Choosing the wrong side in the Sevco Civil War

There is a saying in military circles that armies usually train to fight the last war.

The implication is that if you are doing that then you’re preparing for the wrong war.

It is, of course, the next conflict that should concern you.

To an extent the success of the Sevco Season Ticket Strike has come a season too late.

What Ibrox minded folks should have been concerned about was what happened during the tenure of Charles Green.

The people now in positions of power in the Blue Room are very different to Charlie and the boys.

It is ironic that they are being deprived of the financial support that Green had from the fans.

So what can they achieve now by starving the club of funds up front?

Well there isn’t a saviour waiting in the wings.

I would be very surprised if, at this very late stage, Mr David Cunningham King made re-entrance to the Sevco sitcom.

It seems such a long time ago since Statement O’clock.

Actually it was March.

Then Mr King had a choice.

He could buy RIFC shares-lots of them-or…. Well that was it basically.

Of course he didn’t and I suspect that he won’t now.

Mr King is a resident of South Africa and, let’s be frank, he is known to the authorities there.

Any profits made from, say, the sale of shares on the South African stock market would be partly claimed by SARS.

The new tax regime in that country is rather punitive.

Subsequently, Dave King isn’t a player in the Sevco saga and I don’t expect him to become one.

As it stands the people running the show at Ibrox have a major cash crisis to sort out.

However it isn’t all doom and gloom in the Blue Room.

There was some light relief at the top of the Marble Staircase this week at the, ahem, exclusive that Blue Pitch Holdings were interested in securing a controlling stake in RIFC.

This award winning expose coincided with Blue Pitch Holdings and Margarita Holdings stating  to the folks on the RIFC Board that they “weren’t sure” if they would take up their tranche of the available shares in the Share Option!

RIFC is, of course, in the football business and in the end it is about those how play and those who pay.

Mr Kris Boyd’s representatives wanted to know if the remuneration package on offer could be enlarged.

What is currently on the table, as has been reported here, is £110,000 per annum.

The agent wanted to know if that could be increased to £3,500 per week rising to £4,000 per week with bonuses.

This was refused and it is take it or leave it time.

If the ex-Kilmarnock player does sign for Sevco then he will be playing for the jersey.

Moreover it is highly likely that he will be part of a structure headed up by Christian Nerlinger.

I understand that those negotiations are progressing well.

If he is appointed then it is a sobering thought to consider that the manager Mr McCoist will be paid more than the Chief Executive, Chief Financial Officer and Director of Football combined.

It will be interesting to see how the new structures can accommodate Mr McCoist.

The 1st of July ushers in a period that will  be financially stressful for RIFC..

The players on upward only contracts will be paid the new increment.

Moreover, Mr Letham is also due his £1.15 Million.

I have received no indications that the Easdales will want the £500,000 paid back.

It is, of course, their right to have these monies returned to them.

Moreover, that half a million is securitised against Edmiston House and the internationally acclaimed Albion car park.

Mr Easdale did not tell an untruth when he said to the BBC’s Al Lamont that the state of Sevco’s finances were “fragile”.

I understand that, currently, there might be, approximately, £5 million to hand.

The Letham loan and the staff bonuses will probably leave around £3 million

The Share Option, best case scenario, will bring in another £8 million.

What the club desperately needs on top of this is another 20,000 Season Tickets sold in the next couple of weeks.

August sees the biggest VAT bill of the year and, of course, pay roll again that would wipe out around half of the Share Option money.

Sources tell me that there is a plan to have fresh Share Issue as early as August.

Once more, really best case scenario is that could bring in another £8 million.

Without the tens of thousands of loyal fans returning to the fold and front loading their hard earned cash into the club’s coffers then it will be very difficult for the two year old club to continue.

Difficult, but not impossible.

For the chaps in the Square Mile the trio of Graham Wallace, Philip Nash and Deloittes gives a degree of comfort that this ship could be steadied.

I understand that the auditors are rather miffed about the RIFC situation. What is irksome for them is that it was senior chaps in RIFC, going through the NOMAD (Daniel Stewart and company), who approached Deloittes to ask THEM what they required.

Deloittes were asked by RIFC, via their NOMAD, for an idea of what the auditors required to sign off on the Year End Accounts without a Going Concern Warning being inserted.

They certainly didn’t expect the details of those conversations to emerge into the public domain.

The particulars of that dialogue have, of course, been reported here.

Context is everything and one must recall that Deloittes insisted on a £2.5 million credit line in the RIFC accounts last year.

The financial situation of the company was much healthier twelve months ago as they still had-through Season Ticket  sales-the support of tens of thousands of fans.

Earlier this year the accounts of the subsidiary The Rangers Football club (formerly Sevco Scotland Limited) contained a serious warning from David Somers about the dangers of the club’s main revenue stream being reduced.

At present Graham Wallace and Philip Nash and are taking fire from all sides, but most of all from their own side.

This is because The People, with a calamitous sense timing, are applying the pressure they should have applied to Charles Green and his chums over a year ago.

Enraged by the bad guys they have waited until the good guys are in charge before opening fire.

Now as they try to sort out the mess Charlie left behind the current incumbents in the Blue Room have also to deal with the financial incoming of the Season Ticket strike.

I have to concede that I did not think that it would be this successful.

However, it is and it now presents a clear and present danger to the club playing at Ibrox.

Of course this mutiny among the ranks is only aiding the enemies of Sevco.

In the end Rangers (1872-2012) went to their grave because they didn’t have enough money to meet all of their commitments.

Lest we forget.

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