The Football News Thread 2019/20 - everything not Wolves

[Paddingtonwolf]

Bassini should just fuck off

 

[Banjo]

There’s a shock. Of course, if the administrators are trading while insolvent while waiting for the mythical unicorn they are in serious breach of the companies act and can be criminally liable.

Aren't all trading admins trading whilst insolvent?

 

[James]

Bassini should just fuck off

He’s like a spoilt child who hasnt got his own way so he’s making life difficult

 

[Paddingtonwolf]

Sort of. But that is pretty much the exact threat they put in their statement over the weekend so i assume the situation is rather more “no money to pay the bills at all” profound and they want to scare people into getting a deal done while covering their own arses.

 

[James]

That’s effectively what the statement said on monday and all of a sudden they can operate for 14 days

 

[Paddingtonwolf]

If the level of debt exceeds the value of all their assets that’s when they are trading when insolvent from a technical viewpoint

 

[James]

Dale now calling for the EFL to recind there decision

Is there an appeal period for Bury?

 

[Kenny]

No one knows!

 

[Banjo]

If the level of debt exceeds the value of all their assets that’s when they are trading when insolvent from a technical viewpoint

Hmm. That's not the definition under s214 IA86. The only action that could be brought against the administrators is for misfeasance and I can't see how holding out for a buyer in these circumstances would trigger anything like a misfeasance claim against them given the discretion they have under Re Longmeade.

 

[Paddingtonwolf]

Well in that case I can only imagine that their statement is saying that they have no cash and the wages are due then?

 

[Banjo]

Well in that case I can only imagine that their statement is saying that they have no cash and the wages are due then?

They're just saying what the financial position is - they can't afford to keep trading and if no buyer is found then they will have to convert to CVL. That doesn't mean they can't keep trading provided they think there is a chance of finding a new buyer - the latter would result in a far better return to creditors than going into CVL. I've no doubt that major creditors are being consulted on the consequences of continuing to trade. Liquidation would be devastating for any major trade creditors - you're going to lose a massive customer, whose successor club (in Tier whatever of non-league) is not going to be able to contract with you on anything like the same terms as the League 1 club does.

 

[Deutsch Wolf]

One of the things that annoys me in these cases is the astronomical fees that administrators charge when dealing with stricken clubs. You're dealing with cases where there have to be mass layoffs, you're working through backlogs of payments to employees, suppliers and contractors that have been totally ignored for months, the very future of the company is at stake...and that'll be £300 an hour, please, oh and we're first in the queue now.

Could be more now of course, I'm working there off what Portsmouth got charged in 2013 as it was the first article I could find.

 

[Sniffer]

One of the things that annoys me in these cases is the astronomical fees that administrators charge when dealing with stricken clubs. You're dealing with cases where there have to be mass layoffs, you're working through backlogs of payments to employees, suppliers and contractors that have been totally ignored for months, the very future of the company is at stake...and that'll be £300 an hour, please, oh and we're first in the queue now.

Could be more now of course, I'm working there off what Portsmouth got charged in 2013 as it was the first article I could find.

Most of them sit with their feet on the table whilst a couple of oppo's do all of the work.

 

[James]

Administrators: “let’s help get this club sold and the struggling staff... but make sure you pay us first please”

 

[Banjo]

One of the things that annoys me in these cases is the astronomical fees that administrators charge when dealing with stricken clubs. You're dealing with cases where there have to be mass layoffs, you're working through backlogs of payments to employees, suppliers and contractors that have been totally ignored for months, the very future of the company is at stake...and that'll be £300 an hour, please, oh and we're first in the queue now.

Could be more now of course, I'm working there off what Portsmouth got charged in 2013 as it was the first article I could find.

Yeah it'll be more than that - as will their lawyers' fees (ahem) - and the whole lot gets paid as an expense of the administration i.e. off the top slice (although ongoing expenses during the trading administration will come first i.e. anyone employed after the administrators are appointed, rent for any premises used following administration etc).

 

[Sniffer]

Yeah it'll be more than that - as will their lawyers' fees (ahem) - and the whole lot gets paid as an expense of the administration i.e. off the top slice (although ongoing expenses during the trading administration will come first i.e. anyone employed after the administrators are appointed, rent for any premises used following administration etc).

Yeah the fucking bacon/sausage sandwich run every other day to keep the staff on side. Best interests of the creditors my arse.

 

[Sniffer]

...

 

[Banjo]

If it's any consolation, adminstrations are far less of a racket than the pre-2003 regime of receivers. When receivers were appointed, their sole duties were to the bank that appointed them. So they'd bill a shit load of fees and always be able to sort the bank out. Under administrations, they look after themselves (naturally) followed by all creditors, not just the floating charge holder(s).

 

[Banjo]

The point is that if the board ran the club properly, administrators wouldn't get appointed. The creditors have been screwed over by the board first and foremost.

 

[James]

Tbf the receivers that came into Blackpool created jobs and did there best for the club