Rangers future could be bright says administrator
Wednesday 15 February 2012
One of the administrators appointed by Rangers claims the process can clear the financial uncertainty that has dogged the club in recent years.
Paul Clark of Duff and Phelps, who was appointed joint administrator with David Whitehouse, promised to keep fans updated after holding a meeting with Rangers staff last night.
The firm revealed Rangers were forced into administration over an unpaid tax bill of £9million - accrued since Craig Whyte's takeover in May last year.
Her Majesty's Revenue and Customs forced the issue amid a legal battle in the Court of Session in Edinburgh, although Rangers won the right to appoint their preferred administrators.
The unpaid £9million comes on top of two historical tax disputes, the bigger of which could cost the club £75million, according to Whyte.
But Clark believes Rangers can emerge in better shape from the process.
He told Rangers TV: "We had a staff meeting here at Ibrox a short time ago and that was very well attended, I think we had the vast majority of the staff able to attend.
"We will be conducting regular meetings with the staff and, wherever we can, will keep giving messages to the fans who we know have an interest in the work that we are doing.
"I can't give any firm commitment but certainly over the next day or two we hope to get control of the finances of the club and to better understand what we need to do in the coming days and weeks.
"The club had been in such a period of uncertainty that the administration will actually relieve that uncertainty and start to build the future."
Whyte admitted the club had been running at a loss for some time, resulting in the "regrettable" outcome of administration, which has left Rangers 14 points behind SPL leaders Celtic.
In a statement on the club's official website, Whyte said: "Due to its cost structure, the club has been loss making for many months.
"This situation has resulted in increasing liabilities and the club has been in discussion with HMRC regarding these liabilities.
"These liabilities combined with the threat of the outcome of the first-tier tax tribunal left the club no option but to formally restructure its financial affairs."
An HMRC statement read: "We can't discuss specific cases for legal reasons but tax that has been deducted at source from the wages of players and support staff such as ground keepers and physios, must be paid over to HMRC.
"Any business that fails to meet that basic legal requirement puts the survival of the business at risk."
It scooped up an unprecedented 11 Academy Awards when it was first remade in 1959
Olympic diver has made his modelling debut for Adidas
Actors star in Woody Allen's 'Magic in the Moonlight'
Revellers will have to pay to see New Year's Eve fireworks in London
...and the perfect time to visit them
Man's attempt to avoid being impounded heavily criticised
Latest in Sport
Manchester United official team photo: Antonio Valencia and Anderson pull the funniest faces
Borussia Dortmund vs Arsenal: Five things we learnt, including Danny Welbeck must be more clinical and Hector Bellerin debut
Borussia Dortmund vs Arsenal player ratings: How did Ozil and Welbeck do in Germany?
Colombian women's cycling team kit that makes wearer appear naked is branded 'unacceptable' by UCI president
Liverpool 2 Ludogorets 1 player ratings
- 1 iPhone 6 review: bigger, thinner, faster, brighter - Apple proves you can make the best better
- 2 Sports Direct security guard allegedly banned Jewish schoolboys and told them: 'No Jews, no Jews'
- 3 Watch a man race the Circle line - and win
- 4 Pakistani passenger power forces two politicians off plane
- 5 Kanye West halts concert after two fans don't stand up - doesn't realise one is in wheelchair and the other disabled
Daniele Watts: Django Unchained actress detained by Los Angeles police after being mistaken for a prostitute
Scottish independence referendum: A nation divided against itself
The political class is doing what Hitler couldn’t – destroying Britain
Scottish independence: Nationalist leader Jim Sillars threatens pro-union companies with 'day of reckoning' after independence
Scottish independence: Yes campaign feels the heat as Alex Salmond's NHS claims come under furious attack
Portuguese academic says British are 'filthy, violent and drunk'