George Gillett still paying £125,000 a month debt after Liverpool nightmare
Court documents in America have confirmed that former Liverpool FC co-owner George Gillett is still paying a massive £125,000-per-month in debt repayments following his ill-fated deal to buy into the Anfield club.
Gillett bought Liverpool with businessman Tom Hicks in February 2007 in a deal reported to be worth around £220m, but the duo walked away from the Premier League club with nothing after they lost control following their failure to meet payment deadlines with their creditors.
Royal Bank of Scotland forced through the sale of Liverpool to Fenway Sports Group in October 2010 after Gillett and Hicks were unable to finance the £280m debt they had with the bank, which they had secured against Liverpool FC.
Now Mill Financial are suing Gillett, after they lent the Colorado-based businessman £50m to invest in Liverpool, with their attempts to reclaim that cash ongoing since the started legal proceedings in November 2010.
The company made an unsuccessful bid to buy Liverpool when Gillett and Hicks were ousted from power and they are pursuing a legal case that is likely to see Liverpool chief executive Ian Ayre called to give evidence in a US courtroom.
With court proceedings continuing over the matter in America, it has now emerged that Gillett’s misery over his investment in Liverpool is continuing as he is paying Mill Financial £1.5m-per-year in interest payments.
It represents a crippling legacy from Gillett’s brief and turbulent spell in charge at Anfield, with legal cost in his battles to sue former Liverpool directors adding to his ongoing financial misery.
Gillett and Hicks came away with nothing from their disastrous spell in charge of Liverpool, with their attempts to sue the club’s officials for their losses ending in failure in January 2013.
The Liverpool Echo are reporting that Mill Financial are arguing that Liverpool’s was sold to Fenway Sports Group at devalued asking price, claiming that they were prepared to pay more to acquire the club and were blocked from doing so.
In a complex case that features multi-million dollar loans moving from numerous banks, Gillett and Hicks have emerged as the big losers in a legal fight over a football club that has long since moved on from the troubled reign overseen by two owners that left Liverpool with their popularity rating at a real low and their financial affairs in tatters.