Escape to austerity

Someone has to drive the bus.

Ultimately there has to be a person in charge and in a modern football club that means the Chief Executive Officer not the first team manager.

In the business affairs of RIFC that should be Graham Wallace and so far it has not been that way.

Yesterday he was unavailable to anyone in the firm and there was no explanation given.

Of course there could be a myriad of reasons for his absence.

However, on Tuesday he made it very clear to board members that the current situation he was working under was intolerable.

He told them that it was either new rules, his rules or they get another CEO.

If he is back at his desk today then it will be under that new dispensation and he will be doing the job that was explained to him when he accepted it last year.

As has been stated here already the RIFC CEO feels that he is not being allowed to do his job as he sees fit.

He thought he would have had a free hand to cut costs, but he was wrong on that score.

That hasn’t happened and apart from recently taking the pre-paid credit cards off of senior members of staff there has been little savings achieved.

The transfer window for Sevco was a comedy of errors.

There is no conspiracy theory that fits the Lee Wallace debacle.

Quite simply they weren’t offered enough money to make any difference to their overall predicament.

The initial fee was £400,000 and that was in two tranches long term add-ons would have doubled that.

Moreover they couldn’t find any club to take Ian Black, Dean Shiels or David Templeton.

These players were available for free or a nominal sum, but there were no takers.

Clubs like Peterborough were contacted, but no deal on any of them.

The selective leaking by senior members of staff has also impacted on the ability of Wallace to do his job.

This is particularly true of his attempt to get a pay cut from the players last month.

What has not been revealed heretofore is that this was part of an across the board pay cut for all staff including Wallace.

However once it was leaked other departments, who didn’t know of this plan, were shocked and it became impossible to sell it to them.

This was the first time that Wallace had to be talked out of resigning.

It also bounced him into making a statement about there being no chance of any Administration.

This is because he was in the process of going to the City of London to seek the finance to help him keep the lights on and to re-structure the company by way of redundancy payments etc.

When a company is in that state of RIFC/Sevco then it costs money in the short term to save it long term.

Of course it is not a good idea to ask the money men in the Square Mile for their cash if you are planning an insolvency event as a possible contingency plan.

I understand that Administration is now Graham Wallace’s preferred option simply because he cannot get finance to keep the operation going.

A properly run Administration will allow contracts to be terminated cost free.

The hinge factor in this entire Sevco drama may turn out to be Graham Wallace.

They have a man of the moral rectitude and he simply wants to be allowed to do his job.

Finally they have someone with real dignity and he becomes the problem when actually he is the solution.

He is constrained by the culture of the place where many of the senior staff live on the tab without contributing very much at all.

A club operating out of the stadium that John Brown played for with Graham Wallace at the helm would live within its means and pay its taxes.

As of three days ago VAT due to Her Britannic Majesty was an “outstanding item”.

Outstanding guys, just outstanding…

When the VAT question was put to Sevco media this week by a journalist working for a Sunday paper “no comment” was the reply.

Graham Wallace is a straight arrow who wants to run a viable business operation.

However he hasn’t, so far, been allowed to do that.

I believe that he was sold the job on a somewhat false prospectus.

He might even feel trapped.

Therefore it would come as no surprise to me if he wanted to tunnel to freedom.

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