Joint Administratorsâ?? Progress Report to Creditors dated 24 August 2012

[Steve1872 4]

http://www.rangers.co.uk/images/staticcontent/documents/administratorsinformation/Rangers%20-%20Progress%20Report%20-%2024%20August%202012.PDF

[the gunslinger 3,366]

SPL winnings sold to the newco and ebt case result in september.

[chilledbear 16]

Which Clubs are overdue paying transfer fees?

[the gunslinger 3,366]

middlesbrough? Everton?

[foggy dewhurst 0]

duff and phelps are still making money from us

[der Berliner 4,146]

PROGRESS REPORT TO CREDITORS

 

... by the Joint Administratorsâ?? Progress Report to Creditors dated 24 August 2012 is out now and can be downloaded from the club's homepage or viewed online (open PDF)

 

A few interesting bits including a clear distinction between club and "companies", as well as ...

 

EBT Case - Big Tax Case

 

- 13.17 The Big Tax Case is disputed by the Company and is subject to a first tier tax Tribunal. An outcome has yet to be determined by the Tribunal and is expected in September 2012.

[ian1964 10,870]

duff and phelps are still making money from us

 

 

 

The administrators of Rangers 'oldco' are to receive £2.7m for their six-month appointment.

 

Duff and Phelps state in a report released to creditors this week that so far it has received fees of £2.4m for its appointment at RFC 2012 Ltd, formerly The Rangers Football Club plc until the end of June.

 

The London firm is asking creditors for approval to receive payment of a further £363,389 in relation to work it carried out since then, between June 30 and August 10 this year.

 

This would bring the total payments received by Duff and Phelps to £2.7m for the six months the insolvency firm has been in place at Ibrox, short of the £3.2m it has listed as its costs in a document released on Monday.

 

Previously, it had submitted a claim for £2.9m for creditors to approve, but this resulted in payment of around £500,000 less than that after those owed money insisted on "modifications" to that proposed payment.

 

Liquidators BDO, chosen on the insistence of HM Revenue and Customs, are expected to be appointed "shortly" to take over the winding up of the oldco after it failed to reach a company voluntary arrangement (CVA) with creditors owed up to £134m.

 

Included in the bill from Duff and Phelps is a £104,000 fee for the 284 hours of work its employees put in to forming the CVA, which was rejected by tax authorities in June. This was because Rangers had failed to pay £18m in tax during Craig Whyte’s nine-month reign at the club. HMRC has a publicly-stated policy on refusing cut-price payment deals with insolvent firms or individuals who have consistently failed to pay their tax.

 

When the CVA was rejected on June 14, newco chief executive Charles Green claimed he had been "led along" by the tax authorities about accepting a pence in the pound offer, despite it having clearly set-out guidelines on the circumstances where it would and would not accept such deals.

 

£4.2m shortfall

 

According to the interim report, Rangers oldco ran at a shortfall of £4.2m from the appointment of administrators on February 14 until August 13. This was reduced by around £280,000 through funding provided by the Sevco consortium that purchased the club’s assets in a £5.5m deal.

 

Included in the fee paid to Duff and Phelps so far is around £42,700 covering pre-administration costs for 89 hours of work carried out before the firm’s official appointment on February 14. Several months prior to its appointment, the firm formerly called MCR, had been working in an advisory capacity to Mr Whyte on his takeover of Rangers.

 

The document by joint administrators Paul Clark and David Whitehouse also notes that they expect the result in the First Tier Tribunal’s ‘big’ tax case relating to the club’s use of offshore employee benefit trusts to pay workers between 2000 and 2010 to be released next month.

 

Former owner Sir David Murray operated the scheme that could land the oldco with a bill of up to £75m. Any claim from HMRC in relation to this, should the tribunal reject Rangers’ appeal of the tax bill, would be factored into the company voluntary liquidation to be overseen by BDO.

 

Duff and Phelps confirm in the report that the oldco has received £111,607 from the special administrators appointed to Pritchard Stockbrokers in Bournemouth. Mr Whyte was a director and shareholder in the finance firm, which he used to sell off Rangers’ historical £223,214 shares in Arsenal FC.

 

The cash received in this transaction overseen by Mr Whyte never entered the books of the Glasgow club, while the repayment represented a deal of around 50p in the pound.

 

Creditors will vote on the proposals for payment set out by Duff and Phelps next month, while the report notes that 25% worth of creditors by value may apply to the Court of Session to fix the payment the insolvency firm receives, or to highlight what they consider to be "excessive" charges.

 

http://news.stv.tv/scotland/187518-d...dministration/

[the gunslinger 3,366]

no real surprise someine objected to their fee.

[simplythebest 0]

Good luck to Paul and David.

[simplythebest 0]

Well some folk really do have brass necks...

 

steven naismith ‏@naisy14

http://m.stv.tv/news/glasgow/187518-duff-and-phelps-to-earn-27m-from-overseeing-rangers-administration/ … Unbelievable

https://twitter.com/naisy14/status/240202510856495104