Security problem

Everyone needs to feel secure in their life.

I get that.

Regular readers may recall that around this time last year Mr Graham Wallace and Mr Philip Nash attempted to raise finance in the City of London.

Although they were both serious men of good reputation in the Square Mile they failed to tempt any of the money people there.

Their efforts were thwarted, in the main, because of the Sevco 5088 contingent liability in the inaugural accounts of Rangers International football Club (RIFC)

That potential problem was also in the second set of accounts for RIFC.

I am aware that the current narrative being peddled by the stenographers is that the sticking point at the Bleak Big House is apropos the number of directors on offer.

Well I am afraid I have to demur on that one dear reader.

Sources close to the action told me today that an offer of the chairman and two other directorships was made to the Letham, Park and Taylor consortium.

Moreover this was on the boardroom table fairly quickly in the negotiations.

However they were also asking for something that was not in the gift of RIFC.

The loan of £6.5m was on the table IF it could be secured against Ibrox Stadium and Murray Park.

A senior RIFC director stated simply that “we can’t give them the security that they want” and there’s the rub.

The other issues for that consortium and the entirely unconnected David Cunningham King are that even if they were to act in concert (gasp) they do not have enough money for a take-over.

Ah yes, take overs…

I understand that the Take Over Panel is interested in this shambolic little enterprise so watch developments on that front.

I would not surprised if Mr David Cunningham King finds that his ‘statement o’clock’ posturing of last spring do come back to taunt him.

Of course the only show in town is Big Mike, but he is blocked by the Scottish Football Association.

At time of writing there is no money to meet Payroll for this month.

Mr Ashley has the facility to call in his £3m loan at any time-although it is due in April at the latest.

Then there is this pesky ‘off the books debt’ that so upset Mr Somers last week.

I understand that should these offshore chaps would be the largest unsecured creditors of RIFC if they called this debt in.

Subsequently they would not be too keen on Big Mike lending more money to the Company/club without it being secured to some asset.

Being the largest unsecured creditor is to be king of the hill during an insolvency event.

One aspect of this latest edition of this shambles that I thought interesting was the interest rate that the Letham, Park and Taylor consortium required.

Sources tell me that the cost of this loan would be just south of ten percent and over 12 months that would be £650k; a large sum and almost equivalent to the cost of keeping Mr Super in the garden for such a length of time.

Compare and contrast that exorbitant rate with the recent interest free unsecured loan from Alexander Easdale.

Real Rangers Men.


Got that.

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