I have just had an illuminating chat with a very well-placed source who had read Rugger Chap’s analysis today.
He had some additional information for me.
This insider told me told that the £2.9m loan was very much an 11th-hour event.
The question that was niggling him is that this is the time of year when football clubs are at their most cash rich.
Therefore, to need such a crisis loan now says a lot.
His opinion was that without this loan then the auditors would have been in a difficult position.
He also pointed out the following little nugget:
“As such, the Group considers that its investment in Rangers Retail Limited is impaired at the year end and has recognised an impairment provision amounting to £0.5m.” [Page 9]
He said that this is almost certainly apropos the unsold stock that they had to buy back from General Ashley.
This is a testament to the glorious success of the superstore boycott by The People.
These accounts can be boiled down to the continued goodwill of the directors to cover the losses of the business.
This is especially vital given they cannot get a credit line from a bank.
Consequently, the accounts were probably signed off largely because the directors gave their word that everything would be ok.
Essentially the continued existence of the Holding Company Vehicle is down to the trustworthiness of the Chairman Mr David Cunningham King.
Of course, he is a man renowned for his honesty and the authorities in South Africa would undoubtedly vouchsafe his character
Therefore everything will be fine.