Johnston explains Sir David’s plan

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Former Rangers chairman, Alastair Johnston, made it clear on BBC Radio Scotland last night that putting the company into administration was never Sir David Murray’s plan.  There was, he said, an understanding that should the First Tier Tribunal (FTT) decide against Rangers, the new liability would be absorbed into the Murray International Holdings (MIH) group of companies, just as MIH absorbed £50m of Rangers debt in 2004.

Johnston explained that the potential Employee Benefit Trust (EBT) tax liability was only 3% of MIH bank debt and that the group, which owned the overwhelming majority of Rangers anyway, would not find its position materially changed by absorbing the debt directly.

MIH would continue to manage its portfolio of investments back to rude health and neither it, nor its bankers, would have blood on their hands for putting Rangers down.

All this changed when Our Hero arrived on the scene with his £1.  Johnston explained, as he had done in explicit detail before, that Lloyds Banking Group gave MIH and the independent board of directors at Rangers no choice but to accept the offer from Mr Whyte.

When the offer arrived last year Lloyds were already reaping a whirlwind of negative sentiment from being Rangers bankers and would view any exit from the situation as desirable.  The bank itself, now significantly owned by the taxpayer after a government bailout, was also under immense financial pressure with a fiduciary responsibility to reduce their exposure to bad debt.  They were hardly in a position to refuse £18m to clear existing debt with the removal of a potential £50m liability.

Once the offer materialised it was inevitably accepted.  The old board’s plan to successfully steer the club through the potential loss of the FTT intact was usurped.

Neither MIH, the independent board nor, it could be argued, Lloyds, had any choice.  Although while Mr Johnston insisted his hands were tied, he failed to see the bank’s decision makers were also between a rock and a hard place.

One final push (this week) for the Vanessa Riddle Appeal. We have a Celtic top signed by the first team squad available to auction on eBay. You can bid on the auction and help send Vanessa for the treatment she needs by clicking here. Thanks to Penfold for the donation and to Taggsybhoy for organising (yet again).

We don’t need no stinkin’ Rangers.

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478 Comments

  1. The Battered Bunnet on

    Things are moving very fast now, and it will take a wee while to place it all into proper context.

     

     

    One thing is for sure though: Everything is now in play. Everything.

  2. Oh Ghod, let us show the same level of mercy as was accorded us by the hun.

     

    Give us this day, our daily bread,

     

    And give not unto us temptation,

     

    mainly, let the hun die nice and slow,

     

    for all to see,

     

    and may the hun head be put on a pikestaff as a warning

     

    to other huns

     

    and may Saint Neil of Lennon be surrounded by silver

     

    whilst the hun world does weep.

     

    Amen.

  3. Rangers definitely to go into admin today. It’s just up to who controls said administrator now…

     

    Retweeted by BJMAC67

     

     

    tweet tweet a wee birdy told me that the rebels have won

  4. Token

     

    Met Ian McGarry on a number of occasions in the lounges at CP, very decent guy and as passionate as the rest of us HH

  5. Awe_Naw_No_Annoni_Oan_Anaw_Noo says:

     

     

    14 February, 2012 at 11:25

     

     

    My money is on the court appointing HMRC administrative choice

     

     

    What da ya think

     

    Yes indeed. HMRC are saying Hold on Mr Whyte. This is how it’s done, not your pals as administrators to act in YOUR interests. Let the Court appoint an INDEPENDENT administrator to act for all. Let justice be done and be seen to be done.

     

     

    This is the beginning of the end

  6. Over..and...Over loves jelly and ice cream from the House of Hector on

    A wee ditty from a great year

     

     

    Theme to Hector House ( 1967 )

  7. voguepunter says:

     

    14 February, 2012 at 12:56

     

    Hope staff at Celtic park have been advised to triple security.

     

    That mob are sore losers.

     

     

    Also P67, Phil Mac et al watch yerselfs as that mob like to lash out.

  8. Hoopeddreams,

     

     

    regardless, rather than argue/debate about Ian, lets just enjoy the farce that is Huns FC and the ongoing situation

     

     

    ;-)

     

     

    HAIL! HAIL!

     

    Token

  9. Dontbrattbakkinanger on

    Meanwhile, back in Barad- Dur, the gallant Sam Gamgee and Hector Baggins crawl closer and closer to the Cracks of Doom, where they will throw the Ring into the fires…

  10. Imatim and so is Neil Lennon on

    2010 Never Again

     

     

    The raid on Ibrox which resulted in their computers being seized and the information pertaining to EBT’s being discovered.

     

     

    The appointment of Reagan to the SFA and the previously unheard of vote for change from that hun infested institution.

     

     

    The exposure and summary execution of MIB’s Dougie Dougie and Brother Dallas.

     

     

    The emergence of internet sites dedicated to exposing and pursuing the truth about the huns shonky dealings.

     

     

    Etc, etc, etc

     

     

    There’s been a plan in place for some time now. Make no mistake.

     

     

    The unseen Fenian Hand has been quietly and effectively going about its business in the most deadliest of ways.

     

     

    Rangers FC – RIP

  11. There’s one thing I wonder about though, how did Craig Whyte think he could come into the goldfish bowl that is Glasgow, Celtic, Rangers and the media and remain invisible, not have his every move microscoped?

     

     

    Maybe that invisibility cloak he bought up the Barras doesn’t work, he should get his pound back…

  12. jesus h christ, guy on radio 5 live now; asked by reporteer “do you trust whyte?”

     

     

    “we have to wait and see, i still think he has the best interests of the club at heart”

     

     

    a group of fans so hopelessly dumb and toothless deserves everything it gets

     

     

    off for a job interview @ 2:30, defo going to pick up some jelly and ice cream afterwards, hopefully a double celebration!

  13. St Martin De Porres on

    all

     

     

    Can anyone give quick summary……

     

     

    what are the implications for forced admin against vol

  14. Rubbish, there is no need for any security. Bullies once exposed, aint worth worrying about. There will be no huns outside Greyskull, no protests, no nothing.

     

    If it were us, we’d already have been in that car-park, a long time back.

     

    Hail hail.

  15. The second after the FTT publishes its decision in favour of HMRC, a winding-up order will be delivered to Ibrox.

  16. obonfanti1888 13.00

     

     

    I think I’ll head down to Ibrox with a bag of magic beans and see if I can make my fortune.

  17. St Martin De Porres on

    guy in my office is incredible.

     

     

    After reading the latest development

     

     

    “Sumbody better di somethin”

     

     

    As water fills in from the portside still they havent a clue. Better go and take him by the hand and show him where the lifeboats are

     

     

    poor wee soul…bless

  18. According to a Five Live reporter Ibrox is very quiet just now. If I could dance I would suggest a flash mob. :-)

  19. I bet you that the huns won’t sell out the ground for the next OF match.

     

    Face us, you hun swine!

  20. Rogue Leader @ 12 52 —-

     

     

    Great —– note that came from Beeb 24 and not Shortbread.

     

     

    Whyte was always going to do the Administration thing [ he would have been able to pick some bones ] but having it done for him is the last thing he would have wanted. He had the space , he had the opportunity but time was always what he was gambling on.

  21. your in my heart on

    Hi guys will be renewing my season ticket next year read somewhere today that fergus mccann should be invited to unfurl the flag when we win the league think that would be a nice gesture would like to see it happen

  22. This country really is going to the dogs.

     

     

    I’ve just been in the town and there isn’t a pair of grave dancing shoes to be found anywhere.

  23. The Honest Mistake loves being first on

    Starry plough.

     

    I believe that he was promised the same kind of protection and influence that David Murray enjoyed for decades.

     

    I also believe that David Murray sold the club because the protection and influence he enjoyed for decades disappeared.

  24. The Blogger Formerly Known As GM

     

     

    I understand Aesenal settled their case out of court with HMRC (allegedly) getting all that was due.

     

     

    I did post an item yesterday how EPL & Championship clubs had largely managed to avoid liquidation (not administration) because HMRC was not a secured or ‘preferred’ creditor. [Football protects itself by making other clubs & players preferred creditors].

     

     

    Furthermore I am not aware of any club where the indebtedness to HMRC represented 75% or more of the total. In this case because HMRC are in this position they can stop offers such as 5p in the £ offers to the other creditors. Id be astounded if another club had a tax bill as the majority of its indebtedness.

     

     

    HMRC are used to getting nothing and it is pi##ing them off. The RFC sympathisers are suggesting HMRC getting 5p is better than nothing. But of course HMRC is playing a much bigger game and they are going out to scare the sh#t out of the football ‘establishment’.

     

     

    When they win football clubs will know that paying the taxman is the first and essential requirement.

  25. Well it has been a long wait but I think I will be able to open my Champayne very soon.

     

     

    I cant believe the guff Keevins & Speirs were talking last night. I dont know one Celtic fan who wants them to stay alive.

     

     

    HMRC putting them into admin today. 14pts clear tonight.

     

    Them maybe not being able to pay the police for the game on Saturday. Just brilliant :)

  26. Come on M’lud, put down that succulent lamb and get yer arse in court.

     

    Bang that gavel baby and squash the hun.

     

    We are waiting.