Pompey Takeover Saga

[St Chalet]

http://www.fansonline.net/pompey-fans/article.php?id=255

 

Sensible article from the other side.

 

Very good article, the thing he misses is the logical conclusion to his agrument; that Baloo and Levi are not going to hang around to build that club.

[Gingeletiss]

Crabby no gloating hear far from it, in fact we (the bloo few) clubbed together to pay the Charity's that had been ripped off......just giving an honest reply to a post by Wealdsaint

But! its still uplifting when the Rt Rev Crabylungs climbed up into his pulpit preaching to us the blue few that we are falling into the abyss of fire and brimstone where the worms will eat us from the inside out,,,UNLESS! we repent our evil ways annall that.

 

 

What do you mean will?

[dubai_phil]

So the new co needs to borrow some money.

 

Oh wow another big surprise.

 

Now let's think a moment - doesn't the newco have some bills to pay off as well?

 

As in the CVA?

 

 

So like kinds what happened to the grand payback plan for the 20p?

 

Long way to go yet.

 

Someone give The Guinness Book of Records a call and see who holds the record for securing the most loans against the same assets

[Matthew Le God]

Football League Statement...

 

http://www.football-league.co.uk/championship/news/20101024/pompey-exit-administration_2248204_2193579

[rallyboy]

Hurrah for plucky little Pompey, a glorious future awaits! - The reality is no new money, no longer protected by the safe harbour of administration and dangerously exposed to a variety of legal actions.

The repayments start soon and the clock is ticking to the full investigation of the accounts, and we don't want any 'new' owner moaning about 'due diligence didn't show it was this bad' or 'why do we get a points penalty now, that was when I previously owned the club'.

 

The admission that they need to borrow is a little bit of a bombshell - and as others have said, against what?

 

This looks like the start of the whole debt-gathering process again - the only people who will loan will be loan sharks/money launderers who will do it at huge interest rates and with no security as Chanrai always has that tied up - he would have to surrender some assets, and there is little of value.

 

He must be looking for £10M-£20M of loans to get them through the season? - that would need the squad AND the ground together as security, borrowing against future revenue is the recipe for disaster, especially when the parachute payments are mostly spoken for.

 

Why take ownership of the club if you have no intention of investing? Why buy a car you can't afford to insure or run?

It's still nuts.

 

At first it sounded like they were trying to become a proper business for the first time in years - then the borrowing claim knocked that one out.

I'm sure they'll manage without any problem, such as creditor unrest......I note that the FL has reserved the right to keep an eye on CVA payments, so sanctions could still apply....beware the Ides of March.

 

I guess if they can pay the wages until Christmas and turn the sorry ship around this thread can then be renamed, but the ship is still submerged and they are swimming with sharks.

 

And congrats to AA - he managed in his own mind to have them on the brink of liquidation, saved, closer to liquidation and sold in eight days - he truly is the hero they deserve.

 

695 pages in, several owners and an administration later - the figures still don't stack up.

 

All the gossip, analysis, banter and guesswork has changed nothing - cash is the only answer, and they still don't have it.

[Jonnyboy]

cheats

[Crab Lungs]

For those of you looking for Chainrai's "We're going to borrow money" statement, here you go:

 

http://www.skysports.com/story/0,19528,11674_6467057,00.html

 

Just hours out of admin and already flicking the v's.

[dubai_phil]

For those of you looking for Chainrai's "We're going to borrow money" statement, here you go:

 

http://www.skysports.com/story/0,19528,11674_6467057,00.html

 

Just hours out of admin and already flicking the v's.

 

Let us put this in plain English.

 

The club was insolvent when they started last season in the PL

The club was insolvent when they "bluffed" (allegedly) lied their way through a winding up Court order

The club was insolvent so went into Admin

The club is insolvent now it has come out of admin - in the BIGGEST recession since the 1930's

 

Well done I believe I should propose a Toast to those miracle workers that are, have been and will continue to be - The Club owners.

 

Cheers.

 

The Nobel Prize for Business acumen awaits you gentlemen (and Lady FD)

[aintforever]

How could they possibly borrow more money, there is nothing left to secure anything on?

[Faz]

How could they possibly borrow more money, there is nothing left to secure anything on?

 

Future parachute payments

[Matthew Le God]

Balram Chainrai on SSN "We are going to need to borrow money from elsewhere."

 

That statement, along with 5 years left of CVA repayments shows why this thread shouldn't close. Still plenty more mileage left in this saga.

[damers]

Maybe they will "Borrow" the cva repayment money....

[CityRanger]

I may be wrong but won't the tax man ask for a "security" straight away now. Probably a 7 figure sum I'd imagine. Isn't that standard practice in a situation like this when the same people take over after clearing huge debts through admin? Some of you business people out there may be able to shed some light on this...

[Weston Super Saint]

I may be wrong but won't the tax man ask for a "security" straight away now. Probably a 7 figure sum I'd imagine. Isn't that standard practice in a situation like this when the same people take over after clearing huge debts through admin? Some of you business people out there may be able to shed some light on this...

 

£2.5million would be nice, that was the figure bandied around about Gaydamak, and that would have liquidated them....

[Red and White Army]

So sadly 'pompey will get away with ' has morphed to 'pompey got away with it'

I now await the smug crew return.

 

Sadly you are already here nick.

[Verbal]

Sadly you are already here nick.

 

But he was right.

[ericofarabia]

Will Android be paid 5p in the pound or what ever paltry repayments everybody else is due to get, or full whack for his services?

 

The stench of corruption and dishonesty prevailing around everything that has happened at that sorry excuse of a football club is over powering and sickening.

 

And even before the ink is dry, they are looking to borrow more money .... fecking unfeckingbeleivabale.

 

A total kick in the nuts to all the clubs that have tried to operate within the boundaries of the law and common decency, but failed.

 

A sad day indeed.

[hypochondriac]

Once they won the court case (which I couldn't believe by the way), I knew it would go this way. All we can do is pray they don't get promoted and they will have a slow death instead. If they don't get promoted in the next 2 years then they will have to sell the rest of the squad (utterly amazing that they didn't do this already like EVERY other club who has gone into admin.)

[CityRanger]

£2.5million would be nice, that was the figure bandied around about Gaydamak, and that would have liquidated them....

 

I would imagine that HMRC will give them the maximum possible security to pay to be able to trade! No love lost there obviously...

[Matthew Le God]

http://www.mirrorfootball.co.uk/news/Portsmouth-are-the-target-of-a-10m-takeover-bid-from-former-Hull-chairman-Paul-Duffen-article612957.html

 

An interesting point from it...

 

"From documents I have seen the club have already drawn on £8m from next year’s Premier League parachute payments."

 

The gift that keeps on giving...

[Crab Lungs]

http://www.mirrorfootball.co.uk/news/Portsmouth-are-the-target-of-a-10m-takeover-bid-from-former-Hull-chairman-Paul-Duffen-article612957.html

 

An interesting point from it...

 

"From documents I have seen the club have already drawn on £8m from next year’s Premier League parachute payments."

 

The gift that keeps on giving...

 

Nice to know they've already flunked the rules (again) by drawing £8m in advance of everyone else (therefore, gaining yet another advantage, if only for a season whilst everyone else scrimps and penny pinches) and that their creditors have been dished out a percenta... oh no, wait a minute. No, they spunked that on more players they couldn't afford.

[pfc123]

So then, time to close this one down? Face it, it's over...

[Matthew Le God]

So then, time to close this one down? Face it, it's over...

 

It is far from over.

 

1) Chainrai has said he is taking out more in the way of borrowed money

 

2) The CVA has 5 years left and all repayments need to be on time or **** hits the fan again

 

3) Paul Duffen said he has seen documents that suggest that the parachute payments from next season are already being used

 

4) The disputed £1 million to Tottenham would upset the business plan

 

5) Storrie/Mandaric/Redknapp court case

 

Plenty to keep us entertained...

Edited 25 October, 2010 by Matthew Le God

[PES]

So then, time to close this one down? Face it, it's over...

 

+1

 

Saw a few red rags running the GSR yesterday, good matured banter as they ran through the Hard and Portsea, cries of Scummer were ringing out everywhere. Real heart warming stuff

[Dark Munster]

it was like watching the Graet train robbery unfolding in front of your eyes and the authorities not answering the 999 call.

So sadly 'pompey will get away with ' has morphed to 'pompey got away with it'

I now await the smug crew return.

As I said to Phil yesterday it is vomit time form now on. As they go and push on for promotion with a damned good squad. the only thing may be that Stoke may get a decent bid for Lawrence and they dont go through with his transfer.

The FL showed no balls and again I said that the ex Leicester chairman who would be mates with MM at the top instead of Malwinney played into their hands as well.

 

And don't forget the increased parachute payments the year they went down. Injustices Mann and Tart not winding them up. The PL relaxing the embargo. Getting around the FL embargo. A weaker than usual Championship. HMRC screwing up in court. And, as you say, Malwinney gone just at the right time. They've really had an incredible charmed life as they've cheated and lied their way all through this. It's almost as though they've made a pact with the devil.

 

The one silver lining is that if they don't go up this season they are f*cked. Come on QPR, Cardiff and one other (Leicester would be amusing).

 

Cheating, lying bastards.

[Dark Munster]

But the current company is to be wound up - so question is can the new company still face consequences for the old redundant company considering that Storrie, Redknapp and Mandaric as yet would of had nothing to do with the newly formed company. I have no idea as I aint a legal bod lol !

 

Depends whether the new company supplies brown envelopes, sufficiently stuffed, to key people making that decision.

[Dark Munster]

So then, time to close this one down? Face it, it's over...

 

If BC keeps borrowing to keep you going, and you manage to go up at the end of the season, possibly. He's already made it clear to your manager that's where he stands.

 

If you don't go up, the thread will remain very much alive as we'll be dancing on Cheats FC's grave.

 

How does it feel to know that promotion this season is literally a life and death affair? I'd be quite nervous if I were you.

[Dark Munster]

As far as I can see they haven't (yet). They've exploited loopholes in FL rules to ensure they haven't broken them, even if what they are doing is financially suicidal. ie. sending youth players out on loan and replacing them with PL earners. They've been extremely clever in one sense to exploit these loopholes and AA has shown the footballing world how a club can run up an obscene amount of debt and have a period of big success whilst ripping off their creditors, and end up where they started with little punishment. He's achieved the ultimate for any financial conman by taking on the taxman and winning. I think AA is a genius personally and I think he's going to be in big demand from any football clubs heading for admin.

 

 

Let's not get too carried away. Idiot savant is perhaps a bit more accurate description, don't you think?

[dubai_phil]

Let's not get too carried away. Idiot savant is perhaps a bit more accurate description, don't you think?

 

Like

[slickmick]

Makes you wonder doesn't it. Almost as if they had more than karma on their side.

[St Chalet]

Karma? Is that another player they were hiding whilst pretending to have less than 20?

[Chin Strain]

Karma? Is that another player they were hiding whilst pretending to have less than 20?

 

Yeah, and he's on £20k a week.

[rallyboy]

I guess new ownership and the lifting of restrictions now opens the door to bring in new players on high wages.

I do hope they've learned their lessons and don't now go assembling a squad that they can't afford, just to try and gain an advantage on the pitch - that would be the road to ruin III.

 

Luckily for them they have all the parachute money to come which will give them stability for four years, and an owner who only wants the best for the club and is looking to invest heavily to give the fans what they deserve.

 

There certainly is a bright future ahead for the Stoke City reserves and Spurs feeder club, with a London postal address.

[JackFrost]

I guess new ownership and the lifting of restrictions now opens the door to bring in new players on high wages.

I do hope they've learned their lessons and don't now go assembling a squad that they can't afford, just to try and gain an advantage on the pitch - that would be the road to ruin III.

 

Luckily for them they have all the parachute money to come which will give them stability for four years, and an owner who only wants the best for the club and is looking to invest heavily to give the fans what they deserve.

 

There certainly is a bright future ahead for the Stoke City reserves and Spurs feeder club, with a London postal address.

 

LOL too late.

 

It's as if Peter Storrie never left the club

[OldNick]

Can someone explain why AA is still running the club now they are not in admin?

[OldNick]

Sadly you are already here nick.

Sorry if it comes out that way, because i promise you I don't feel smug. I have just felt that there were too many interested parties who desperately needed this to be pushed under the carpet and wished away.

There must be many people in world football whose dirty laundry could come to the surface for the truth to come out. IMO that is one of the reasons so much has been done to help them. Add to that the so called integrity of the PL being of utmost importance to them, has also helped their cause.

I don't believe the PL wouldn't welcome them back as they in theory have been cleansed.Lol

Time will tell whether coming out of the protection of Administration was a clever move. I do wonder that AA was getting a tad concerned that he was likely to become liable for any debts and so pushed Chanrai to do so. Who will lend them money now??? If they went back into admin would Chanrai lose his secured creditor status?

[stevegrant]

Nice to know they've already flunked the rules (again) by drawing £8m in advance of everyone else (therefore, gaining yet another advantage, if only for a season whilst everyone else scrimps and penny pinches) and that their creditors have been dished out a percenta... oh no, wait a minute. No, they spunked that on more players they couldn't afford.

I suspect the £8m he's talking about is broken down as follows:

£6.9m advanced to the club when they went into administration (documented in the administrator's 6-month progress report)

Plus another advance (or possibly a legitimate scheduled payment - not sure when parachute payments are actually paid)

 

The most intriguing thing there is that Duffen has come out and said all of this, considering he's likely to be bound by a non-disclosure agreement...

[Crab Lungs]

I suspect the £8m he's talking about is broken down as follows:

£6.9m advanced to the club when they went into administration (documented in the administrator's 6-month progress report)

Plus another advance (or possibly a legitimate scheduled payment - not sure when parachute payments are actually paid)

 

The most intriguing thing there is that Duffen has come out and said all of this, considering he's likely to be bound by a non-disclosure agreement...

 

Hmmm, aren't NDA's a real bugger to enforce though?

 

Would be interesting to know WHY he's said it and, whether or not it was a calculated comment.... or whether he was just being stupid and forgot that he shouldn't disclose such information...

[dubai_phil]

I suspect the £8m he's talking about is broken down as follows:

£6.9m advanced to the club when they went into administration (documented in the administrator's 6-month progress report)

Plus another advance (or possibly a legitimate scheduled payment - not sure when parachute payments are actually paid)

 

The most intriguing thing there is that Duffen has come out and said all of this, considering he's likely to be bound by a non-disclosure agreement...

 

I expect also that some of the money has also been used as security for "Factoring of player sales invoices".

 

In much the same way that we did "deals" with Spuds & Arsnil, when they had their (luke warm embers) sale of players, most the deals would have been partial payments up front and staged payments. A number of companies now offer to "discount" those invoices secured against TV or similar PL payments. Pretty sure that one of them cropped up as being mentioned in dispatches.

 

Again - robbing their future to pay for the present.

 

Chanrai also had secured loans in the club, those are from those Parachute payments - after all he REALLY doesn't want a stadium, so no, they won't be getting huge funds in and I would guess they are now trying to borrow cash against the parachute payments due in 3 or 4 years time......

[RedWillie]

+1

 

Saw a few red rags running the GSR yesterday, good matured banter as they ran through the Hard and Portsea, cries of Scummer were ringing out everywhere. Real heart warming stuff

 

yeah, one of them was me.....i stopped twice for a P*S. Didn't half improve the environment. I don't normally stop on runs (although i had to in the London marathon this year) but yesterday I couldn't resist it.....

Edited 25 October, 2010 by RedWillie

[pfc123]

And don't forget the increased parachute payments the year they went down. Injustices Mann and Tart not winding them up. The PL relaxing the embargo. Getting around the FL embargo. A weaker than usual Championship. HMRC screwing up in court. And, as you say, Malwinney gone just at the right time. They've really had an incredible charmed life as they've cheated and lied their way all through this. It's almost as though they've made a pact with the devil.

 

The one silver lining is that if they don't go up this season they are f*cked. Come on QPR, Cardiff and one other (Leicester would be amusing).

 

Cheating, lying bastards.

 

Ok, suit yourselves. Keep this one going if you like but you're only prolonging the agony for yourselves, because as I've said all along, we're going to be fine. And posts like the one above are now just brilliant.

 

So how do we feel right now after all the abuse heaped upon us in the last 18 months or so? How I feel comes in at precisely 1 minute and 30 seconds of this clip. You lot even get a mention at one point, so there's something for everyone to enjoy!

 

http://http://www.youtube.com/watch?v=hrY17cyWzVs

[rallyboy]

so Red Willie, did some bloke keep shouting 'Red Army!' at you?

I like to do it every year at the Great South for anyone in a Saints shirt reclaiming the streets of Portsmouth.

Rallygirl runs, Rallyboy supports.

I even had a chat with Storrie last year as he bumbled along at Eastney, even though he had only just steered them into insolvency I wanted to hug him, but it seemed undignified.

[JackFrost]

Ok, suit yourselves. Keep this one going if you like but you're only prolonging the agony for yourselves, because as I've said all along, we're going to be fine. And posts like the one above are now just brilliant.

 

So how do we feel right now after all the abuse heaped upon us in the last 18 months or so? How I feel comes in at precisely 1 minute and 30 seconds of this clip. You lot even get a mention at one point, so there's something for everyone to enjoy!

 

http://http://www.youtube.com/watch?v=hrY17cyWzVs

 

Hm we aren't the only ones

[Huffton]

Ex Hull chairman been on radio this morning talking about buying them out. Don't know much about him, is he minted?

[holepuncture]

so Red Willie, did some bloke keep shouting 'Red Army!' at you?

I like to do it every year at the Great South for anyone in a Saints shirt reclaiming the streets of Portsmouth.

Rallygirl runs, Rallyboy supports.

I even had a chat with Storrie last year as he bumbled along at Eastney, even though he had only just steered them into insolvency I wanted to hug him, but it seemed undignified.

 

I did this off the CancerReasearch UK bus by the pier, good to see some saints shirts, about the same number as skate shirts i saw!

 

Hats off to the Saints wheelchair going round.

 

Got off the train at Fratton yesterday, I smirked. That must be a huge liability for Chainrai and Levis to take on, I wonder how much it loses year on year? The maintenence must be huge, it reminds me of an old pier, decaying in the sea, anybody can buy it for a quid, but it will take bucket loads of money to get into any sort of respectable state.

 

Baluu and Kushty seem to think frattons worth 15 odd mil, which is a staggering over valuation really, seeing what Herr Liebherr got for the same dosh... he even got Jacksons farm thrown in before any body tells me nottarf has 'development potential value' or something. The only way fratton has potential is if it is bulldozed, lets face it.

 

Funny old skates, still in a sea of sharks with only one paddle.

 

They may have got themselves a vicious loan shark as an owner, and are celebrating... but watching nottarf from the train, in and out, was just funny...

 

They are still generations behind us!

[anothersaintinsouthsea]

Ex Hull chairman been on radio this morning talking about buying them out. Don't know much about him, is he minted?

 

Don't know, but if he was would he not still be the chairman of Hull?

[saintjay77]

Don't know, but if he was would he not still be the chairman of Hull?

 

Think the article saying he is insterested says he took over at hull and provided them with the funds to gain promotion in the 1st year. moved on soon after leaving them 9 mil in debt and heading back to the championship.

 

Sounds like a perfect match for pompey IMO

[bridge too far]

Don't know, but if he was would he not still be the chairman of Hull?

 

Oh he'd fit in well down the road

 

http://www.dailymail.co.uk/sport/football/article-1245129/Hull-high-jump-Former-chairman-Paul-Duffen-facing-court-action-way-ran-debt-hit-City.html

[spyinthesky]

A good contact of mine who reckons he is ITKk reckons that Pompey's current wage bill is based on the following weekly pay out:

 

Ashdown £4k

Flahavan £3k

Halford £16k

Dickinson £2k

Mokoena £15k

Hreidarsson £9k

Ward £3k

Sonko £6k

Rocha £12k

Martin £2k

Lawrence £18k

Mullins £14k

Brown £15k

Hughes £13k

Gregory £3k

Webber £8k

Nugent £20k

Utaka £38k

Kitson £20k

Ciftci £5k

Kanu £15k

Cotterill+Staff £32k

Youth £5k

Total £278k

Misc Wages

(Staff/Legals/

PR/Admin) say £22k

 

Total wages outlay £300k per week est £15m pa

 

Assume stadium/other income will cover cost of away travel/training ground hire/ground maintenance (if they do any!!) minimal CVA payments/borrowings and purchase of brown bags.

 

Revenue 15,000 av gate at say £20 net of Vat x 23 = £6.9m (theoretical loss of £8.1m per annum)

 

19,000 av gate = £8.74m (reduces annual theoretical loss to £6.24m)

 

So a fairly hefty shortfall which has to be covered by any Parachute Payments (if there are any left), any transfer income and/or the goodwill of the owners.

 

However despite this apparent financial black hole it is good to know that all is well down on Portsea Island

[Weston Super Saint]

A good contact of mine who reckons he is ITKk reckons that Pompey's current wage bill is based on the following weekly pay out:

 

Ashdown £4k

Flahavan £3k

Halford £16k

Dickinson £2k

Mokoena £15k

Hreidarsson £9k

Ward £3k

Sonko £6k

Rocha £12k

Martin £2k

Lawrence £18k

Mullins £14k

Brown £15k

Hughes £13k

Gregory £3k

Webber £8k

Nugent £20k

Utaka £38k

Kitson £20k

Ciftci £5k

Kanu £15k

Cotterill+Staff £32k

Youth £5k

Total £278k

Misc Wages

(Staff/Legals/

PR/Admin) say £22k

 

Total wages outlay £300k per week est £15m pa

 

Assume stadium/other income will cover cost of away travel/training ground hire/ground maintenance (if they do any!!) minimal CVA payments/borrowings and purchase of brown bags.

 

Revenue 15,000 av gate at say £20 net of Vat x 23 = £6.9m (theoretical loss of £8.1m per annum)

 

19,000 av gate = £8.74m (reduces annual theoretical loss to £6.24m)

 

So a fairly hefty shortfall which has to be covered by any Parachute Payments (if there are any left), any transfer income and/or the goodwill of the owners.

 

However despite this apparent financial black hole it is good to know that all is well down on Portsea Island

 

Hey well, £7m per annum is an acceptable loss - in Skate terms - so I imagine that will increase by about 50% in January