The King across the water

Yesterday I took a day out from the Ibrox omnishambles.

I live in a beautiful place and sometimes work conspires to make me forget that.

When I returned to Planet Fitba Dave King’s statement was waiting for me…

It really is nuclear stuff and it is aimed at the current regime at Ibrox, in fairness he doesn’t miss them.

Here is a flavour of it:

“The board has previously dealt with queries around the club’s finances by giving categoric assurances that there was sufficient funding until the end of the season. We now know that these assurances were untrue and that emergency financing has been put in place on terms that are not commercial and that indicate the desperate financial position that the club is in.”

This paragraph appears to me that he is calling into question the veracity of the people at the top of the Marble Staircase.

Dave King’s words carry weight because he is now seen by the home crowd at Ibrox as the only possible saviour in this entire train wreck.

Regardless of doubts some may have over his messiah credentials the following questions from King, contained in his statement, will have to be answered at some point by the incumbent regime:

“1. Will the board provide legally binding assurances that the club is a going concern and has sufficient funds and/or facilities in place for the 2014/2015 season.

2. Will the board undertake that none of the proceeds from season ticket sales will be used to settle any financial obligation that arose prior to receipt of the season ticket monies by the club.

3. Will the board confirm that the club assets continue to be unencumbered.

4. Will the board explain its previous statements that the club had sufficient cash resources to last until the end of the season.”

These well -crafted interrogatives (despite the absence of question marks) do cut to the core of the current Ibrox omnishambles.


For the avoidance of doubt my own detailed questions submitted to the club on February 9th 2014 remain unanswered.

King’s call on the Ibrox clientele to withhold Season Ticket monies is redolent of the clarion call made by John Brown in 2012 when Charles Green was perceived by some to be lacking sufficiently in Rangersness.

Ultimately that campaign failed once Super Ally stepped forward to vouchsafe the man from Yorkshire with big hands.

Regular readers here may well be struck by the similarity between the concerns espoused by Mr King in South Africa and your humble correspondent here in Ireland.

I am not sure what my location has to do with the accuracy of the reportage here, but it did seem to be a salient point for the folks at RIFC three weeks ago regarding myself when attempting to dampen down the fires among their customer base.

The simple fact of the matter is that RIFC, handcuffed as it is to a loss making subsidiary and with no credit line from a bank, looks very much like a distressed company.

Moreover, the details of the Laxey loan scream that truth at head splitting decibels.

Moreover the word “insolvency” was used in connection with RIFC this week in the Court of Session.

Anyone who wishes to spin that all is well at the top of the Marble Staircase has, I would politely contend, all of their work still in front of them.

However this plays out Laxey Partners will be very happy.

If the£1,000,000 loan they have provided is used today to meet payroll then their position will be immeasurably strengthened; as they have   the legendary Albion car park the well-appointed Edmiston House as security.

If payroll isn’t met (I have no information that it won’t be paid) then the club is hoisting the white flag and Laxey Partners are still the secured creditors in any Administration.

They win either way.

However, I understand that Deloittes are not happy at all dear reader.

The £2.5Million credit line was meant to be there for the twelve month period from last June until this June.

The statement this week by Graham Wallace that the borrowing facility is no longer available came as something of a shock in some quarters.

I am told that chaos is the order of the day at the top of the Marble Staircase.

Only Administration makes sense and the real winners in that process will be Laxey Partners clever business people that they are.

Unlike King they are clear that they are in the business of making money out of anything they invest in.

Dave King talks here in 2012 of “subsidizing” the Ibrox outfit and, in fairness; he hasn’t changed his stance on that.

His statement yesterday referred to “soft investment”.

If he wants to do business with the current regime then he will have to buy them out and they will, of course, want the best possible price for their shares.

However, if the fans follow Mr King’s advice and withhold Season Ticket monies then that would propel RIFC into insolvency and with it the share price.

The response from the top of the Marble Staircase to Mr King was as weak as it was brief.

 “THE Board notes Mr King’s comments with concern as they are potentially de-stabilising and damaging to Rangers Football Club.”

Meanwhile Dave King’s questions, like mine, remain unanswered.

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