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The "Tax Case" that just wont stay dead


gdevoy

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  • 3 weeks later...

Dodgy Dave (wealth not off the radar):

'Penniless' Rangers chairman Dave King 'knew the takeover rules' when he took control at Ibrox

Court is told Ibrox chief doesn't have ready cash for £11m share offer while it also hears that he was well aware about company law and the 30 per cent rule.

Rangers chairman Dave King shouldn't be treated as a "poor businessman" who didn't know he's legally required to fund an £11million share purchase, a court has heard.

Advocate James McNeill QC told judge Lord Bannatyne that the tycoon isn't an "innocent" who didn't know he had to offer other shareholders cash to buy remaining club shares.

 

The Court of Session heard today how King allegedly knew that legislation dictated that entrepreneurs who hold a 30 per cent stake in businesses are compelled to make a takeover offer.

Mr McNeill told the judge that a suggestion made by King's legal team that their client was unaware of the 2006 Companies Act was incorrect.

The lawyer said that there was evidence available to know that King was fully aware that he would have to make an offer to remaining shareholders.

He said that financial investigators had believed they had established that King acted "in concert" with three wealthy fans who are nicknamed the "Three Bears".

He said that King acted with George Latham, George Taylor and Douglas Park to acquire a 34 per cent stake in the club.

Mr McNeill said he disagreed with claims that the four men didn't act in concert in acquiring the stake.

He also disagreed with a claim made by the Ibrox chief's lawyers that 14.7 per cent of the 34 per cent share was held by a company which is independent of King.

The silk said that King refused to co-operate with investigators and that all available evidence showed the businessman was in control of the 34 per cent stake.

Mr McNeill added: "Mr King is not some poor businessman who does not know the workings of the Company Act.

"This is not someone who is a poor innocent. He didn't come before the panel and say 'I didn't realise'.

"He decided not to appear so he could not be cross examined."

Mr McNeill was speaking on the final day of a two day hearing at the Edinburgh-based court.

The Panel On Takeovers and Mergers, which regulates financial deals in the UK, says it has started proceedings after King ignored an order to make an offer for the remaining shares.

The panel want the court to force King to make a cash offer at 20 pence a share to remaining shareholders.

The court heard yesterday that on December 31, 2014, the "three bears" purchased 16.23 per cent of shares in Rangers.

Cash from King's family trust was then used to buy 14.7 per cent of the shares. These shares were placed in the name of a company called New Oasis Asset Management Limited.

King claims the firm, which is registered in the British Virgin Islands, is independent of him and he has no control over the shares.

Today, Mr McNeill told the court that financial investigators had obtained emails which showed that King and three bears co-operated with each other.

He said that the evidence showed King was well aware of the law.

Mr McNeill added: "Mr King has an understanding of the law. He has a detailed knowledge of the code."

The lawyer also addressed claims made by Mr King's legal team that their client didn't have the £11m of ready cash available to him in order to fund the share offer.

The court heard claims that King couldn't get cash because it was held in trusts that were held in his family's name. The businessman claimed that it was his family determined how the money was spent.

Mr McNeill said the money used to purchase the New Oasis Assessment Management Shares came from a trust "controlled" by King.

He added: "He is in de facto control of the fund. Mr King has used a trust structure which allows him to plead to having a lack of funds to avoid his obligations.

"There is clear evidence available to the court that when it suited Mr King the trust funds were available in order to buy the shares.

"The court should make an order in order to ensure compliance."

Earlier today, King's advocate Lord Davidson of Glen Clova QC told the court his client didn't have money and wasn't able to fund the buy back at 20 pence per share.

The lawyer told Lord Bannatyne that there was money in on shore and off shore trusts but they were in the name of Mr King's family and he didn't have control of them.

Lord Davidson said the court shouldn't pass the order required by the panel because the shares were currently worth 27 pence.

He added: "Mr King is penniless. Any order wouldn't secure compliance. It won't. It is pointless."

Lord Davidson also said that before making an order in favour of the panel, the court may have to hold a hearing into Mr King's finances.

He added: "My submission is that the court should refuse the order which is sought.

"My Lord should allow the proof of these issues - one way of going forward to is to have proof of quantum of funds.

"However, my Lord is not obliged regardless of consequence to give the order sought."

Lord Bannatyne will issue his ruling at a later date.

 

 

All his money is tied up in EBTs, sorry, offshore trusts.

 

 

 

 

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Barry rewriting history again:

Rangers legend Barry Ferguson slams SPL and SFA for not helping Ibrox club during 2008 UEFA Cup run

The former Light Blues skipper admits he was disappointed by his side's performance in the showcase Manchester final.

Barry Ferguson admits Rangers didn't do themselves justice in the 2008 UEFA Cup final, but insists they weren't helped by Scottish football's governing bodies.

The former Ibrox skipper still regrets his side's performance in the 2-0 defeat in Manchester to Zenit St Petersburg but believes Rangers would have performed better if they weren't forced to play so many games in a short spell.

Rangers played 68 games over the course of the season, with many coming in a short space of time around the UEFA Cup Final and he believes the SFA and SPL should have stepped in to help.

.

I don’t know if you remember but the SPL or SFA never helped us. Surely if a club gets to a European final then some help should be given.

"I think Zenit had something like a week or 10 days to prepare for that game. We never.

I just don’t think the league or whoever was involved helped us.

"We just didn’t feel right, in a cup final you should get the full week to prepare leading up to it.

"I’m not using it as an excuse before people start tweeting but i just don’t think it was fair cause no matter if it’s Rangers or Celtic you surely want your clubs to be successful in Europe for Scottish football's sake.

 

 

 

If I recall correctly Rangers were largely to blame for their own end of season fixture congestion. They postponed a game earlier in the season (v Gretna?) to assist their preparations against Lyon. A round of fixtures was also postponed because Scotland played some qualifying game. 

Rangers didn't play these games at the first possible opportunity as they should have, during free midweeks in December.

And the SFA/SPL were bending over backwards. They did extend the season, inconveniencing everyone else as it finished on the Thursday evening.

 

 

 

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