Weston Saint

BBC Solent this morning said Storrie is locked in discussions with the SA prospective buyers. Chainrai & Kushner were talking to another two interested parties. Storrie is the CEO and therefore acting for the business. It must be clear by now that whatever deal was agreed last week subject to proof of funds has collapsed. Others have speculated why. It could be the result on Saturday, it could be the change in ownership of the stadium, it could be that funds have yet to be transferred or it might simply be lack of any real agreement with the main creditors, HMRC, Chainrai & Gaydamac. I think it is safe to say the SA's were not just going to take over the club and debts without a massive discount. HMRC will not likely budge. Gaydamac can afford to wait as most of his debt is already long term to 2012 and he has the surrounding property as security. Chainria appears to want out as soon as possible. Maybe he has seen what sort of deal is going down, did not see it to his advantage and grabbed the stadium property with a lease back to cover his losses. Now here is the strange thing. Why is Chainrai & Kushner talking to two other potential investors? They do not own the football club, only the stadium. They are creditors. What are creditors doing talking to potential buyers? Puts into perspective the comments "rescue package" I think Chainrai has given up on the SA interest and is trying desperately to recover as much of his money as he can. He will put them into Administration before the week is out. I am not sure of the legal issues because we do not know the terms of the loan secured against the Stadium but I bet he has been clever enough to keep that out of administration. I also suspect he had it valued before the loan security and will be able to demonstrate that his "purchase" for £10m was a fair price to pay should HMRC challenge the legality. But as I say, I am no expert in such matters and we do not have all the facts.

Tony Husband: Chainrai and his partner were not hopeful this morning, Storrie was! Still taking at the moment in London. Looks like the end game is near.

http://www.pompeytrust.com/index.php?option=com_content&view=article&id=128:the-al-fahim-shares-update&catid=53:trust-information The Al-Fahim shares - update Monday, 22 February 2010 10:15 Matt Partridge .The Pompey Supporters’ Trust working committee met with Suleiman Al Fahim at the end of January to discuss the possibility of Mr Fahim donating his 10% share in Portsmouth Football Club to the Trust. The working committee agreed that the offer had been made in good faith, but due to the circumstances of the Club we required financial and legal advice before we’d be in a position to comment further. No formal offer has yet been made to the trust, but appreciating the need for urgency in the current dire situation, the Trust and it's advisors will deal with any formal offer immediately after it's been recieved. A reccomendation based on financial and legal advice will be put to the Pompey Trusts members, who ultimately approve any decisions of this scale. If you require any more information please contact info@pompeytrust.com This e-mail address is being protected from spambots. You need JavaScript enabled to view it Last Updated ( Monday, 22 February 2010 10:56 )

So it the trust now own 10% of the club I assume they also own 10% of the debt?

With all the whispers coming out on message boards and in the media, if there is a SA consortium who prove funds next week, I assume they will then issue a letter of intent whilst they carry out their own due diligence. We know how many false dawns we had. But if they are "saved" let us put it into perspective. They are still favourites to go down. If they are "saved" and avoid relegation at the end of the season so what! Does it affect our support of Saints? Of course it does not. Does it affect our club, the playing staff or our attempt to get out of Div 1? Of course it does not. Do we care? Well I don't. We have had fun, we have taken the ****, we have seen them squirm it total embarrasment and my bet, in the event they are "saved", is that it will not be anywhere near what we have. It will not be long before we regain our rightful premier position on the south coast. Comforting thoughts aren't they

Let us assume they consider Administration next week. Where is the Administrator going to get the money to pay the wages and bills from that date? Cannot risk a loan as the Administrator Company would be responsible should they not find a buyer. They need a "Crouch" figure to keep them going. Would have to be Chainrai or Gydamack but they seem to have decided more money is not the answer. They cannot sell players like we did because of the closed transfer window They cannot mortgage property because it is already mortgaged to Chainrai, Gydermack and Barclays Bank. What else is there? The cupboard is bare. I think for this reason any investor would not wait for Administration as it is possible no one would take in on because of it's gross insolvency. So liquidation would occur and any chance lost. If they come in before Administration/Liquidation they have to immediately find £12M for the tax man plus wages and PAYE/NI said to be conservatively about £3M. Then they have to negotiate with Chainrai and Gaydamack to settle their debt. Chainrai has aleady taken over the stadium for £10m leaving about £7m o/s Gaydamack is owed about £26m I believe. I think then he will release the surrounding property back to the club. Say he gets his initial amount, what was it? £7m and keeps the property short term. Then there is the wages/tax/NI until the end of June at £12m Even not taking into account other running costs they need an immediate pot of £41m just to keep them afloat until June and still have debts approaching £30m and more money needed to develop. Just cannot see anyone investing. Why would they? What profit could they possibly conceive to make in the next few years.

One very good thing I noted yesterday, there were no loanee's in the first 11. They were all under contract with us and were considered our strongest 11. That must be unique it this division and again shows stability and intent.

Delighted with the result. Delighted with the reported way we dominated. Pardew will be able to sleep easy tonight. Consistancy going forward now and we will be that force Cortese craves.

What a great place it is and what nice people. Called in Thursday and was immediately met with a smile and a chat with some of the behind the scenes staff. Some of them know me from previous seasons Then whilst I was waiting for someone from Corporate, some of the players recognised me and came over to chat, Tomlinson and Griffiths in particular. Looking forward to the season start. Taken a membership in the Executive Club this season

But he is right though despite my agreement with the side to start.

Yep, agree with all of this.

Good side

I am not disputing the reason for HMRC issuing the order to send out a firm message. That has been obvious from the day they lost preferred status in 2003 and then lost a number of high profile cases against football clubs over the football debts getting paid off in full. The point I am making is that the winding up order does not give the HMRC preferred status. Administration gives them the same status but they want a winding up petition to succeed to make sure other clubs pay their taxes on time or face the consequences. We all know Pompey have nothing and the HMRC will get nothing. The reason for Administration is to protect the business from creditors whilst a potentially VIABLE company sorts out investment or a change in ownership which will allow it to pay its creditors more than they might get from liquidation. PFC do not appear to fall into that bracket on the present uncorroborated evidence in the media.

Does not say that here http://ezinearticles.com/?Does-Issuing-a-Winding-Up-Petition-Give-Me-Priority-For-Debt-Repayment?&id=3578385 If the company is subsequently ordered to be wound up, then the person or business who initiated the winding up petition will not be treated as a priority creditor. The liquidator will be paid first together with any secured creditors or debenture holders. If there are any funds remaining after the liquidator and debenture holders have been paid, these will be distributed fairly to all remaining unsecured creditors including the initiator of the petition. Generally if a business is insolvent, there will be little or no funds available at this stage and unsecured creditors will receive little or no return.

Makes sense, thanks but they would not be behind football debts. In Administration all not preferred including Football Debts get the same status. When a club is bought out of Administration, the new owners then have to pay off the rest of the football debt to get their "Golden Share" back So if £12m owed to HMRC and £12m owed to football and payout was 10% both would get £1.2m from Administrator (proceeds from sale) The new owners would then have to invest a further £10.8m to pay off the outstanding football debts to get the FA licence (Golden Share") back.

The only point I have issue with is preferred creditor status. My understanding is that they lost their preferred status in 2003. That, I assume, would apply equally to winding up orders.

Well done Steve, Dan and Baj. Decent start Dan, I did listen to it all the way through and yes you did sound like Alan Davies

Three options, first is not going to happen, second in capitals is their best hope but not likely so third is favourite still

Let me make a prediction here based on the above overnight stories of possible takeovers. The court will listen to the possibility of the insolvent club being saved by REAL investment prospects. PFC say the buyers may need 28 days for due diligence which is not unreasonable from a purchasers point of view. The court will look seriously at the evidence put forward. If the interest is genuine and documents to that fact lodged with the court before the hearing I am goint to punt on the club being given another 21 days to develop that REAL interest. My only caveat is that if they are so insolvent (ie FIFA refuse to let them sell assets) the court may wind them up there and then The answer is for anyone wanting to undertake due diligence deposit a non returnable deposit not exceeding 1 month running costs so that period does not see a further deterioration in the insolvent position. So it is takeover completed by 1st March, MONEY WHERE YOUR MOUTH IS or Wound up

I think you have just been caught, hook, line and sinker. You mst try to learn not to nibble at obvious bait

This seems very plausable

This says it all

PFC request to reopen the window for sales now confirmed by BBC. Final throw of the dice? You bet it is. Interestingly however, if PL, FA & Fifa agree if any club buy their players to play them that opens the window for them as well. So you would have to open the European window fully. And then the question- why have you signed two out of contract players after the window if you are desparate to sell? Short shift "no way", I would think

Fair points well made. I agree with this.

Really? How many goals does he have? How many assists does he have? How come our midfield central is not contributing enough? I like Schneiderlin. I think he is a cultured player and can pass well but he is not producing the flair/pace/opportunities that someone of his class should, week in, week out. Why, I have no idea. Certainly prefer him over James, Gillett and Mills but not at the expense of Hammond, Lallana or Puncheon