Director Andrew Ellis demands a quarter of club's shares from Craig Whyte

[ian1964 10,761]

RANGERS director Andrew Ellis has launched a legal action against Craig Whyte demanding a quarter of the club’s shares.

Ellis claims that he was promised a 24.9 per cent stake in the Ibrox club as a reward for helping Whyte buy out Sir David Murray’s 85.3 per cent holding last May.

Now he has instructed his lawyers to take action, insisting the disgraced owner has reneged on the deal.

If Ellis is successful the move could plunge the takeover saga into further confusion as administrators attempt to hand the club over to a new buyer this week.

Top brass from administrators Duff and Phelps are expected to meet with officials from HMRC in the next 24 hours to discuss the terms of a possible CVA that would allow Rangers to avoid liquidation.

There will also be a final round of talks with all three interested parties – Paul Murray’s Blue Knights, Georgia-based tycoon Bill Miller and Bill Ng’s Singapore consortium – before a preferred bidder is selected, possibly by Thursday morning.

So far, despite dismissing Whyte as an “irrelevance”, the administrators have failed to legally secure the shares he bought from Sir David Murray for a single pound.

And to complicate the matter further London-based property developer Ellis now insists he is rightfully the club’s co-owner.

Ellis – who has been in regular contact with Miller and those behind the original Club 9 Sports consortium – confirmed to Record Sport last night: “I am owed 24.9 per cent of the entire club’s shares and I will be suing Craig Whyte for it.

“This was part of the initial agreement prior to the takeover and I have correspondence to prove it. At the time the solicitors sent all the documents through, Craig accepted the fact that I was getting 24.9 per cent of the club.

“My lawyers wrote to Craig on Thursday about this and we are awaiting his response. I do not trust his intentions for the football club and I want to do what I can to make sure the best interests of Rangers are being looked after.

“That’s why I have been actively engaged in talking to one of the bidders. I’ve been trying to assist them in their efforts to save the club as I am so disappointed with all the damage that Whyte has done.”

Ellis is also taking advice on the legality of Whyte’s latest piece of manoeuvring at Companies House.

The disgraced Rangers owner appears to have switched control over the club’s floating charge from RFC Group Limited to one of his own companies, Liberty Corporate Limited.

 

Ellis, who is listed as a director of RFC Group Limited, said: “I want to know why Whyte has done this and if it means he has now placed a floating charge on the club’s assets like Ibrox and Murray Park.

“Why was it done and why didn’t he seek my consent?

“As far as I’m aware he can’t do that. He knows I would never give him my consent because I have always said there should be no charges over the club’s assets.

“I believe he has acted outwith company law and I wouldn’t have allowed him to do this because it could kill the football club. I would like to see this declared legally null and void.”

Sir David Murray also last night rubbished claims from Whyte that the topic of Gers going into administration had been discussed in their talks about the sale.

Whyte made the claim after Duff and Phelps revealed a potential liability of £140million in their report to creditors last week.

Most of this figure derives from the potential HMRC bill of £75m – if the big tax case tribunal goes against Rangers – that was run up on Murray’s watch.

The rest is debt from Whyte’s reign including £27m to Ticketus and £14m owed to HMRC due to the non-payment of PAYE and VAT.

Whyte recently stated: “Liquidation was never considered but administration was discussed with the sellers at the time and we knew it was a serious option.”

 

However, Murray has now hit back by insisting: “It was never discussed. With the greatest respect his offer document did not say that.

“I think he made a statement that the club was never in a better financial situation.”

On the damage to his own reputation from the saga, Murray added: “It has tarnished a part of my business career, there is no doubt.

“But I have run the business for nearly 40 years and I employ thousands of people. Other than the football club we have not been involved in any administrations.”

 

http://www.dailyrecord.co.uk/2012/04/10/rangers-in-crisis-director-andrew-ellis-demands-a-quarter-of-club-s-shares-from-craig-whyte-86908-23819760/

Edited April 10, 2012 by ian1964

[Bears 0]

This guy's on a par with CW and DM. I fucking hate the cunt!

[Bears 0]

I've though about this for a few hours now.

 

Here's what i think the reasoning is behind this.

 

AE knows that the Yank bid is possibly a distant 3rd in the bidding stages, and that CW might loose control of Rangers through the courts, or if CW does sell (which is what i think he'll do and walk away with a healthy sum GRRRR) then AE gets fuck all. So this is a panic movement by him.

 

It might actually not be too significant the more i think about it, and but it is very uncomfortable to read at this late stage.

[caseyjones 0]

I reckon Elllis and Whyte are on the same side and I would be shocked if this ever sees a courtroom. More muddying of the waters designed to create confusion and a more complicated exit out of administration.

[Kenzie1 0]

This seems like one of those non-stories the press have been sitting on for some time and decided to publish as it was getting close to end game with the administrators. A spoiler, I think they call it. An insult to intelligence, I call it.

[Juancornetto 1]

I've got speculation fatigue, I've stopped reading all the if's and but's and maybe's and am just going to wait for the news to come through that this nightmare is over. I'm hopeful that is via a CVA and through new owners that can steady the ship quickly and let us get back to being a football club. This season is over so it's all about how quickly we can gear up for taking back our title that the mutants have been handed.

[Darthter 542]

My thinking on this is similar to Bears thinking....

 

I think Ellis has got wind that Whyte stands to make a health profit from any take over. Whyte & Ellis had an agreement with regard Ellis getting 25% of the shares and he wants his cut any profit that is made. I am not convinced that Ellis has the clubs well being @ heart as he makes out - if that was the case, why is he only raising this now???

 

It could be another spanner in the works if it does go to court - I can't see the admins being able to sell shares/ownership, if the ownership itself is being contested in court.

[Bluedell 5,679]

It could be another spanner in the works if it does go to court - I can't see the admins being able to sell shares/ownership, if the ownership itself is being contested in court.

 

Hopefully any sale could still be processed and Ellis can go after Whyte for his percentage of the proceeds.

[Jim White 0]

Director Andrew Ellis claims he is entitled to a quarter of Rangers' shares and has instructed his lawyers to take action against Craig Whyte.

 

More...

[forlanssister 3,114]

Hopefully any sale could still be processed and Ellis can go after Whyte for his percentage of the proceeds.

 

That's probably more like it, time is fast approaching for Duff & Phelps to actually deliver their promise that Whyte is an "irrelevance", I think someone will have egg on their faces(s).