[Archived] Why Are Venkys Here?

[Athlete]

Selling the Crown Jewels before they exit?

Let them if they'll go I'll gladly take it

[TBTF]

Wouldn't it be nice if Venkys would actually talk to the fans?

Cue Alan Myers...oh wait sorry!!

When a ship is sinking it does it in stages and some of those stages are quite sudden and dramatic. It feels just like that at the moment. There is no policy here whatsoever , just a sequence of uncoordinated actions . Are we or aren't we trying to reduce costs?? if so having £20 million worth of strikers (V's valuations not mine) earning a lot of money and surrounding them with Poundland signings from god knows where makes no sense.

If promotion is the aim and is the way out of this mess (as per the statement in the accounts) then challenge FFP and commit your money to a proper manager and proper signings you effing clowns!!

Their actions suggest on the one hand they don't want to keep pouring money in any more yet they don't appear to want to cash in either by putting ludicrous price tags on 2 players.

The result is we look like a pub team that's cost £120million to assemble and a Club run by idiots who couldn't run a bath.

Anyone would think Venkys were confused or something. Well here you go Mrs Witch .... there's 20,000 more over here who are totally confused.

For god sake, write off your debt, cut your losses now and GIVE the club to local people who know what they are doing and who care passionately about a Club that means everything to the community over here. The time for remembering Venkys as decent owners has long gone , your reputation is in tatters but if there is one thing that you can do that might remotely be interpreted as a saving grace , then its hand over the keys now...PLEASE!!!!

[Iceman]

What makes you think, they don't want to put money in. The fact that they are still sticking around, paying for the pitch to be re laid, academy etc if they just waiting for the Rhodes and Gestede money to come in, and then bugger off, then well yes okay. But these guys don't look like they are leaving anytime soon

[TBTF]

What makes you think, they don't want to put money in. The fact that they are still sticking around, paying for the pitch to be re laid, academy etc if they just waiting for the Rhodes and Gestede money to come in, and then bugger off, then well yes okay. But these guys don't look like they are leaving anytime soon

Because they aren't challenging the right to spend under FFP and are signing sh1te players basically. Why did they feel it necessary to sell Cairney knowing they cant replace him?? Compared to the clubs in our division who are ,to quote another tool , ''having a right good go''!!

Paying for the pitch to be relaid ??? oh ok then that should see us in the top 6.

[Athlete]

What makes you think, they don't want to put money in. The fact that they are still sticking around, paying for the pitch to be re laid, academy etc if they just waiting for the Rhodes and Gestede money to come in, and then bugger off, then well yes okay. But these guys don't look like they are leaving anytime soon

The pitch needed relaying what else were Rovers going to play on - thats just general wear and tear up keep

[Iceman]

Because they aren't challenging the right to spend under FFP and are signing sh1te players basically. Why did they feel it necessary to sell Cairney knowing they cant replace him?? Compared to the clubs in our division who are ,to quote another tool , ''having a right good go''!!

Paying for the pitch to be relaid ??? oh ok then that should see us in the top 6.

Nothing said about top 6 because of them paying to relay the pitch. Don't come with sarcasm TBTF, it doesn't suit you. but I merely pointed out, that they expecting something to happen, what that is, I'm not sure.

They playing the we are under FFP, so we need to sell. Tbh, I don't think Venkys even know what FFP stands for, and that this is a Shaw and board feeding them, and saying its the only way out. We all know damn well, that Shaw could have challenged this, but its exactly what the owners are wanting to see. Less spending, mode earning

[TBTF]

Nothing said about top 6 because of them paying to relay the pitch. Don't come with sarcasm TBTF, it doesn't suit you. but I merely pointed out, that they expecting something to happen, what that is, I'm not sure.

They playing the we are under FFP, so we need to sell. Tbh, I don't think Venkys even know what FFP stands for, and that this is a Shaw and board feeding them, and saying its the only way out. We all know damn well, that Shaw could have challenged this, but its exactly what the owners are wanting to see. Less spending, mode earning

Now I am confused Iceman!! Not sure what your argument is but then again do any of us??

By the way I don't think Shaw could really challenge FFP on his own without being told to do so by the owners wanting to commit their cash.

Jesus , I think I am losing the plot with all this. Just seen tonight's match thread and the joker who have trapped up on trial tonight!!! Surprised Shaw hasn't tapped up one or two from Kirkham Grammar School 1st XI. Rapidly becoming a Club beyond redemption

[ratters]

Now I am confused Iceman!! Not sure what your argument is but then again do any of us??

By the way I don't think Shaw could really challenge FFP on his own without being told to do so by the owners wanting to commit their cash.

Jesus , I think I am losing the plot with all this. Just seen tonight's match thread and the joker who have trapped up on trial tonight!!! Surprised Shaw hasn't tapped up one or two from Kirkham Grammar School 1st XI. Rapidly becoming a Club beyond redemption

I agree. They will not know what FFP really means. It will have needed MD I.e. Shaw to convey the importance of it and some proposed strategies to combat it. It would seem that either shaw has not conveyed those clearly enough for Venkys to warrant it worthy enough of time and money or he did and they have just ignored him. Unless his strategy was to do what we have done and they have agreed ( which is do pretty much nothing) then I think we are in the position where the guy in charge is simply incompetent. Any form of communication from the club would have been able to clarify this however there is clearly none which is why everyone in this message board has resorted to attacking each other. A sorry stae of affairs indeed. I have renewed my season ticket again (since 1988) but we are now 2 down from 5 and my dad has not renewed for the first time in around 40 years. Luckily financials were not an issue for me but If they were would almost certainly say that I would have not renewed. I live in skipton and have 3 young kids and it is really difficult to give any reason why they should support rovers when all their friends supports others. It really is a sorry state of affairs however once you support a team that is it. For everyone else who has renewed give yourselves a pat on the back. Through adversity we will prevail.

[awhom111]

I would believe anything about our club at this point, but for reference, here are the staff totals reported in the club accounts in recent years:

2005 231
2006 223
2007 232
2008 238
2009 254
2010 253
2011 263
2012 267
2013 268
2014 269

[tomphil]

Well well all those cut backs and relegation yet staff levels are increasing. More odd goings on, well I never

[ABBEY]

Well there's the bookies runner to take into account , Rosie the dog has had pups too

[tomphil]

I wonder if kung fu pandas firm is still on the books ? I wouldn't be surprised if our club hasn't been indirectly funding a few little enterprises over the last few years. I'd love to go through the payroll name by name and see what each one actually does !

[McClarky]

The wage details are fascinating. You can see why we sold Cairney now and aren't so keen to sell Marshall, what a wage he was on. Assuming players coming in are getting around £2k a week judging by this. Look at the amount we were paying for loanees as well when you consider that we probably got buttons back for the ones we loaned out.

[perthblue02]

Wonder who has benefited from the doubling of pension contributions from last year

[onlyonejackwalker]

Wrong thread.

[Guest]

Why are Venkys here? Before they bought us, they must've known Rovers would be a loss-making business, even in the Premier League. I assume their lofty ambitions, if they were pulled off, would've boosted their own brand name (who'd heard of Venkys before?) and profits.

I won't ever fault their original intentions, but their naivety has been something on a scale I've never seen before. They've simply entrusted the wrong people and its been disastrous - both for them and us.

Why are Venkys still here? I think that's the bigger mystery. I suspect they're unlikely to be able to sell us until we're back in the Premier League, but I assume that's the only end game they can play, now that their fingers have been well and truly burnt. Even that will be some time off yet, if at all.

From their point of view, isn't it easier to wind the club up and write it all off? Perhaps they're not the "scum" some think they are.

[OJRovers]

Venkys were trying to sell the club within 6 weeks of buying it, that was from a trusted source at the time.

[broadsword]

They're here because I lied when I was 17

[Leonard Venkhater]

Excellent!

In Glen Hoddle mode, I do wonder if we Rovers fans were war criminals in our previous lives....

[jim mk2]

This trashy web site doesn't feel far off in terms of salaries at the Rovers.

http://www.celebritiesmoney.com/blackburn-rovers-salaries-list/

What looks interesting, though, is that the total salary bill listed is £16.1m for the season. The accounts sthough report a whopping £31m salaries distributed to a scarcely believable 262 people at the club. 262? Really? And what exactly are these people doing? If the web site is right, why would the players represent only half the salary bill at a football club?

The LT has those figures here in case you missed them. 262 ..hmmmm. http://www.thisislancashire.co.uk/sport/13492881.Venky___s_remain_committed_to_Blackburn_Rovers_despite___35_6m_annual_loss/

Let's assume the £16m wage bill is right. Add on the £5m transfer/loan bill. And let's assume the 23 non playing staff listed on the web site - including the kit man - is correct. Then I would assume you are pretty close to the £24m turnover. On those figures Rovers broke even last year as an operating club - but not as a London Venkys Company. Is there something in this? Let's test this theory further based on activity this summer.

With an £8m drop in revenue forecast, the departure of King, Cairney and impending losses of Rhodes and Gestede co incidentally amount to just over £7m in wages. In other words, they are acting just as a prudent club should. The predicted £20m transfer fees for our two forwards would cover replacements you would hope, so on this calculation we are good for this year and next, possibly operating with a small operating surplus.

But why would Venkys overstate the club's losses?. Could it be that Venkys are simply dumping cost - and employees - into Rovers to ensure their own balance sheet analysed on the Indian Stock Exchange figures look better than they actually are? That would support share price and the dividends they pay themselves. And effectively allow them to pay themselves via a loss making London club in a tax advantaged way. Or so it could be alleged. The £28m ostensibly 'pumped in' to the Rovers may actually be a gift of a whole load of employees who contribute nothing to the football club, but everything in terms of an Indian plc share price.

it is the only theory I can think of which is a sensible explanation as to why Indian owners with no physical or even emotional connection to either the game or to our club, would continue to support it.

If this is true, then Venkys do have an exit. At some point Venky's 'write off' the losses which were incurred in India and not in Blackburn. They then sell a club that is now break even with no effective debt, (which it is now on these figures), and walk away at a profit generated by tax friendly salaries and a higher than expected share price in Mumbai. The timing would only be when the need to support the share price no longer exists. Which may be never but may be soon.

A quick look at the Venkys 3 year share price here http://profit.ndtv.com/stock/venkys-_venkeys/chart

shows three spikes in July 13, July 14 and now July 15. At just the time Rovers balance sheet is washed, sorry, released. A coincidence I am sure

Perhaps those celebrity web sites are not so trashy after all.

I'm not a financial expert though I do have a little knowledge (which is probably more dangerous than being an expert!) but isn't this sort of financial engineering illegal and is it not just money laundering in another guise ?

There have been a number of article in the press recently on how foreign companies and individuals (many of them extremely dodgy) are using the high-end London property market to launder cash and it seems to me Rovers are being used in the same way, merely as vehicle for clever accountants in which to move money either to evade tax or get round international accountancy rules

[Athlete]

I'm not a financial expert though I do have a little knowledge (which is probably more dangerous than being an expert!) but isn't this sort of financial engineering illegal and is it not just money laundering in another guise ?

There have been a number of article in the press recently on how foreign companies and individuals (many of them extremely dodgy) are using the high-end London property market to launder cash and it seems to me Rovers are being used in the same way, merely as vehicle for clever accountants in which to move money either to evade tax or get round international accountancy rules

That article was on national radio the other day did make me sit up and think of BRFC

[Stuart]

I'm not a financial expert though I do have a little knowledge (which is probably more dangerous than being an expert!) but isn't this sort of financial engineering illegal and is it not just money laundering in another guise ?

There have been a number of article in the press recently on how foreign companies and individuals (many of them extremely dodgy) are using the high-end London property market to launder cash and it seems to me Rovers are being used in the same way, merely as vehicle for clever accountants in which to move money either to evade tax or get round international accountancy rules

I can understand the suspicion but surely if we had clever accountants, how is the embargo part of the deal. If anything that just puts us more under the spotlight.

[Athlete]

I can understand the suspicion but surely if we had clever accountants, how is the embargo part of the deal. If anything that just puts us more under the spotlight.

nothing adds up Stuart it never has with these Shysters somewhere out there is the truth

[pk1875]

I saw this a few weeks ago on-line and thought it pretty much sums up what has happened amongst our fan base over the last few years, btw this wasnt on a football page but seemed uncannily like our situation.

[Stuart]

Very apt, Paul.