[Archived] Glasgow Rangers Begin Administration Process

[The Gull]

I assume it would have been obvious in the stat accounts if we were paying salaries in this way, the accounts I have seen appear normal and include PAYE and NI contributions. I find it very hard to believe that the inflated wages to turnover ration could be any higher due to us taking advantage of such an apparent loop hole which brings the numbers down!

Jack Walker and his Group of Companies were under enought scutiny due to him being a tax exile, I'm sure he/they would not have entrered something as uncertain as this and we surely would have seen some kind of contingent liability in the last accounts as HMRC have been pursuing this for a little while now.

[Amo]

The game simply can't keep going like this. There is bound to be a breaking point sooner or later. It's growing nearer and nearer towards the top clubs breaking away into their own 'Super League'.

[rovers11]

The game simply can't keep going like this. There is bound to be a breaking point sooner or later. It's growing nearer and nearer towards the top clubs breaking away into their own 'Super League'.

The time is very close indeed. Debt is now really going to come back to haunt a lot of football clubs. In the next couple of years, more big teams are going to go into admin and many lower teams are going to cease to exist. The next few years is about survival for most clubs.

[Stuart]

The time is very close indeed. Debt is now really going to come back to haunt a lot of football clubs. In the next couple of years, more big teams are going to go into admin and many lower teams are going to cease to exist. The next few years is about survival for most clubs.

To think, we used to be one of the clubs sitting tight waiting in hope of this day when the world would come crashing down outside Ewood Park and we would be ready to pick up the pieces.

But now...?

[allanncd]

Itcannot be ruled out that Rovers were paying players in this way. The payments are always included as part of wages and salaries in the statutory accounts and there is no disclosure required in the accounts that the payments were made (without PAYE tax or NIC)to an offshore trust. In fact Arsenal were one of the pioneers in using EBTs in the late 90s (if not earlier) on the advice of a leading QC. It's not that these arrangements don't work (they certainly did until recent law changes)but if corners are cut HMRC have a way in.

[John]

Not that informed on Rangers situation however some serious questions need answering.

Wonder what Whyte's real motives are? Since buying the club, has he actually put any money in.

[rovers11]

Not that informed on Rangers situation however some serious questions need answering.

Wonder what Whyte's real motives are? Since buying the club, has he actually put any money in.

Whyte is a con man and had this planned from day one. He won't be losing any money out of this. Shocking owners in football at the mo. You have conmen like whyte and the ones at pompey, then you have incompetent ones like venkys. Even current good owners like the ones at man city and chelsea will stop putting money in sooner or later and where does that leave them!? They need to enjoy this success whilst it lasts.

[John]

I had a brief look at rangersmedia forum and some Gers fans seem to suggest this could be a cunning plan by Whyte (to the benefit of the club).

[ABBEY]

**********************NEWSFLASH********************************************

HARRY REDNAPP TURNS ENGLAND JOB DOWN .....

HES BEEN OFFERED A WELL PAID DOG TO BECOME RANGERS TAX ADVISOR!!!!!!!

*******************************************************************************

[Captain Dunsel]

Even current good owners like the ones at man city and chelsea ...

This is why football is going to implode. When fans believe that the only good owner is one who is willing to lose £100m every year.

[rovers11]

This is why football is going to implode. When fans believe that the only good owner is one who is willing to lose £100m every year.

Football is already starting to implode. But, your right, this is only the beginning. Billionaire owners are good on a short term basis but they won't continue to throw huge amounts of money at football clubs. The money Abramovich has put into Chelsea are interest free loans to the club - what happens when he decides to claw back as much money as possible?!

I would much rather Rovers' next owners to have some connection to the club and town who is willing to make sensible investments each season. That is the way forward for any club.

[imy9]

Looks like Whyte purchased the club intending to put the club into Administration (according to SportingIntel), 24 million gained by selling future ticket sales to Ticketus who will only get a fraction back now, think Whyte will become new owner having shaved huge chunks of debt.

Question where did that 24 million go if not clear debt or pay the taxes? Will that money be used to buy the club back, extraordinary story.

[John]

Surely the 24 million, legally, from the sponsorship deal needs to go to he club though. Has it been confirmed the club received this money?

Is Whyte actually allowed to do this??

[imy9]

Surely the 24 million, legally, from the sponsorship deal needs to go to he club though. Has it been confirmed the club received this money?

Is Whyte actually allowed to do this??

According to the administrator the money went to the parent company account not the company account..whatever that means, basically club got nothing!

[ABBEY]

Why do I see whyte and think venky

[imy9]

Why do I see whyte and think venky

Chalk and cheese.

Whyte has a history of running companies to the ground, Venkys are simply incompetent, their money is clean too, result may be similar if they continue the lack of money policy.

[John]

RANGERS CRISIS: Mystery deepens over Whyte links to former jailbird associates

[ABBEY]

Chalk and cheese.

Whyte has a history of running companies to the ground, Venkys are simply incompetent, their money is clean too, result may be similar if they continue the lack of money policy.

Cheers I am totally reassured. You know venkys are only incompetent how?

[SAS]

RANGERS CRISIS: Mystery deepens over Whyte links to former jailbird associates

How come so many alleged crooks and criminals are allowed into football. Who the hell is regulating this!!!!

[K-Hod]

Just seen a twitter rumour (I know, I know!) that Chelsea could be getting a visit from HMRC soon because of paying money into offshore accounts....

[imy9]

Cheers I am totally reassured. You know venkys are only incompetent how?

Venkys have been around for decades any issues such as Whyte??

I did say that administration could happen if money does not find its way to us.

[OJRovers]

I think that most of the big clubs will pay into players' offshore trusts, its just whether they have declared the correct tax on these 'wages'.

[Daniel Louis Grabko (Dan)]

How come so many alleged crooks and criminals are allowed into football. Who the hell is regulating this!!!!

Regulating? Ha!

If you've listened to the Parliament's Sporting Committee's latest discussion you'll know that nobody is! It is one of the most if not thee most unregulated major industries/industry in world (Italy and Spain's sporting industry may come close, I am not familiar with their governing bodies regulatory practices). Truly scandalous.

[Daniel Louis Grabko (Dan)]

I think that most of the big clubs will pay into players' offshore trusts, its just whether they have declared the correct tax on these 'wages'.

You're right, but wages on taxes are one of the most basic and straightforward taxes a company pays in terms of regulations, it is hard to take a tax position that includes not paying taxes on wages properly, and be considered operating in good faith. If the employee's employer and main place of employment is found within a certain tax area, that is where the taxes are paid, period. Whatever legal advice these clubs have gotten to make them believe that such a tax position was sustainable should HMRC come calling was off base at best, and criminal at worst, and they should never have taken such a risky stance, if they were dealing in good faith. I'm sure there is fancy terminology trying to call wages something else, or even trying to pay for services of players to companies outside the UK, not as wages but as service fees or some crap (The same way owners charge management fees to clubs through other companies in the corporate structure to avoid taking direct equity capital or salary) - that will never fly should the tax man come calling.

Meanwhile the owners are the ones taking advantage, either pocketing that money or stretching the club's finances on that money, so that when it does come to bite them in the arse, it all comes crashing down.

[john.leigh]

I've asked for a podcast to explain in laymans terms what the intricacies of administration involve and how this would affect Rovers.

J*B has indicated a podcast to address this is in the pipeline.

I suppose my main hope would be that administration would be a possible way to get Venkys out of BRFC.

I have heaps of questions about various possible scenarios... hoping there might be a silver lining around the clouds that hang over Ewood