Could Tilson be forced out?

[OldBlueLady]

Our largest creditors by a mile are the Directors, the Chairman and the Parent Company. Indeed, is there any reason why, with that being the case, we couldn't get a CVA within minutes of going into Administration if we wanted to do that? Ron Martin said today that we wanted to pay everything that we owe but if the Administrator starts threatening to get rid of players and staff then surely we could pull a fast one?

Beefy, I've been trying to get my head around this but thought I must be missing something. Surely it can't be THAT simple?

 

[BLUEBLOOD]

Beefy, I've been trying to get my head around this but thought I must be missing something. Surely it can't be THAT simple?

Lets ask Ken Bates !!!

 

[Beefy]

Yeah, it's what Bates did (and what many, many people on here were angry about at the time). Is it 75% of creditors need to agree to a CVA? If that's right then we'd need around £1.5m worth of creditors to stop us offering 10p in the pound, getting an instant CVA and coming straight out of Administration within minutes. We only owe HMRC £660k afterall and I don't think there's much in the way of external debt.

I don't think it's necessarily as easy as that and I don't think it's a route we'd go down either way, but I also don't think that we need to see Administration as being the start of a fire sale. Administrators are there to protect the interests of the Creditors and our main Creditors are the Board and the Associated Companies, whose interests are not served by us dismantling the youth team and selling our players for peanuts.

 

[bazzashrimper]

Thinking about the 10p in the pound then, was RM's statement whereby we want to pay all of the money perhaps some kind of hidden warning at the HMRC? ie we want to pay all the cash, but look at the breakdown of the debt, so you put us in admin and we will give you just £70k? Surely it can't be that simple?

 

[Beefy]

I think there's a hell of a lot going on behind the scenes. Don't forget how close to being Wound Up we were a few years before Ron Martin came in and did what he'd always intended on doing. He's no idiot, and whilst he's said again today that he's written off the rent and other debts at his end they all still show in the Club's books for a very good reason.

Today's message looked to me that it was directed at least as much at HMRC as it was to us.

 

[BLUEBLOOD]

I think there's a hell of a lot going on behind the scenes. Don't forget how close to being Wound Up we were a few years before Ron Martin came in and did what he'd always intended on doing. He's no idiot, and whilst he's said again today that he's written off the rent and other debts at his end they all still show in the Club's books for a very good reason.

Today's message looked to me that it was directed at least as much at HMRC as it was to us.

Sorry to question you directly in a thread Beefy, but i posed a question earlier that seemed to get lost in the mud slingling and maybe you could have a view on ...

Next Weds we go into Admin .. Admin man sheds the staff inc RM

what is there to stop him saying .. £5.5m rent £6.8m Delancy buyout = i want my money .. turning a potential £2m debt into a £14m one

He has publicly stated hes written these "debts" off but how legally binding are those statemments ??

Not sure if you have a professional angle on this, but you seem fairly knowlegable about such complex issues so be interesting to hear your take at least

 

[Beefy]

Sorry to question you directly in a thread Beefy, but i posed a question earlier that seemed to get lost in the mud slingling and maybe you could have a view on ...

Next Weds we go into Admin .. Admin man sheds the staff inc RM

what is there to stop him saying .. £5.5m rent £6.8m Delancy buyout = i want my money .. turning a potential £2m debt into a £14m one

He has publicly stated hes written these "debts" off but how legally binding are those statemments ??

Not sure if you have a professional angle on this, but you seem fairly knowlegable about such complex issues so be interesting to hear your take at least

Well I guess he could do that (at least with the £5.5m debt), but he could also have done it at any point over the past nine. I also guess it's pretty much what some people have always feared that he'd do at the end of the day.

The thing is that that sort of debt simply couldn't be serviced and in that position I don't see a way that we could survive. Personally I've got enough faith in him not to do that, not least because he'd basically be throwing away any chance he'd have to make the fortune on the developments at FF and Roots Hall which attracted him to the Club in the first place.

I have a passing familiarity with administrations and with struggling businesses in general from my work, but there are people on here who are far more knowledgeable on these things than I am.

 

[BLUEBLOOD]

Well I guess he could do that (at least with the £5.5m debt), but he could also have done it at any point over the past nine. I also guess it's pretty much what some people have always feared that he'd do at the end of the day.

The thing is that that sort of debt simply couldn't be serviced and in that position I don't see a way that we could survive. Personally I've got enough faith in him not to do that, not least because he'd basically be throwing away any chance he'd have to make the fortune on the developments at FF and Roots Hall which attracted him to the Club in the first place.

I have a passing familiarity with administrations and with struggling businesses in general from my work, but there are people on here who are far more knowledgeable on these things than I am.

Thats fair enough and i apologise again if i appeared to put you "on the spot" as it were

I too still trust the man to honour his word .. but i'm sure you can see my point of how an estimated (outside) debt of say £2m (which would be vaguely managable) could easily be transfered to one of £14m (totally un-servicable = death of SUFC)

 

[ibwiajwa]

Yeah, hasn't that poor man taken enough abuse?

(re Geoffrey King). Edited for accuracy:
Yeah, hasn't that poor man given enough abuse?

 

[SUFC Forever]

(re Geoffrey King). Edited for accuracy:
Yeah, hasn't that poor man given enough abuse?

Not nearly enough in my book.