Breaking News Court Case Adjourned

[A Century United]

The problem is that we are insolvent. We have no assets of note, no future revenue streams beyond the Bailey transfer fee.

If this report is correct then the only thing that will save us is a cash amount sitting in a bank account to finance x months going forward or a legally binding obligation for Sainsbury's to meet our liabilities as they fall due.

Whilst the footballing side of the club is looking up there remains a huge disconnect with the financial side. I don't doubt that PS believes that the financial side has been resolved, and RM has alluded to financial security from 01 August. It would make sense if the 02 August date mentioned was to prove a claim in court of financial stability.

As usual we have no idea what is going on. RM has vanished, nobody knows the true extent of the club's problems and the future beyond next week is uncertain. If this does all work out there needs to be an acknowledgment from RM that he has behaved with astonishing arrogance and contempt for the supporters and that there needs to be a policy of transparency going forward. My suggestion would be for the Trust to write off their loan in return for a position on the board.

They were promised a seat on the board as a condition of the original loan (or at least it was announced at very nearly the same time).

 

[turkishm]

Have I got it right that the BBC & Guardian are saying that we have to prove we are a viable business, otherwise we'll be in administration on 2 ausgust. i.e prove that we will are able to pay our taxes/PAYE etc. on time, not be called up to court due to debts?

If that is the case then PFA & Shrimpers Trust & any other debts the club has will also need to be shown as paid/payable - wouldn't it?

Thats the way i read, and if that is so, then we havnt got a cat in hells chance of staying out of admin on August 2nd. Unless Sainsburys are going to ride to the rescue, how can Martin convince the Revenue we can stay out of dept.

 

[Swiss Tony]

I trust the BBC & The Guardian more than I do the Echo.

I'm a babes channel and Daily sport man myself.

 

[Smiffy]

The only thing I can think is Sainsbury's have agreed to hand over the rest of the money for RH (£13m or so?) on August 1st...

 

[Yorkshire Blue]

Wouldn't say I'm necessarily up to speed, I've only glanced at things on here but the second hand reports don't appear mutually exclusive.

The hearing has been adjourned presumably because HMRC moved the goalposts by including June's tax bill (and possibly asking for administration), so our lawyers need time to put together a defence. The cat and mouse game continues. We haven't paid off all our debts yet - whether we've paid off part or not doesn't really matter in the great scheme of things.

There's a better chance of things being resolved at the next hearing, but I wouldn't exactly be surprised if that was delayed as well.

 

[THE SEVENTIES NORTH BANK]

I heard the BBC Essex reporters talk from the court house.
In lay mans terms, HMRC have had enough, definitely of Southend, probably Ron Martin. Southend are incontrovertibly insolvent and persistent defaulters.
HMRC played hardball and tried very hard to get Southend put into administration.

Southend said they always settled their tax bill in the end and quoted the massive amount paid last time.
The current tax bill of £238,710 was settled, but HMRC said Southend defaulted on another VAT bill that was due yesterday.

HMRC said what is the point giving Southend another chance, they will just be back here again and again.


Southend basically said that they are in negotiations to secure more money from Sainsbury's over the Roots Hall plot, and then all debts will be settled.
They also said Southend are in a much better trading position now than in previous court appearances.

The judge asked for proof of the last two points above.
Southend did not have proof with them.

The Judge wants to see the proof before deciding whether to put Southend into administration on August 2nd.




On a sperate note, Southend mentioned the amount that was due 186K from the Nicky Bailey transfer, that they were not relying on for the court case today.

 

[Kent Shrimper]

And this was why i had my rant about fickle fans, because nothing at all has changed, Why get excited about new managers and players when Ron continues to treat us all like mugs. People have quoted what Ron has said, i think the time has come to stop believing what Ron says. To me it seems he is gambling with OUR football club by messing around with HMRC who are looking to prove we arent a viable business, they are looking to make an example of a football club and Ron keeps mugging them off, Add them to the list Staff, Players, Sponsors, Suppliers, Management Team, HMRC.

 

[A Century United]

The only thing I can think is Sainsbury's have agreed to hand over the rest of the money for RH (£13m or so?) on August 1st...

I would be astonished if they did that. So far they seem to have paid only the bare minimum to keep us afloat, and that has come direct from them - they clearly don't trust Ron with the spondoolies. I think, from all the sudden activity on the playing front, that Ron must have been promised a fund for next season, perhaps this 3 million he has mentioned, but even then I would expect it to be very firmly managed on his behalf.

 

[Boreham Shrimper]

I heard the BBC Essex reporters talk from the court house.
In lay mans terms, HMRC have had enough, definitely of Southend, probably Ron Martin. Southend are incontrovertibly insolvent and persistent defaulters.
HMRC played hardball and tried very hard to get Southend put into administration.

Southend said they always settled their tax bill in the end and quoted the massive amount paid last time.
The current tax bill of £238,710 was settled, but HMRC said Southend defaulted on another VAT bill that was due yesterday.


Southend basically said that they are in negotiations to secure more money from Sainsbury's over the Roots Hall plot, and then all debts will be settled.
They also said Southend are in a much better trading position now than in previous court appearances.

The judge asked for proof of the last two points above.
Southend did not have proof with them.
The Judge wants to see the proof before deciding whether to put Southend into administration on August ND.

That'll be because there is no proof then. Sounds as though we're winging it at the moment. To me, it seems as though the Roots Hall purchase and therefore construction at Fossetts Farm is absolutely crucial to us continuing to exist as a business on 2nd August.

 

[Jack The Flag]

Ron out, ron out, ron out!

 

[Neil_F]

Southend basically said that they are in negotiations to secure more money from Sainsbury's over the Roots Hall plot, and then all debts will be settled.
They also said Southend are in a much better trading position now than in previous court appearances.

The judge asked for proof of the last two points above.
Southend did not have proof with them.

The Judge wants to see the proof before deciding whether to put Southend into administration on August 2nd.




On a sperate note, Southend mentioned the amount that was due from the Nicky Bailey transfer, that they were not relying on for the court case today.

So we finally all reach the same page. The supporters, players, management, HMRC and other creditors want to know how SUFC will remain a going concern. Now RM has been ordered by a court to tell us.

No more places to hide so I truly hope everything is agreed

 

[Boreham Shrimper]

The house is falling down around us and where is Ron? In the Seychelles or somewhere equally luxurious living it up. Typical! :madman:

 

[Supershrimper]

Good that news that its been delayed. But is says on the BBC website were due £186k from the Bailey as part of the sell on clause, but Charltons offical website says that we're due £225,000, see below.

"Bailey, who hit 13 goals for the Addicks in 2009/10 but missed the crucial penalty which saw Charlton knocked out of the League One play-offs by Swindon Town at the semi-final stage, arrived at The Valley from Southend United for an initial £350,000 in August 2008.
A further £150,000 was paid to the Roots Hall club as part of a series of add-ons, while the Shrimpers are also due to receive £225,000 of his transfer to Boro due to a sell-on clause."

Quite interesting that we received £350k first off, then a further £150k and now we are going to get a further £225k. Thats £725k. How much did he cost us? Thats good business if ou ask me, however, i can't see the judge accepting the sell-on clause fee as proof that we're financially sound. More money must be coming from somewhere, i'm guessing Sainsburys are giving us money now, rather than pay it in dribs and drabs over the coming years. Upshot of this is that we could move on with the stadium (thats financed already i believe), Sainsburys get their new store and everyone is happy (hopefully)

 

[palexander]

I would be astonished if they did that. So far they seem to have paid only the bare minimum to keep us afloat, and that has come direct from them - they clearly don't trust Ron with the spondoolies. I think, from all the sudden activity on the playing front, that Ron must have been promised a fund for next season, perhaps this 3 million he has mentioned, but even then I would expect it to be very firmly managed on his behalf.

Dont think its that far fetched - things cannot continue as they are.

If Sainsburys want this sorted, then surely it makes sense to give us the £13m, allow us to clear debts and get people off our back and start to operate as a club 'normally' again.

The last 3 accounts show loses of between £1.5 and £2.5m is that right? So £13m after paying debts off allows us (if required) to run as a normal club for a few years.

During which time, we can bring players in and try to have success ON the pitch that would bring in revenue and sponsership, but more importantly get the project finished.

I dont think its beyond the realms of possibility myself.

 

[THE SEVENTIES NORTH BANK]

So we finally all reach the same page. The supporters, players, management, HMRC and other creditors want to know how SUFC will remain a going concern. Now RM has been ordered by a court to tell us.

No more places to hide so I truly hope everything is agreed

Well put Neil. We've been going on for ages about what the judge now wants in concrete evidence.
It'll be interesting to see the results.

You know like ,Ron Martin, what are you actually doing? And how will you sustain it? Show us the true figures.

Because nobody knows, he hardly tells us anything, and when he does, it doesn't seem to be the whole truth.

 

[Thorpe Groyney]

Giving £13m to a businessman who has demonstarted consistently down the years he doesn't pay bills, loans or debts of much less than even 1% of that amount, but instead has shown a capacity to exaggerate, lie and deflect blame when things go wrong, is not, I am sure, part of Sainsbury's strategy.

 

[Matt the Shrimp]

Dont think its that far fetched

Not wishing to be rude or owt, but Justin King will start shopping in Tesco before he simply hands our financially struggling club / chairman £13m! What planet are you on?!

Sainsbury would, I'm sure, rather see the club liquidated than hand over that kind of money.

 

[Beefy]

Giving £13m to a businessman who has demonstarted consistently down the years he doesn't pay bills, loans or debts of much less than even 1% of that amount, but instead has shown a capacity to exaggerate, lie and deflect blame when things go wrong, is not, I am sure, part of Sainsbury's strategy.

They wouldn't be giving Ron Martin anything though, would they? They'd be buying Roots Hall.

 

[Jam_Man]

I heard the BBC Essex reporters talk from the court house.
In lay mans terms, HMRC have had enough, definitely of Southend, probably Ron Martin. Southend are incontrovertibly insolvent and persistent defaulters.
HMRC played hardball and tried very hard to get Southend put into administration.

Southend said they always settled their tax bill in the end and quoted the massive amount paid last time.
The current tax bill of £238,710 was settled, but HMRC said Southend defaulted on another VAT bill that was due yesterday.


Southend basically said that they are in negotiations to secure more money from Sainsbury's over the Roots Hall plot, and then all debts will be settled.
They also said Southend are in a much better trading position now than in previous court appearances.

The judge asked for proof of the last two points above.
Southend did not have proof with them.

The Judge wants to see the proof before deciding whether to put Southend into administration on August 2nd.




On a sperate note, Southend mentioned the amount that was due from the Nicky Bailey transfer, that they were not relying on for the court case today.

Post of the thread, finally clarifies it.

So we paid the bill as RM said we would, but due to constant problems they still want to put us in administration.

So the issue is can he demonstrate we are a viable business....

 

[Mad Cyril]

I trust the BBC & The Guardian more than I do the Echo.

So do I.

Everytime I have been in court (for minor(ish) motoring offences) the BBC and Guardian have had the decency not to publish the details.

The Echo on the other hand.........

Court report/In the courts is not in the public interest - It's unwarranted character assassination.