Craig Whyte cuts cash claim against oldco Rangers by over £21million

[ian1964 10,622]

The former owner has failed in a number of attempts to take as much as £25m from the assets of the liquidated entity.

 

ByKeith McLeod

06:00, 17 DEC 2016Updated09:44, 17 DEC 2016

 

Craig Whyte has slashed the amount of cash he is trying to squeeze out of oldco Rangers by more than £21million.

 

The club’s former owner has failed in a string of attempts to grab as much as £25million from the assets.

 

An interim report to creditors by joint liquidators BDO has now revealed that Whyte submitted a new claim of £3.5million in July.

 

Whyte’s original claim for £25million was lodged by Law Financial Limited, a company owned by the Worthington Group, of which he was a director.

 

Whyte demanded £18.5million through his firm The Rangers FC Group Limited (TRFC) in 2015 but that too was thrown out by liquidators. TRFC were formerly Wavetower Limited.

Whyte’s latest claim for £3.5million means a further delay for creditors hoping to secure a dividend from the assets of the oldco.

 

The club’s major assets, including Ibrox Stadium and the training ground at Auchenhowie, were transferred to the newco when it was formed in 2012, so can’t be touched.

 

Although any payout to Whyte is unlikely, BDO say they are taking legal advice because the claim “purports” to be “secured”, which means the company would be head of the queue for a payout.

 

The BDO report said: “Following protracted correspondence, Wavetower confirmed it would withdraw both its appeal of the joint liquidators’ rejection and the claim itself.

“Wavetower subsequently submitted a new secured claim of £3.5million on July 12, 2016.

 

“No supporting documentation was provided with the claim, which the joint liquidators rejected on August 22, 2016.

 

“Under the rules, Wavetower had until October 16, 2016 (14 days before the end of the next relevant accounting period) to appeal against the rejection.

 

“It failed to respond and, as such, a creditor would generally be excluded from the benefit of an interim dividend.

 

“As the Wavetower claim purports to be secured, however, the joint *liquidators have been liaising with their legal team to understand what further steps are required before they can prepare a fresh Scheme of Division and declare a first dividend to creditors.

 

“Once this matter is resolved, we intend to consult with the committee to agree a new Scheme of Division to allow a first dividend to be declared and paid to unsecured creditors with agreed claims.”

 

In a case at the High Court in Glasgow, Whyte is accused of carrying out fraud to take over Rangers in 2011.

 

He put the club into administration over an unpaid tax bill in 2012 which led to Charles Green buying the assets.

 

The taxman is the largest claimant against the oldco’s assets and is demanding £92million.

 

Ticketus, who were sold the rights to Ibrox season ticket revenues for three seasons, are also one of the *creditors.

 

http://www.dailyrecord.co.uk/news/scottish-news/craig-whyte-cuts-cash-claim-9472138

[der Berliner 3,562]

The taxman is the largest claimant against the oldco’s assets and is demanding £92million.

 

"Hypothetically" or "up to", I would like to see added.

[boabie 230]

" Whyte’s original claim for £25million was lodged by Law Financial Limited, a company owned by the Worthington Group, of which he was a director. "

 

Whyte set up Law Financial as a company himself and sold the shares to Worthington. It was nothing other than a shelf company being used to drain more money out of the club.

He's getting hee-haw.

[Uilleam 5,774]

Whyte should be horsewhipped from Plantation to Pennilee.

I would pay good money to watch that. I suspect others would, too.

[craig 5,199]

"Hypothetically" or "up to", I would like to see added.

 

But it isn't up to or hypothetical. HMRC ARE demanding 92 million. Whether it is borne out to be at that quantum remains to be seen but the statement in the article is correct.

[the gunslinger 3,366]

"Hypothetically" or "up to", I would like to see added.

Why they currently won the case.

Edited December 17, 2016 by the gunslinger

[JFK-1 1,691]

The gall of this creature is mind boggling. So does this mean there is now no masquerade of ever having being someone who was only interested in the wellbeing of the club? Is this an admission that it was an attempted asset stripping con from day one?

Edited December 17, 2016 by JFK-1

[jhunter 0]

The gall of this creature is mind boggling. So does this mean there is now no masquerade of ever having being someone who was only interested in the wellbeing of the club? Is this an admission that it was an attempted asset stripping con from day one?

 

and where exactly are you placing that date?

[pete 2,499]

and where exactly are you placing that date?

 

I would say the first day he started planning.

[boabie 230]

The gall of this creature is mind boggling. So does this mean there is now no masquerade of ever having being someone who was only interested in the wellbeing of the club? Is this an admission that it was an attempted asset stripping con from day one?

 

Whyte looked to place the club into administration, go through the process and end up with a club free of debt owning a few millions of squad players, to say nothing of the material value of Ibrox and Auchenhowie.

He is facing charges of fraud. Even if found not guilty of that criminal charge there will be enough imo at civil law to ensure he doesn't get another penny from Rangers.