three matches.

 

Gavin Rae ?376,000 . Midfielder signed from Dundee in 2004 for a fee of ?250,000. Moved to Cardiff in 2007.

 

George Adams ?30,000 . Ex-player was head of youth development between 2003-05.

 

Graeme Souness ?30,000 . Player-manager from 1986-91.

 

Gregory Vignal ?173,000 . French defender joined on loan from Liverpool in 2004. Moved to Portsmouth in 2005.

 

Ian McGuinness ?25,400 . Club doctor sacked after Paul Le Guen left.

 

Ian Murray ?95,000 . Midfielder was free transfer from Hibernian in 2006. Left in 2007.

 

Jan Wouters ?285,000 . Former Dutch midfielder joined as a coach under Dick Advocaat, then Alex McLeish. Left in 2006.

 

Jean-Alain Boumsong ?630,000 . French centre-half joined in 2004 on free transfer. Moved to for Newcastle for ?8million.

 

Do you know your EBTs from your HMRCs?

Jerome Bonnissel ?48,000 . French left-back arrived in 2003 from Bordeaux.

 

Jesper Christiansen ?320,000 . Danish goalkeeper signed in 2000 as injury cover.

 

Joel Le Hir ?28,275 . Paul Le Guen-appointed physiotherapist from 2006 to 2007.

 

John Greig ?40,000 . Played for club from 1961-78. Managed Rangers from 1978 to 1983. Later became a director.

 

John McClelland ?225,000 . Appointed a director in 2000. Chairman from 2002 to 2004. Resigned last year.

 

Julien Rodriguez ?638,000 . French centre-half signed from Monaco in 2005 for ?1million. Left for Marseille in 2007.

 

Kevin Muscat ?1million . Australian defender joined from Wolves in 2002 on free transfer. Joined Millwall in 2003.

 

Kris Boyd ?215,000 . Signed from Kilmarnock in 2006 for ?500,000. Left in 2010.

 

Libor Sionko ?178,000 . Czech midfielder signed from Austria Vienna in 2006. Played 18 matches before signing Copenhagen in 2007.

 

Lorenzo Amoruso ?639,000 . Italian defender signed from Fiorentina for ?4million in 1997. Moved to Blackburn Rovers for ?1.4million in 2003.

 

Martin Bain ?249,000 . Chief executive of Rangers from 2005 to 2011. Resigned after Murray sold club to Whyte.

 

Marvin Andrews ?316,025 . Centre-half from Trinidad and Tobago joined from Livingston in 2004.

 

Maurice Ross ?120,000 . Played 78 games for Rangers from 2000 to 2005, before moving to Sheffield Wednesday.

 

Michael Ball ?1.4million . Left-back signed from Everton in 2001 for ?6.5million. Moved to PSV Eindhoven in 2005.

 

Michael Mols ?260,000 . Dutch striker joined Rangers under Dick Advocaat. He arrived in 1999 and spent five years at Ibrox.

 

Mikel Arteta ?674,603 . Spanish midfielder joined in 2002 and played 50 matches, scoring 12 goals. Moved to Everton.

 

Nacho Novo ?1.2million. Spanish striker joined in 2004 from Dundee for ?450,000.

 

Neil McCann ?500,000 . Winger joined from Hearts in 1998 for ?2million.

 

Nuno Capucho ?970,000 . Portuguese winger who arrived in 2003 for ?700,000.

 

Olivier Bernard ?224,000 . French defender arrived on a free transfer in 2005.

 

Paolo Vanoli ?592,000 . Italian left-back joined from Bologna in 2003 and played in 28 matches.

 

Tore Andre FloTore Andre Flo was given ?1.3m from the EBT cheme

Paul Le Guen ?201,250 . French manager replaced Alex McLeish in 2006. Left in January 2007 after a string of poor results.

 

Pedro Mendes ?1million . Portuguese midfielder joined in 2008 for ?3million. Joined Vituria Guimares in 2010.

 

Peter Lovenkrands ?902,000 . Danish winger arrived in 2000 from Akademisk Boldklub for ?1.3million.

 

Ronald De Boer ?1.2million . Dutch midfielder joined in 2000 under Advocaat.

 

Ronald Waterreus ?510,000 . Dutch goalkeeper joined Rangers in 2004 from Manchester City.

 

Sasa Papac ?319,000 . Bosnian left-back arrived in 2006 from Austria Vienna for ?450,000.

 

Sotirios Kyrgiakos ?532,200 . Greek centre-half signed from Panathinaikos in 2005.

 

Stefan Klos ?2million . German international keeper signed in 1999 for ?800,000. Join Bayer Leverkusen in 2007.

 

Stephane Wiertelak ?28,275 . French fitness-physiotherapy coach joined Rangers in 2006 under Le Guen.

 

Steven Davis ?600,000 . Northern Ireland midfielder. Left for Southampton in the summer.

 

Steven Smith ?7500 . Defender came through youth ranks and made debut in 2004.

 

Steven Thompson ?485,000 . Joined from Dundee United in 2003 for ?200,000. Went to Cardiff City in 2006.

 

Tero Penttila ?140,000 . Finnish defender joined in 1999 for ?300,000 from Haka Valkeakoski. Left in 2002 to join HJK Helsinki.

 

Thomas Buffel ?1.2million. Belgian midfielder joined in 2005 for ?2.3million from Feyenoord.

 

Tore Andre Flo ?1.3million . Norwegian striker joined from Chelsea in 2000 for ?12million. Sold for ?6.75million to Sunderland in 2002.

 

Yves Colleau ?106,200 . Former French midfielder served as assistant to Le Guen at Rennes, Lyon and Rangers from 2006 to 2007.

 

Zurab Khizanishvili ?405,000 . Georgian defender joined on a free transfer from Dundee in 2003. Moved to Blackburn Rovers in 2005.

Would David Murray have to pay something back too?

[BRAVEHEART1874]

So the outcome is today yet sevco fans say the outcome has already been decided in their favour before the holiday and it's just a formality But even if so there is still a couple of positives - the fact that sevco will never be able to use this scheme to get players so no matter how much the kingalings kid themselves on They will NEVER have a team anything like those players ever again! oh and you still got liquidated

Edited November 4, 2015 by BRAVEHEART1874

[Maroonblood22]

"Dick Advocaat ?1.5million . Rangers manager from 1998-2002. Spent almost ?74million to win five trophies, including two titles."

 

[Guest Bilel Mohsni]

Martin Bain.

[cameron79]

IIRC Souness got a fair whack of the EBTs as well around the time he signed Boumsong at Newcastle for 8mill. Even though Boumsong could have been signed on a bosman 6 months previously.

 

All coincidence I'm sure....

[DETTY29]

Wonder if King said to SFA

 

'No Fit and Proper approval and I've got ?30m burning a whole in my pocket to sue the arse off you'

[buzzbomb1958]

I would say it's because Murray doesn't own der hun anymore and that is who they are having their battle with, IMO it would be like the Lithuanian authorities coming after us now for money due to them by vlad.

Don't give messers Moffat and greenginger any ideas! Crayons and paper out as we speak.

[Don Dan]

 

"4.3 The respondent is committed to prison for a period of 3 months imprisonment suspended for 3 years on condition that the respondent is not found in contempt of court during the period of suspension."

 

This makes a mockery of the SPFL/SFA and their "fit and proper person" assessment.

I wonder if any of King's indiscretions (if found guilty) here in the UK would trigger the above and he'd end up in jail in SA?

[Don Dan]

More importantly, did he disclose this conviction to the Sfa prior to being passed F&PP ?.

I sure he did after all he is a man standing, truth and honesty and would never lie, ever! [emoji348][emoji348][emoji6]

 

 

Sent from my iPhone using Tapatalk

Edited November 4, 2015 by Dannie Boy

[Don Dan]

I sure he did after all he is a man of good standing, truth and honesty and would never lie, ever! [emoji348][emoji348][emoji6]

 

 

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Sent from my iPhone using Tapatalk

[Mikey1874]

Perhaps but then the brickbats would be thrown at the BBC for spending too much time talking about Scotland's newest club. I'm no lover of the Scottish media as my posts can attest but they can't win in this situation. Furthermore, I'm not sure what can be defined as "heads in sand" here. They've been told they need directorial support to stay solvent and they know Mike Ashley has the rights to the badge and trademarks. What else isn't obvious?

they have occasionally covered the story but mainstream media (maybe not Sun / Daily Record) want something more concrete

 

most is speculation

[Footballfirst]

Rangers accounts published

 

http://rangers.co.uk/news/headlines/rangers-international-football-club-annual-results/

 

Key advancements since March 6:

• • The Club has a new Board of Directors in place ensuring a structure that incorporates sound corporate governance
  • The Club was returned to operational and financial stability.
  • A new management team of Mark Warburton and David Weir was appointed and they are building an improved playing squad.
  • Investment in staffing levels, especially at the Auchenhowie training and academy complex, is bringing all departments back up to fully operational standards.
  • Investment in stadium infrastructure.
  • Season ticket sales have increased significantly.
  • Re-engagement with Rangers supporters and football authorities.

Key figures:

• • Turnover ?16.5m (2014 ? ?17.6m)
  • Loss for the year ?7.5m (2014 ? ?8.1m)
  • Operating expenses ?26.8m (2014 ? ?27.7m)

 

PDF file of full report http://rangers.co.uk/wp/wp-content/uploads/2015/11/AnnualReport2015.pdf

 

"The forecast identifies that the group will require up to ?2.5m by way of debt or equity funding by the end of season 2015/2016 in order to meet its liabilities as they fall due. Further funding will be required during the 2016/17 season, the quantum of which is dependent on future football performance and promotion to the SPFL Premiership. The forecast indicates that an initial tranche of funds will be required in December 2015."

 

"EMPHASIS OF MATTER ? GOING CONCERN
In forming our opinion on the financial statements, which is not modified, we have considered the adequacy of the disclosures in note 1 to the financial statements concerning the Group?s ability to continue as a going concern. In order to continue operations for the next 12 months the group is dependent upon raising additional finance. Failure to secure additional funding would result in the existence of a material uncertainty which may cast significant doubt as to the Group?s ability to continue as a going concern. The financial statements do not include the adjustments that would result if the Group was unable to continue as a going concern."

Edited November 4, 2015 by Footballfirst

[Geoff Kilpatrick]

So shareholder funding is in place. Speculation about an admin event can now stop.

[XB52]

So shareholder funding is in place. Speculation about an admin event can now stop.

you must have different eyes to me, the auditors statement makes it clear that they need funding before the end of the year and who knows where that money may come from. 

[beavers]

?The forecast identifies that the group will require up to ?2.5m by way of debt or equity funding by the end of season 2015/2016 in order to meet its liabilities as they fall due"

 

What contingencies have they in place if they lose next weeks case regarding being liable for Greens Court Fees ?

 

No doubt Ashley will bill them for his legal expenses in the beach of gagging order.

[Tasavallan]

• Operating expenses ?26.8m (2014 ? ?27.7m)

For a club in the Championship with cash flow difficulties these Operating Expenses are still far too high.  But if the funding is in place...?

 

[Pistol1874]

you must have different eyes to me, the auditors statement makes it clear that they need funding before the end of the year and who knows where that money may come from.

Note one makes it equally clear that they have assurances from certain existing (though unnamed) shareholders that they will provide funding as required.

Unfortunately.

[Guest Bilel Mohsni]

Note one makes it equally clear that they have assurances from certain existing (though unnamed) shareholders that they will provide funding as required.

Unfortunately.

Must be why Weir was sitting next to you at the weekend. They're going to buy all our best players with this funding.

 

[Don Dan]

"Failure to secure additional funding would result in the existence of a material uncertainty which may cast significant doubt as to the Group?s ability to continue as a going concern."

 

Their continued existence is NOT guaranteed.

[altyjambo]

So the loan situation - 

3 Bears ?2.25m (although probably only 2 of them as Letham was repaid his ?1m)

Big MIke ?5m

GASL   ?1.5m

 

Total ?8.75m

[Boris]

Note one makes it equally clear that they have assurances from certain existing (though unnamed) shareholders that they will provide funding as required.

Unfortunately.

 

From the accounts

 

"The Board of Directors has received undertakings from certain shareholders that they will provide financial support to the Group and have satisfied themselves as to the validity of these undertakings and that the individuals have the means and authority to provide such funding as and when it is required. The Board acknowledge that had these assurances not been secured then a material uncertainty would exist which may cast doubt over the Groups ability to continue as a going concern and therefore it?s ability to realise its assets and discharge its liabilities in the normal course of business. The Board is delighted that this uncertainty has been removed and the appropriate assurances obtained."

[Footballfirst]

Highlights from a quick read of the accounts

• There is a hefty Operating loss of ?9.94M
• Final ST sales came in at 26,515  with an average price (net of VAT) of ?237
• ?The Group or Company has not made any qualifying third-party indemnity provisions for the benefit of its Directors during the period.?
• Shareholder loans currently stand at ?3.75M, of which ?1.5M is King?s
• Cash used in Operations (Cash burn) ?12.18M
• Cash burn financed by ?8.75M loans and ?2.844M share issue
• Cash in the bank at 30 June ?1.091M
• Staff costs of ?13.29M against a turnover of ?16.47M gives a true wage to turnover ratio of 80.7%
• RRL profit was ?2.173M for the year to April 2015 (Shared with SD)
• Inter company debt to due by TRFC now up to ?18.099M
• "The Group paid SDI Retail Services Limited ?620,000 in respect of the costs of closure of stores"
• A hearing was held on 29/30 October re the ?250K EBT fine which is disputed by the club.

Edited November 4, 2015 by Footballfirst

[beavers]

So the loan situation - 

3 Bears ?2.25m (although probably only 2 of them as Letham was repaid his ?1m)

Big MIke ?5m

GASL   ?1.5m

 

Total ?8.75m

Thats just what they owed at the end of June. What other loans have they taken out which doesn?t have to be announced as they are not listed ?

[Footballfirst]

So the loan situation - 

3 Bears ?2.25m (although probably only 2 of them as Letham was repaid his ?1m)

Big MIke ?5m

GASL   ?1.5m

 

Total ?8.75m

 

The repayment of Letham's loan was the first one he made in Feb 2014 (Sandy Easdale loaned ?0.5M at the same time). These were repaid from the proceeds of the September 2014 share issue.

[Jodami]

From the accounts

 

"The Board of Directors has received undertakings from certain shareholders that they will provide financial support to the Group and have satisfied themselves as to the validity of these undertakings and that the individuals have the means and authority to provide such funding as and when it is required. The Board acknowledge that had these assurances not been secured then a material uncertainty would exist which may cast doubt over the Groups ability to continue as a going concern and therefore it?s ability to realise its assets and discharge its liabilities in the normal course of business. The Board is delighted that this uncertainty has been removed and the appropriate assurances obtained."

Looking at the summary it seems clear that without these undertakings (i) the accounts would not have been signed off and (ii) unless it's confirmed that they can make the end of the season then the football authorities are dutybound to investigate. Their whole situation is precarious and any number of things could happen. Who would invest money in a business model that is quite clearly unsustainable?

Edited November 4, 2015 by Jodami

[corryjambo]

From the accounts

 

"The Board of Directors has received undertakings from certain shareholders that they will provide financial support to the Group and have satisfied themselves as to the validity of these undertakings and that the individuals have the means and authority to provide such funding as and when it is required. The Board acknowledge that had these assurances not been secured then a material uncertainty would exist which may cast doubt over the Groups ability to continue as a going concern and therefore it?s ability to realise its assets and discharge its liabilities in the normal course of business. The Board is delighted that this uncertainty has been removed and the appropriate assurances obtained."

 

Perhaps someone can answer this: Is it only the Board of Directors who have to satisfy themselves to the validity of these undertakings? 

 

I thought the auditors may require such assurances or are they obliged to accept the Director's assurances.

[Footballfirst]

Perhaps someone can answer this: Is it only the Board of Directors who have to satisfy themselves to the validity of these undertakings? 

 

I thought the auditors may require such assurances or are they obliged to accept the Director's assurances.

 

See the Emphasis of Matter note by the Auditors

[busby1985]

I like the DR's take on the accounts on social media "Rangers reduce debit" haha they do try!

[Pistol1874]

Must be why Weir was sitting next to you at the weekend. They're going to buy all our best players with this funding.

 

I'm hoping the Thistle players were more in his price range. Can't fail to have been impressed by the versatility of the laddie Stevenson...

[Footballfirst]

Resolution 11 in the AGM notice seems to be looking to prevent MASH from voting at future GMs.

?
11. ?THAT: the Articles of Association of the Company, be and are hereby amended by inserting a new Article 15.3 as follows:-
?No member shall be entitled to vote at any general meeting or at any separate meeting of the holders of any class of any shares in the Company, either in person or by proxy, in respect of any shares held by him (whether absolutely or as a trustee, either alone or in conjunction with one or more associates or solely through an associate or associates (even where such person has no formal interest)) if he is involved in any capacity whatsoever in the management or administration of a Club, or has any power whatsoever to influence the management or administration of a Club and the Directors of the Company shall be entitled at their sole discretion and without issuing reasons therefor to determine whether or not a member does have such involvement in or power to influence a Club.For the purposes of this Article ?Club? shall mean any football club in membership of a national association which is in membership with FIFA other than Rangers Football Club.?

[Footballfirst]

HMRC win appeal

 

Advocate General for Scotland v Murray Group Holdings and others

 

A scheme involving payments to various trusts set up in respect of executives and footballers employed by the former Rangers Football Club amounted to ?a mere redirection of emoluments or earnings? and was accordingly ?subject to income tax?.

 

Judges in the Inner House of the Court of Session allowed an appeal by the Advocate General for Scotland, acting on behalf of Her Majesty?s Revenue and Customs (HMRC), against a decision of the Upper Tribunal in relation to tax assessments made on Murray Group Holdings and other members of the Murray Group of companies, including RFC 2012 PLC.

 

The Lord Justice Clerk, Lord Carloway, sitting with Lord Menzies and Lord Drummond Young, heard that in the tax years from 2001/02 to 2008/09 the companies entered into a series of transactions as part of a scheme designed to avoid the payment of income tax and National Insurance contributions (NICs) in respect of their employees, which resulted in assessments by Her Majesty?s Revenue and Customs to income tax under the Pay As You Earn (PAYE) system and corresponding NICs. 

 

The companies challenged those assessments before the First-tier Tribunal, which upheld the appeal by a majority of two-to-one. An appeal by HMRC to the Upper Tribunal was refused in August 2014, but permission to appeal to the Court of Session was granted.

 

The scheme involved a cash payment into an Employees? Remuneration Trust (the Principal Trust), and the trustee of the Principal Trust then paid the same amount into a sub-trust for the benefit of the employee and his family. The trustee of the sub-trust then advanced funds on loan to the employee in question.

The First-tier Tribunal held that the trustee of the Principal Trust had a ?genuine discretion? as to how to apply the funds advanced to it, thus the benefit enjoyed by the employee and his family once the funds were resettled into the sub-trust resulted from the exercise of a ?discretionary power? by the trustee of the sub-trust. 

Such a payment was not a payment of emoluments or earnings, and was therefore not subject to income tax, the First-tier Tribunal ruled.

 

However, HMRC contended that the cash payment made by the employing company to the trustee of the Principal Trust was in consideration of services by the employee, and thus had been ?earned? by the employee. 

 

Therefore, the scheme amounted to ?a mere redirection of earnings which did not remove the liability of employees to income tax?, it was argued. 

The court concluded that the argument by HMRC was correct, and accordingly allowed the appeal on that ground.

 

The judges observed that the ?fundamental principle? that emerged from previous cases was clear: ?if income is derived from an employee?s services qua (in their capacity as) employee, it is an emolument or earnings, and is thus assessable to income tax, even if the employee requests or agrees that it be redirected to a third party?. 

 

Delivering the opinion of the court, Lord Drummond Young said: ?That accords with common sense. If the law were otherwise, an employee could readily avoid tax by redirecting income to members of his family to meet outgoings that he would normally pay: for example to a trust for his wife...or to trustees to pay for his children?s education or the outgoings on the family home?The funds are ultimately derived as consideration for the employee?s services, and on that basis they are properly to be considered emoluments or earnings.?

 

In relation to employees other than footballers, the ?true nature? of the individual transactions was that bonuses were paid into the trusts on the basis of the work performance of the employee in question, and the profitability of his employing company. 

 

?On the foregoing basis, we are of opinion that the sums received by the trustee of the Principal Trust and in due course by the trustees of the sub-trusts amounted to a mere redirection of income and thus constituted emoluments or earnings of the employees in question,? Lord Drummond Young said.

 

In relation to footballers, when a contract of employment was concluded, an additional side-letter provided for a discretionary trust payment and the amount of any bonus was typically negotiated by the footballer?s agent as part of his overall responsibility for securing ?proper remuneration? for the player?s services.

 

Lord Drummond Young continued: ?It seems to us to be self-evident that the obligations in the side-letter were part of the employee?s employment package, and provided him with additional remuneration. They were negotiated as part of the total employment package?Once it is accepted that the bonus payments represented consideration for a footballer?s services qua employee, it inevitably follows that those payments represented emoluments or earnings of the footballer in question.

 

?Furthermore, so far as the footballers are concerned, at least, it seems to us that if bonuses had not been paid they might well have taken their services elsewhere. We realise that the fifth respondent [RFC 2012] was in, potentially, a difficult financial position, competing for good players in an international market where other countries may not have the same rigorous approach to taxation as the United Kingdom. Nevertheless, the law is clear: the payments made in respect of footballers were in our view derived from their employment and thus the payments were emoluments or earnings.?

 

He added: ?We accordingly conclude that the primary argument presented for HMRC is correct: the payments made by the respondents to the Trustee of the Principal Trust in respect of employees were emoluments or earnings and are accordingly subject to income tax. Furthermore, those payments were made at the time of payment to the trustee of the Principal Trust, with the result that the obligation to deduct tax under the PAYE system fell on the employer who made such a payment.?

Edited November 4, 2015 by Footballfirst

[XB52]

Rangers lost the big tax case - all EBTs liable for tax!!!!

[jambovambo]

Rangers lost the big tax case - all EBTs liable for tax!!!!

Indeed - Raman Bhardwaj ?@STVRaman 47s48 seconds ago

HMRC wins latest appeal re Rangers Tax Case over oldco's use of EBTs

[beavers]

Rangers lost the big tax case - all EBTs liable for tax!!!!

Who will be liable for that the Old Co or the persons receiving the EBT?

[Guest Bilel Mohsni]

I'm hoping the Thistle players were more in his price range. Can't fail to have been impressed by the versatility of the laddie Stevenson...

[Footballfirst]

Hmrc have won there appeal. [emoji23]

https://goo.gl/tE77lm

 

It's quite apt that the decision was made in the "Second Division" of the Court of Session.

Edited November 4, 2015 by Footballfirst