Gratuitous Alienation, prove you paid adequate consideration, Paul McConville, Here we go again

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News that Rangers’ liquidators BDO have raised an action against the club’s administrators, Duff & Phelps, transported me back to an item we discussed in 2012.
By 31 October 2012 Newco was enjoying life under Charles Green, then heralded like some latter day Osmond brother, but all of us on CQN were more sceptical at the time.  This is from the blog that day, titled Gratuitous Alienation rears its head again:

 

“I see Charles Green dismissed out of hand the suggestion that his new company’s property assets were worth in the region of £8.5m, as suggested in a recent blog [he may be referring to Celtic Quick News, but we made no comment on what the assets were actually worth], although he refrained from disputing heads of terms exist for the sale and leaseback of Ibrox, Murray Park and the Albion Car Park [which CQN reported].
Green told Talk Sport, “The blog I’ve seen said that we’re going to enter into a sale and leaseback for £8.5m, you can shove the offer where the sun don’t shine. We’ve got a valuation in the share prospectus in excess of £80m.”
Mr Green is clearly an experienced negotiator.

I am grateful to Paul McConville, who yesterday employed our favourite legal term, Gratuitous Alienation.  It was June this year when Celtic Quick News suggested:

“Gratuitous Alienation [will]enter the lexicon soon.  Gratuitous Alienation is the Scots legal term describing when property (or cash) is transferred to another party without any, or adequate, consideration.”
Paul reminds us that “Mr Green bought all the assets, including the right to over £3 million in cash due to the former Rangers, at a cost of £5.5 million. Now he says that the fixed assets are worth in excess of £80 million, and that a sale and leaseback at a price of £8.5 million is nonsense.

“If BDO challenges the transaction as a gratuitous alienation, then it is for the purchaser to establish that “adequate consideration” was paid for the assets. That is NOT the same as saying it was the best offer anyone made.
“If BDO do raise a court action, I struggle to see how Mr Green can state that he has paid “adequate consideration” for the assets. Maybe someone could ask him”.
I am absolutely sure Mr Green will be able to demonstrate that he paid adequate consideration for the assets.  He is a resourceful and experienced businessman.  If anyone is going to find newly established oil under the Ibrox pitch, he will.
I am also sure that BDO are far too busy to worry about such questions and that the interests of creditors are best served by forgetting about this whole business.  Haven’t these poor creditors been through enough?”

 

It’s worth reminding everyone that Charles Green acquired the assets in question (Ibrox, Albion, Murray Park, trademarks and other IP) on behalf of Newco Rangers (called Sevco Scotland Ltd at the time of acquisition).  The BDO case against Duff & Phelps is the next front in this story.  If successful, it will not be the last.

How we miss Paul McConville’s analysis.  After all this time I didn’t think this was going to happen.  It’s been years since I’ve touched this stuff, I’d moved on.

‘Here we go again……….’

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  1. What is the Stars on

    Timreaper

     

     

    Might see you when I am over for Huns game but if not I will get in contact with you before May.

     

    Citywest is a bit outside the city,handy for your golf courses but not for getting into city centre for pints etc and there is nothing like a good pub crawl in Dublin in the summer.

     

    However we have taxis….

     

    Obviously its before Lisbon when you get here

  2. HAMILTONTIM on 8TH FEBRUARY 2017 10:40 PM

     

    BIG PEAT OF ISLAY✝ on 8TH FEBRUARY 2017 10:45 PM

     

    DROP IT – BOTH OF YOU!

     

    Both these posts have been deleted – the subject matter was dealt with earlier today. I don’t wish to spend the rest of the evening having to read and delete petty to and fro posting. Paul67 issued a red card – end of!

  3. TeT

     

     

    Didn’t know you were a keen golfer. We have played CityWest before, i thought it was a decent course and a good test. We only have time for two rounds so i don’t think we’ll manage Curragh this time but i’ll keep in mind for next time. Thanks again.

  4. macjay1 for Neil Lennon on

    DRAMBOWIECELT on 8TH FEBRUARY 2017 10:55 PM

     

    @MACJAY…It won’t happen?…March the 4th,,,watch it happen….

     

     

    ==========================================================

     

     

    Perhaps wishful thinking on my part.

     

     

    Could the authorities really be so stupid ?

  5. WITS

     

     

    3-6 May, 3 nights. We’ll go downtown at least two nights. Will def see you if you’re over for the Huns game.

  6. at the risk of being accused of something or other, I found it illuminating that the death of Alan Simpson got less than a minute on BBC News while Tara Palmer Tomkinson’s passing had interviews and newsreel footage etc. No disrespect to the poor girl but it is indicative of a celebrity-obsessed world….people famous for being famous. Condolences to both families though.

  7. macjay1 for Neil Lennon on

    ABURNTOUTCASE on 8TH FEBRUARY 2017 11:00 PM

     

     

    Macjay & Big Peat. Mission accomplished, eh? Shame on the both of you. Shame.

     

     

    =============================================

     

     

    A spiteful and totally unwarranted accusation.

  8. TTR

     

    Keen but crap, not having a course close by these days renders me crap nowadays, wasn’t always that way, afore I left Co. Dublin to come here I prob played about five days a week, being over 50 we could get to play in comps any day of the week all over, and we used it, golf anywhere for less than 10 euros a time, the K club was about 15 mins from my house, once a month we played there for 8 euros, canny beat it.

     

    HH

  9. TTR

     

    If you are a golfer in Ireland today and are over 50, the deal is still there, they have comps every week day of the week all over Ireland, I was just blessed that I lived in an area that had quality courses, it’s the only thing I miss about living here, and the Guinness obviously :-)

     

    HH

  10. The Green Man says SACK THE Board on

    WITS

     

     

    Good post….Thats the way i saw it.

     

    MacJay is no troll.

     

    I believe he is a secret communist though:)

     

     

    HH

  11. What is the Stars on

    Exiled

     

     

    My dad is 78,still in great health thank god and plays golf at least twice a week,him and his buddies get some amazing deals at golf courses all over the country.

     

    They start off looking to play a course (playing the old we are all poor pensioners card) then ask about an overnight stay,evening meal maybe ? what if we were to bring our wives ? Ah no thats too dear…sure we were offered course X for half that….

     

    Worse than Dick Turpin he his

  12. WITS

     

     

    Dirk Turpin had a handicap of 4 so for your dad to be worse than him is certainly no disgrace given his age and Turpin was playing in his prime (well, he never got past his prime, did he?) I wonder what happened to Black Bess.

  13. Almore

     

     

    Ruari can have my season card for the game wi the tribute act. My pressy for his birthday.

     

    HH

  14. Late night catch up…

     

    Without getting into a debate about modern coaching versus individual talent , there is always a requirement for workrate in the modern game.

     

    Whether having the skills of a Murdoch , Le Tissier ( a couple of those mentioned) automatically guarantees a place in any team misses the point.

     

    Every good or great team in the modern era requires workrate , and plenty of it.

     

    Every top team ,and I hope to include this Celtic team in that description , works their arse off. Is Messi lazy or a team player ? Ultra talented with a team ethic.

     

     

    TET.

     

    Never played at the K club but loved “Royal ” Dublin. Even though I played it in howling weather.

     

    As for the veterans march in Derry …..wtf.

  15. macjay1 for Neil Lennon on

    Lads.

     

     

    I first met Kit MANY years ago .

     

    His moniker on CQN made me wonder if Kitalba was the same guy.

     

    Turned out he was.

     

    Amazingly , back in touch after so many years .

     

    We met up in Brisbane when Tony Mowbray`s Celtic were there and in Sydney with Lenny`s team.

     

    Like many , I`m sorry about what has happened . Particularly under the circumstances.

     

     

    Haste ye back , Kit.

  16. TGM

     

     

    MacJay is a Sao Paolo Whiteinch former pupil like myself.

     

    I blame the Jesuits! :)

     

    HH

  17. macjay1 for Neil Lennon on

    WHAT IS THE STARS on 8TH FEBRUARY 2017 11:13 PM

     

    THE GREEN MAN SAYS SACK THE BOARD on 8TH FEBRUARY 2017 11:17 PM

     

     

    Cheers , lads.

  18. Anyways….

     

     

    Whats the odds of Leicester staying up and winning the League Cup.

     

     

    Not as unlikely as one might think. I’m no a gambling man so wouldn’t know how to get the odds online.

  19. Delaneys,

     

    dont knof if you noticed,but your new favourite band,

     

    Catfish and the Bottlemen are playing the TRNSMT festival on Glasgow Green on 8th July

  20. WITS

     

     

    Widnae bother me if I missed a Hamilton game at home. The Sevco are on that level. A braw Dubliner will enjoy the match on his birthday mair than I would.

     

    HH

  21. macjay1 for Neil Lennon on

    DELANEYS DUNKY on 8TH FEBRUARY 2017 11:33 PM

     

    TGM

     

     

     

    MacJay is a Sao Paolo Whiteinch former pupil like myself.

     

     

    I blame the Jesuits! :)

     

     

    HH

     

    ———————————————————————————————

     

     

    Mate.

     

    As pupils we had a wee chant as the priest entered the classroom.

     

     

    ” The Jesuits started the Inquisition

     

    The Jesuits started the Inquisition. ”

     

     

    I remember the poor wee red faced pukkah priest responding ;

     

    ” NO WE DIDN`T ”

     

    The best he could do.

     

     

    We were rebels too.

     

    :-)

  22. Margaret McGill on

    Aye Macjay is a Tim no doubt. He has come to my defence many a time on CQN. I think Ive had 4 yellows but dont tell the murderators. Its a graham Poll kinda thing..ssshhhhhhh

  23. The Green Man says SACK THE Board on

    DD

     

     

    Hows it going bud

     

    Im on a late one again

     

    Just back from a mind numbing session at GCU, with people who want to ‘get into’ politics.

     

    I will never whip them into shape at this rate:)

     

    Wee Somalian dude said to me….’What the Feck they talk about’

     

    Says i, ‘Feck knows’:)

     

     

    HH

  24. BIG PEAT OF ISLAY✝ on 8TH FEBRUARY 2017 11:35 PM

     

    Anyways….

     

     

     

    Whats the odds of Leicester staying up and winning the League Cup.

     

     

    ——-

     

    Considering they are out of the League Cup, pretty long. As for the FA Cup, no chance, they will play a weakened team next round.

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