Daggers Posted 17 May 2007 Author Posted 17 May 2007 It is believed Bates' proposal has the backing of three of the club's major creditors, Astor Investment Holdings Limited, Forward Sports Fund and Krato Trust, who are owed nearly £18million. One of which, I believe, is owned by a certain Mr K.Bates... Tax probe after Leeds go into administration and are relegatedMatt Scott Saturday May 5, 2007 The Guardian Leeds United and the offshore companies that own it will face an investigation by Revenue and Customs after the club filed for administration last night. The former Champions League semi-finalists have been relegated as the Championship's bottom club after incurring the mandatory 10-point Football League penalty triggered by administration. Statements from the chairman, Ken Bates, and administrators at KPMG explained that a £5m debt to the Revenue, which had to be settled before June 25, had tipped the club into receivership. "The financial burden of the past finally pushed the club into administration following the issuing of a winding-up petition by Revenue and Customs, who will be one of the company's major creditors," said Bates."The other parties who will suffer the biggest financial loss are institutions from which the board arranged funding, Astor Investment Holdings, Krato Trust and Forward Sports Fund who collectively will lose in excess of £22.0m." Article continues A newly incorporated company, Leeds United Football Club Limited - whose board will comprise Bates, the former chief executive, Shaun Harvey, and the director, Mark Taylor - has bought the business and its assets from the administrators. According to government sources the tax authorities will now be "assertive" in their negotiations. They will seek to uncover the identity of the individuals behind the Switzerland-registered Forward Sports Fund that controlled Leeds, who have thus far remained anonymous. Astor Investment Holdings, which is registered in the British Virgin Islands, secured its loans to Leeds last month through a debenture mortgage. That development is expected to make it a preferential creditor in administration. It is not currently known who is behind Astor and it is understood that the Revenue will also seek to shed light on this matter. Patrick Murrin, a long-term associate of Bates, is the only other party known to have had an interest in Forward Sports Fund. There will also be inquiries into the identity of Teak Trading Corporation, the British Virgin Islands company that has taken on the freeholds of Elland Road and Leeds' Thorp Arch training ground. The sports minister, Richard Caborn, is said to be keeping a "tight watching brief" over developments after being lobbied by fellow MPs. There is concern among fans as to why administration should be necessary: the expensive player contracts from Peter Ridsdale's stewardship have now all been paid off and income from transfers has been healthy. The sales of Rob Hulse, Ian Bennett and Matthew Kilgallon to Sheffield United generated more than £4m and there was £500,000 from Simon Walton's move to Charlton. Leeds are also believed to have received close to £1m from other transfers, and an out-of-court settlement with Chelsea over the youth-team players Michael Woods and Tom Taiwo was generally estimated at £5m. There was some transfer expenditure on the likes of Dave Livermore and Kevin Nicholls.
Master Fox Posted 19 May 2007 Posted 19 May 2007 League alters administration laws The Football League is to change its rules about clubs entering administration after Leeds and Boston exploited a loophole. The two clubs timed going into administration to avoid starting next season with a 10-point penalty. But the League plans to implement a cut-off date, so any club entering administration after that point would be penalised the following season. The League have yet to decide what date the cut-off will be. In 2003 the League brought in a rule where they would penalise a club 10 points for entering administration in order to deter clubs from getting heavily in debt and then seeking a quick-fix solution. But Leeds and Boston were all-but relegated when they chose to enter administration to sort out their financial problems, meaning the penalty would be largely ineffective. Their action drew criticism from rivals and has caused the League to act. League chairman Lord Mawhinney said: "The League board have made the right decision. "The original intention of 'Sporting Sanctions' was that clubs should suffer a penalty by going into administration, as a spur to better financial management. "None of our clubs have done anything wrong but we need to take steps to make these sanctions meaningful." Arseholes..!
Lineker's Left Foot Posted 20 May 2007 Posted 20 May 2007 He actually travels from one of the Southern branches (to every game, might I add)And he's crying because he loves his football club passionately. If only your limp-wristed support had people like him, eh? Yes, but whose laughing now !! Dennis Wise is a ****!!
Wycombe Fox Posted 21 May 2007 Posted 21 May 2007 http://news.bbc.co.uk/sport1/hi/football/t...ted/6676657.stm I wonder who the four were!
Daggers Posted 13 June 2007 Author Posted 13 June 2007 "That this house. . . is appalled that the owners of Leeds United, Forward Sports Fund, not only avoided the effects of points deduction by going into administration after relegation from the Championship was confirmed, but re-emerged from administration within 24 hours having abandoned £35m worth of debts." ...and Bates challenges the MP to repeat it outside the Houses of Parliament
Blue Bob Posted 3 July 2007 Posted 3 July 2007 Sky sports news has announced that the Inland Revenue are going to challenge Ken Bates buy back plan. Cant believe I am saying this but today I like the Inland Revenue!
Jon the Hat Posted 3 July 2007 Posted 3 July 2007 Sky sports news has announced that the Inland Revenue are going to challenge Ken Bates buy back plan.Cant believe I am saying this but today I like the Inland Revenue! Link BBC
Chairman of the Bored Posted 3 July 2007 Posted 3 July 2007 HM Revenue to challenge Leeds Utd Ken Bates is currently offering creditors 8p in the pound Ken Bates' proposed buyback of Leeds United is to be challenged by HM Revenue & Customs. The announcement comes a day after the news that the administrators at the football club had persuaded Mr Bates to raise his offer to creditors. A Leeds United spokesman said it did not yet have all the details but it was "confident of a positive outcome". Leeds went into administration on 4 May, before Mr Bates narrowly won backing to buy it back on 4 June. 'Business as usual' While Mr Bates, the club's chairman, was able to get the backing of creditors to buy back the club, it seems HM Revenue & Customs, which is owned £7.7m in unpaid taxes, was far from happy. Its challenge to the plan was made just before a 1600 BST deadline. "The club can confirm that the Inland Revenue have served notice of their intentions to challenge the CVA [Creditors' Voluntary Agreement]," said a Leeds United spokesman. "We do not have all the details as yet and do have a number of options available to us. "We remain confident of a positive outcome, despite this disappointing news, and will carry on with business as usual in the meantime." Monday's announcement that Leeds was increasing the amount of money it was offering creditors from 1p in the £1 to 8p has been seen by commentators as a failed move to try to persuade HM Revenue & Customs not to call in the lawyers. 'Liquidation risk' With its debts of £35m, Mr Bates has previously claimed that any legal challenge by HM Revenue & Customs could force the club into liquidation. Earlier on Tuesday, he told Yorkshire Radio: "If there is a legal challenge, it could take two or three months to get to court and be decided. "In the meantime, who is going to pay to run the club?" Leeds United's administrators at accountancy giant KPMG have insisted throughout that they have acted within the laws of insolvency. ............................... 3-0 to the Rev I reckon
Head Honcho Posted 3 July 2007 Posted 3 July 2007 Good! This whole deal stinks. They do say history repeats itself! http://en.wikipedia.org/wiki/Leeds_City_F.C. What next Leeds Wanderers
Daggers Posted 3 July 2007 Author Posted 3 July 2007 Now he's got to prove that he's a man of his word: Bates said he would wind the club up if the agreement wasn't accepted. I bet he's full of shit.
Simi Posted 3 July 2007 Posted 3 July 2007 Now he's got to prove that he's a man of his word: Bates said he would wind the club up if the agreement wasn't accepted.I bet he's full of shit. I really hope he is. lol
Chairman of the Bored Posted 3 July 2007 Posted 3 July 2007 They do say history repeats itself!http://en.wikipedia.org/wiki/Leeds_City_F.C. What next Leeds Wanderers Leeds Dis-united.
Manwell Pablo Posted 3 July 2007 Posted 3 July 2007 I take it that while this is all still going on Leeds can't sign any players?...hohoho.
Blue Bob Posted 3 July 2007 Posted 3 July 2007 I take it that while this is all still going on Leeds can't sign any players?...hohoho. This is really funny. I wonder if it can get any worse for wise and bates? Can they sell while this goes on?
Mort Posted 4 July 2007 Posted 4 July 2007 Can they sell while this goes on? Dont think so... both Healey and Nicholls have effectively agreed deals from what is being reported, but cant move till Leeds' position regarding Admin is sorted. So cant sell cant buy... cant even agree deals in principal with players (though i think they could bring players in on loan despite being in admin?).
Daggers Posted 4 July 2007 Author Posted 4 July 2007 (though i think they could bring players in on loan despite being in admin?). Yes, but that doesn't help them as they will not have the money for salaries...they don't have money for salaries of the players they currently have!
Recommended Posts
Archived
This topic is now archived and is closed to further replies.