[Archived] Staff Being Made Redundant At Ewood

[Dunnfc]

Said it time and time again, trust no one at Brfc.

Venkys who knows.... anything can be done but i do believe they want the best,they just want to market their own brand.

Kean - horrible man with no morals, hes not venky hes a short term millionaire on the back of us fans who want him gone, liars and cheats always get found out.

[philipl]

Venkys marketing their own brand?

They could not do worse hiring Fred West as brand ambassador.

[Hasta]

There's been so much mooted skulduggery over the past 20 months and yet what has come out so far??

Relegation, a serious weakening of the squad and a lost of 10,000 fans.

[SouthAussieRover]

So any team that gets relegated and lose their better players to bigger clubs are basically asset stripping?

[DE.]

If the plan is to force the club into administration then spending horrendous amounts on unsustainable transfer fees and wages is one way to go about it.

I don't think this is Venky's aim, though. I really have no idea at this point what they're doing. Their ownership of the club to date makes no sense whatsoever. The only thing that remotely makes sense is that their company is a front for another owner, but there's no proof of that either.

[Exiled in Toronto]

EiT, you're a wise guy, how would you do it? Screw us fast or slow? When are this summers accounts out? I know you know.

5 mill on Brochall? Any proof of that? Or is that up there with the mooted, famed, Pune Academy? "Maxed out" debt? Maybe it was under the Trust but it was serviceable (theres the rub) now, who knows? As for the 8m on Rhodes, utter madness IMO for a Championship club (no reflection on the player).

Second para: it is basic for a Premier League club, which of course...

But as we all recognise it was avoidable. What isn't avoidable is the wage we have to pay for a good manager, or Kean. And I disagree with you, the community trust did / does a lot of great work in introducing kids to BRFC and if the owners had the desire, gumption or wherewithall to remove the clown then perhaps the two could flourish side by side?

Of course relegation was avoidable but 3 teams go down every year and would any of them say it wasn't avoidable? Newcastle, with their resources could/should have avoided it; City didn't go down to the 3rd division because they were well run. Look at Leeds ffs. Clubs run by clowns go down. One reason I believe we get so little sympathy is a lot of the noise we emit sounds like crying over relegation when much bigger teams than us have gone down in the past, all avoidably so.

Of course the Community Dept does good work, but I'm struggling to see it as essential right now. And it's still going isn't it, but downsized? How big does it need to be for a Championship club? How big is it post-downsize to, say, Bristol City's? Or Swansea City's? I have no idea. My past employer and current payer of my pension was famous for doing very worthy things when I started there but gradually got rid of them all and it made sod all difference to sales.

It looks like Shaw, who is a businessman after all, has decided there is a lot of fat on the non-football side. I don't know if we do or not but I wouldn't be surprised tbh when we have been sucking at the increasingly engorged Sky teat for 18 of the last 20 years AND conjuring up a 20 million overdraft from nowhere.

Personally I'm glad we've signed a free-scoring forward rather than not. What will the accounts show? I don't know, but every financial scare story in the last 20 months has come to nothing so far. We haven't been asset-stripped and we haven't gone into admin, both of which were nailed on certs over the summer I was told on here.

[SouthAussieRover]

I don't think this is Venky's aim, though. I really have no idea at this point what they're doing. Their ownership of the club to date makes no sense whatsoever. The only thing that remotely makes sense is that their company is a front for another owner, but there's no proof of that either.

This is the question.

Is a Matrix character involved in the scenario?

[philipl]

If you assume Venky's are not criminals and there is no criminality involved with Rovers, absolutely not one business decision they have taken makes any sense whatsoever.

[jim mk2]

Protests have been ongoing against the manager and owners long before we were relegated and fans from other clubs who know football and realise what has been happening at Ewood have every sympathy for our situation. Journalists in the national press who write about Rovers being a "vandalised" club equally so.

I'm not an accountant or a business person and I don't understand how clubs like Bolton with debts of £100m plus and ManU with debts in the many hundreds of millions continue to operate. It would scare me if Rovers in such a situation.

I don't see any evidence so far of Rovers being asset stripped but the motives of the owners are unknown because they never speak in public. I would like them to explain to me however why high-earning players who would have kept us in the Premier league last season were jettisoned and now we are in a division lower we are recruiting players on similarly high wages.

[thenodrog]

You've been reading my sig I see Philip!

[Gav]

I don't see any evidence so far of Rovers being asset stripped but the motives of the owners are unknown because they never speak in public. I would like them to explain to me however why high-earning players who would have kept us in the Premier league last season were jettisoned and now we are in a division lower we are recruiting players on similarly high wages.

Is this simply not just a case of Barclays cutting off the funding stream last season? Venkys took thier business elsewhere and secured a better deal, or one that allows them to heap debt on the club....

[John]

Remember the Nick Harris stories? There was no available money last season hence the cut backs, appearance fees/contracts Salgado/Roberts - the change of banking arrangements has seemingly changed that.

[philipl]

Barclays only stopped funding because Venky's had reneiged on their promise to fund the club. Barclays were happy to support running costs but they saw they were in effect being asked to provide the capital the owners were not investing. That combined with Venky's communicating with their bank with same assiduousness and attention to detail with which they communicate with the supporters meant Barclays asked Venky's to make good on their promise, did not receive a reply and so slammed the brakes on.

The only good thing about the current banking relationship is that the State Bank of India in small town Rajasthan does not accept non-Indian security for its loans.

So Rovers are actually without any security attached to any of the club's assets.

[tomphil]

Man U turn over such a huge amount that they can service their debt. Bolton as far as im aware have most of their debts owed to the owner who does infact have some of it paid back to him with interest but i suppose he could re structure it any time he wanted. We are most likely now financed by and possibly owned by the Indian bank.

[Exiled in Toronto]

The only good thing about the current banking relationship is that the State Bank of India in small town Rajasthan does not accept non-Indian security for its loans.

Would that be the same State Bank of India that is India's largest bank, has been in business over 200 years and even has 7 branches in Canada plus many more in other countries?

[philipl]

Would that be the same State Bank of India that is India's largest bank, has been in business over 200 years and even has 7 branches in Canada plus many more in other countries?

If they used a Canadian branch then of course Canadian assets could be pledged to the State Bank's satisfaction.

It is a matter of practical enforcability in law and establishing the validity of claim across international borders. A Court in Blackburn would tell a claimant under a contract drawn up under Indian law to seek redress in India. If the Indian Bank had grounds to obtain a sequestration order in Rajasthan under local law, they could under international conventions eventual try to serve it in Blackburn but then any Rovers creditor with a contract under English Law who saw their own claim being devalued almost certainly would be granted an injunction against the sequestration order being served. Probably the Supporters' Trust would be also granted an injunction against the sequestration if they applied.

For whatever reason best known to the owners, a banking relationship has been set up not in Pune, not in London, not in Blackburn, not in Toronto but in a one horse town in Rajasthan.

[Hasta]

So any team that gets relegated and lose their better players to bigger clubs are basically asset stripping?

I was referring to skullduggery ratherthan asset stripping. Salgado, Nelson, Roberts not being allowed to play despite the fact we were on the highway to hell. Players signed but then not being allowed to play (Simon, Bruno who we thought was a joke but is now playing well apparantly). That's not normal at a football club. That's some form of skullduggery happening from somewhere and that led to what I put.

[Exiled in Toronto]

For whatever reason best known to the owners, a banking relationship has been set up not in Pune, not in London, not in Blackburn, not in Toronto but in a one horse town in Rajasthan.

I'm not sure why that matters really, it's still with the country's largest, most well-established bank despite your inferences that it is some dodgy outfit. Maybe that state's tax regime is beneficial. Why do so many fat cats bank in the Virgin Islands rather than Washington DC? Or companies incorporate in Delaware rather than New York?

2 seconds googling: http://www.mapsofindia.com/maps/rajasthan/economy/banking-and-financial-institutions.html

"Banking and financial institutions forms one of its primary pillars. The booming economy of Rajasthan is a case in point...a plethora of banks and financial institutions dots the state. Besides easy availability of loans, these banks and financial institutions offers a gamut of services. The Rajasthan Financial Corporation, instituted in the year 1955, is also rendering pioneering services in the financial sector. It offers monetary assistance to very small, small and medium sized industrial ventures."

Sounds well dodgy then

[philipl]

I'm not sure why that matters really, it's still with the country's largest, most well-established bank despite your inferences that it is some dodgy outfit. Maybe that state's tax regime is beneficial. Why do so many fat cats bank in the Virgin Islands rather than Washington DC? Or companies incorporate in Delaware rather than New York?

2 seconds googling: http://www.mapsofind...stitutions.html

"Banking and financial institutions forms one of its primary pillars. The booming economy of Rajasthan is a case in point...a plethora of banks and financial institutions dots the state. Besides easy availability of loans, these banks and financial institutions offers a gamut of services. The Rajasthan Financial Corporation, instituted in the year 1955, is also rendering pioneering services in the financial sector. It offers monetary assistance to very small, small and medium sized industrial ventures."

Sounds well dodgy then

But they still cannot accept securities outside India.

[Exiled in Toronto]

But they still cannot accept securities outside India.

Which is good n'est pas? The club is free from being mortgaged to the hilt and is thus less likely to be plunged into administration, or have I missed something?

[BiggusLaddus]

For whatever reason best known to the owners, a banking relationship has been set up not in Pune, not in London, not in Blackburn, not in Toronto but in a one horse town in Rajasthan.

Was this ever confirmed? When this story first broke (staff getting paid late thread) a lot of people were getting their MAI's and MIA's mixed up.

Was it ever actually worked out, or confirmed from within, whether venky's are banking in a little town half way between Jaipur and New Delhi, or if it stood for MAIn branch or even MAIn account?

[Captain Dunsel]

Was this ever confirmed? When this story first broke (staff getting paid late thread) a lot of people were getting their MAI's and MIA's mixed up.

Was it ever actually worked out, or confirmed from within, whether venky's are banking in a little town half way between Jaipur and New Delhi, or if it stood for MAIn branch or even MAIn account?

Yeah I asked about that here: http://www.brfcs.co.uk/mb/index.php/topic/26829-rumours-that-staff-have-not-been-paid/page__st__200#entry1250975

Later in the thread Mercerman claimed to have a copy of the pay slip and confirmed it was MAI. I guess Philip either missed that thread or chose to ignore it since it didn't fit the conspiracy theory of the week.

[philipl]

Doesn't make any difference.

Thankfully under current rules Rovers assets cannot be pledged to support an Indian bank loan with the State Bank.

[PAFELL]

Doesn't make any difference.

Thankfully under current rules Rovers assets cannot be pledged to support an Indian bank loan with the State Bank.

so they must be putting up there own assets for security.

[SouthAussieRover]

Steady on Pafell.

That spoils a good conspiracy