Gers woe over 'missing' £24m
Published 17/02/2012 | 05:00
Craig Whyte's methods of running Rangers have already set alarm bells ringing with the administrators brought in by the Ibrox owner to run the club, it emerged yesterday, WRITES RODDY FORSYTH.
Their anxieties were aroused by the fact that £24m of cash advanced against four years of Ibrox season-ticket sales was not paid to Rangers and also because £9m of PAYE and VAT monies deducted at source were used to fund the club's cash flow.
At a media conference at Ibrox, David Whitehouse, one of the two administrators from Duff and Phelps, was asked if it was common for companies to use money due to the UK government, and replied: "That's not common practice."
When Whitehouse was asked if he and his colleague Paul Clark were concerned about what they had found, he said: "Yes. All financing of the business will be subject to proper investigation. Our understanding is that the funds from Ticketus didn't come through the company's account. We believe the debt to Ticketus is £24m."
However, liquidation of the business is less likely because of the attitude of Revenue, who could yet be owed up to £50m -- but there will be redundancies, including those of players. (© Daily Telegraph, London)