There are a number of prospective investors interested in Rangers and the administrators are hopeful of an early exit from administration. There certainly is no danger of the club going into liquidation. However, it may be necessary to make some redundancies among staff and players.
There are a number of prospective investors interested in Rangers and the administrators are hopeful of an early exit from administration. There certainly is no danger of the club going into liquidation. However, it may be necessary to make some redundancies among staff and players.
What has become evident is that money that should have gone to the tax authorities has been used to fund the running costs of the club leaving a tax bill of £9m, quite apart from any penalties that may be awarded by a tax tribunal. Season ticket sales have been mortgaged to Ticketus and the arrangement had to be renewed in the summer to fund a repayment. This means that season ticket sales are mortgaged until 2014/15.
Four other Scottish Premier League clubs are owed money by Rangers, totalling £1 million. There is no football creditor rule in Scotland which means that they are unlikely to get their money back. Hearts are owed the largest sum, believed to be about £800,000 from the transfer of Lee Wallace last summer.
Dundee United, Dunfermline Athletic and Inverness Caledonian Thistle are due ticket money or a share of gate receipts. For a club the size of Dunfermline the sum involved, in the region of £80,000, is far from insignificant.