Generic clubs in financial crisis Thread

[T.R.O.L.I.]

I see that...Birmingham are now under a transfer embargo for not getting their accounts in on time.

Not sure what kind of punishment this is as the transfer window is closed. They should be banned from taking part in the next transfer window.

In Brum's case - sod all. The punishment will be no "emergency loans" (except in real emergencies i.e. all goalies injured) - no wonder they rushed through the signings of Ramage, Folan and Hughton Jr two days ago

[philM]

I see that Coventry and Birmingham are now under a transfer embargo for not getting their accounts in on time.

Birmingham may be in big trouble, if I remember correctly majority shareholder Carson Yeung's assets were frozen a while back pending his money-laundering trial in China.

The club also failed to file their accounts to the Hong Kong Stock Exchange last month, which was originally meant to be done by the end of last year.

[Friday's Legacy]

I see that Coventry and Birmingham are now under a transfer embargo for not getting their accounts in on time.

Birmingham may be in big trouble, if I remember correctly majority shareholder Carson Yeung's assets were frozen a while back pending his money-laundering trial in China.

The club also failed to file their accounts to the Hong Kong Stock Exchange last month, which was originally meant to be done by the end of last year.

another club like portsmouth i would love to see go to the wall.

[cmonurz]

SSN reporting Rangers need to save £1m a month; BBC reporting that up to 10 or 11 players could be made redundant, with those left taking 50-75% wage deferrals until the end of the season. The situation at Rangers appears much, much worse than many might have first assumed.

[leon]

SSN reporting Rangers need to save £1m a month; BBC reporting that up to 10 or 11 players could be made redundant, with those left taking 50-75% wage deferrals until the end of the season. The situation at Rangers appears much, much worse than many might have first assumed.

portsmouth, birmingham, rangers....the holy trinity.

[Royal Rother]

Blue is the colour...

[Franchise FC]

Has anyone looked at how the foot of the table would look if their record was expunged before the end of the season? I had a quick look at the April fixtures (I heard mid-April is critical time)- apart from Saints on the 7th they are all teams towards the bottom- plus the impact of points already gained by teams down there...could pull a few right into the mire.

But only two would go down

[Barry the bird boggler]

SSN reporting Rangers need to save £1m a month; BBC reporting that up to 10 or 11 players could be made redundant, with those left taking 50-75% wage deferrals until the end of the season. The situation at Rangers appears much, much worse than many might have first assumed.

So why aren't Portsmouth players being made redundant?

[Friday's Legacy]

SSN reporting Rangers need to save £1m a month; BBC reporting that up to 10 or 11 players could be made redundant, with those left taking 50-75% wage deferrals until the end of the season. The situation at Rangers appears much, much worse than many might have first assumed.

So why aren't Portsmouth players being made redundant?

agreed. starting with £38k a week tal ben-haim. kitson is also on £20k a week. its ridiculous.

they should just take relegation on the chin, bin the players they need to (if indeed they are allowed to make player redundancies?); promote a couple of youngsters to get by, and then hope they can agree one final cva and then count themselves lucky they're a league one club next season.

instead they seem to be trying to hang on to whatever they can in the hope of staying up, which isn't all that important in the grand scheme of things.

[Schards#2]

SSN reporting Rangers need to save £1m a month; BBC reporting that up to 10 or 11 players could be made redundant, with those left taking 50-75% wage deferrals until the end of the season. The situation at Rangers appears much, much worse than many might have first assumed.

So why aren't Portsmouth players being made redundant?

And why didn't they sell as many as was necessary in the transfer window?

[cmonurz]

Now Chainrai says he would be willing to take over again as a temporary owner whilst another investor is sought. You really couldn't make it up.

[PieEater]

So why aren't Portsmouth players being made redundant?

Presumably because they are prefered creditors with airtight contracts. Their contract would need to be paid up.

[Friday's Legacy]

So why aren't Portsmouth players being made redundant?

Presumably because they are prefered creditors with airtight contracts. Their contract would need to be paid up.

is the rangers situation different then? they've be warned that players may be made redundant soon.

[exileinleeds]

The rules are different in Scotland. Scottish law and Scottish League is different. If Pompey made players redundant then they would lose their Golden Share.

The reason they didn't sell more players in January is basically because players could not agree personal terms. Would you swap a guaranteed £15k a week at Portsmouth for £8k at Ipswich? Whoever negotiated player contracts for Portsmouth frankly should be strung up and sharp pointy things inserted in every oriface.

I saw a bit of the interview with BC "why would anyone think I am a bad person...why would this be my fault, I am just a business man..."

I imagine TB will treat him with a great deal of caution....he is obliged to work in the best interests of ALL creditors, and BC being back does not outwardly at least, seem to offer anything towards that. Maybe I am maligning the man unfairly; perhaps he is offering a no strings £3m to cover running costs until the end of the season and thus avoid liquidation.

[TFF]

So why aren't Portsmouth players being made redundant?

Presumably because they are prefered creditors with airtight contracts. Their contract would need to be paid up.

is the rangers situation different then? they've be warned that players may be made redundant soon.

Yes,

http://www.portsmouth.co.uk/sport/pompe ... -1-3586391

Meanwhile, Pompey’s administrators say the club cannot copy Glasgow Rangers Football Club, which is also in administration, which is looking to make players redundant.

A spokesman said: ‘That is not a possibility we have considered because there are differences between Scotland and England.

‘In England we would lose our league membership if we were to do that.’

[Royal Lady]

The rules are different in Scotland. Scottish law and Scottish League is different. If Pompey made players redundant then they would lose their Golden Share.

The reason they didn't sell more players in January is basically because players could not agree personal terms. Would you swap a guaranteed £15k a week at Portsmouth for £8k at Ipswich? Whoever negotiated player contracts for Portsmouth frankly should be strung up and sharp pointy things inserted in every oriface.

I saw a bit of the interview with BC "why would anyone think I am a bad person...why would this be my fault, I am just a business man..."

I imagine TB will treat him with a great deal of caution....he is obliged to work in the best interests of ALL creditors, and BC being back does not outwardly at least, seem to offer anything towards that. Maybe I am maligning the man unfairly; perhaps he is offering a no strings £3m to cover running costs until the end of the season and thus avoid liquidation.

Surely the Pompey players aren't "guaranteed" any wages? I thought they hadn't been paid in ages.

[exileinleeds]

There is something called the Football Creditors rule- the players will be paid, as per their contracts. The FL will withhold payments due to the club if necessary to fulfill those obligations. I suspect there is also an underwriting that if they went completely tits up and no money could be raised, the league/pfa would make up the shortfall.

[Royal Lady]

That's as maybe - but they certainly weren't paid for January - whether they have been now, I have no idea.

http://www.bbc.co.uk/sport/0/football/16906970

So, my point stands that they are not "guaranteed" a certain wage, if they had moved to other clubs, they would have been, even if it were less than they were currently contracted to receive at Portsmouth. I'd have thought the majority of players would have wanted out during the transfer window.

[Friday's Legacy]

There is something called the Football Creditors rule- the players will be paid, as per their contracts. The FL will withhold payments due to the club if necessary to fulfill those obligations. I suspect there is also an underwriting that if they went completely tits up and no money could be raised, the league/pfa would make up the shortfall.

the administrators confirmed recently that the players hadn't been paid since december and wont now for the rest of this season.

[Ian Royal]

There is something called the Football Creditors rule- the players will be paid, as per their contracts. The FL will withhold payments due to the club if necessary to fulfill those obligations. I suspect there is also an underwriting that if they went completely tits up and no money could be raised, the league/pfa would make up the shortfall.

the administrators confirmed recently that the players hadn't been paid since december and wont now for the rest of this season.

You're missing the point of them being secured creditors. I suspect even if Pompey were liquidated they'd be first in the queue for the trough. And EIL does say that she suspects the league / pfa will pick up anything Pompey can't manage. Which seems fairly likely to me.

So why go for less money now (though actually see it straight away) when they'll probably get paid eventually anyway.