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Totally expected. New board are just paving way for admin.
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Totally expected. New board are just paving way for admin.
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| Or alternatively, "they would say that, wouldn't they?"
Expect more "it is understood that..." comment to pave the way, as Mat says.
I think you all know what I expect the outcome of this review to be, and that I suspect it was pre-ordained. But I live in hope that I am wrong.
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| We need to wait till the review is over before we all start cutting into veins, however, if this report in the T&A has any substance it is worrying news indeed.
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| So our ÂŁ500k been taken under false pretences then? So not only, no investment lined up, also far deeper in the sh11te then previously told.
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| Apart from the fact that administration has been inevitable for a minimum of 3 years.
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| Quote ="Adeybull"Or alternatively, "they would say that, wouldn't they?'"
I would go further and say "They have to say that" I would have been shocked if they hadn't.
There is no way the new people would have said - "Actually we are in better shape than thought" as that would imply the previous board were dealing with the problem and would cast doubt on the [imoral[/i legitimacy of the new guys.
This way they imply that the old board were worse than the public know and they therefore have legal & moral authority to make the decision which we all expect and can blame it on the old board.
The only odd thing is the new guys are currently getting their info from Ryan. Their previous info was either through the media (which is suspect at the best of times) or [ifrom Ryan[/i.
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| If our problems all lie in cash flow then how will administration help?
Or are they trying to claim that Hood has failed to disclose additional creditors, in which case the last set of financial statements would be deliberately mis-stated wouldn't they?
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| Quote ="M@islebugs"Apart from the fact that administration has been inevitable for a minimum of 3 years.'"
Maybe true. And doing it now when we could potentially make up the 6pt deduction and still make playoffs is maybe a better option than going into next yr with a pts deduction. There are good arguments in favor of admin in terms of sorting shares longterm.
But it seems obvious, while new board are making right noises about avoiding admin, it's in their interests to go into admin. The review IMO is mainly a PR exercise with a pre-determined outcome and as part of it they will put as much blame on previous board as possible. Don't blame new board on a sense as it's best to start with as clean a slate as possible.
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| Anyone else want to go knock on Hoods door and ask for their money back?
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| Quote ="Bradford Badger"Anyone else want to go knock on Hoods door and ask for their money back?'"
Anyone daft enough to give him money deserves to lose it.
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| Quote ="debaser"So our ÂŁ500k been taken under false pretences then? So not only, no investment lined up, also far deeper in the sh11te then previously told.'"
You will never know if it was, because the previous board are no longer in situ, are no longer in a position to demonstrate whether or notthey told the fans the truth, and were never going to be able to do so once Caisley intervened to effectively stymie any inward investment - by making public the the shareholder disagreement the day before the pledge closed.
If the current board DOES "conclude" that administration is the "only option", you will never know what the true financial position was. Because all you will ever see or see quoted from - if you are lucky - will be the Statement of Affairs. Whcih is drawn up on a Realisation as opposed to a Going Concern basis. Which means it shows loads of liabilities that crystalise only on insolvency, and assets written down to their realisable amount. And therefore shows a far far worse financial position than a set of accounts does. Because it is not showing the same information.
And yet, just you watch. If it IS administration, I bet you will see people quoting numbers from the SOA to "prove" how bad the financial situation was. WHich will be total and utter bollox, and if they do I will shout it from the rooftoops. Since an SOA shows the position AFTER a business has been declared formally insolvent, so it is BOUND to look far worse. I sincerely hope, if administration DOES come to pass, that the new board, or Caisley, or anyone else involved in the process, tries to take the fans for fools with disingenuous statements. If they try, I'll be watching.
Incidentally, I felt sure, from talking to all of them, that the previous board were aware of their responsibilities regarding Trading whilst Insolvent - and the personal liability that such action can bring. And therefore I concluded that they would surely not call the pledge in unless they had realistic expectations that the business would not be insolvent afterwards, since for them to do otherwise would be reckless in the extreme, and perhaps render them exposed to actions against them personally. That is why I made my pledge straight after that discussion. But Caisley's intervention seems to have ensured that we will never now know the truth of it -since the previous board could use the (probably almost almost irrefutable) defence that they genuinely believed the pledge would secure further investment, but the intervention understandably frightened the prospective investors off.
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| Quote ="mystic eddie"Anyone daft enough to give him money deserves to lose it.'"
Lets see you say that to the faces of the large number of people who did, rather than sat behind the safety of your keyboard? You really are one thoroughly objectionable piece of work.
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| Quote ="Adeybull"Lets see you say that to the faces of the large number of people who did, rather than sat behind the safety of your keyboard? You really are one thoroughly objectionable piece of work.'"
Adey, think you just gave him the answer he wanted....
The board needs people like ME to make it interesting, but comments like the one he posted there just show what sort of person he is.
People gave money to save the club, now for whatever reason we seem to be heading towards administration, even though as FA has posted several times there seems little reason for us to do so, given that we have just forked out ÂŁ500k to all and sundry to pay off existing debts leaving only the current bills to find the cash to pay.
We still seem to be acting on hearsay, but if the CC review does provide details of further financial black holes from the Hood era, then I think we would all be interested in understanding why these were not seen as a problem by Hood and what the CC review plans to do.
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| Quote ="Adeybull"You will never know if it was, because the previous board are no longer in situ, are no longer in a position to demonstrate whether or notthey told the fans the truth, and were never going to be able to do so once Caisley intervened to effectively stymie any inward investment - by making public the the shareholder disagreement the day before the pledge closed.
If the current board DOES "conclude" that administration is the "only option", you will never know what the true financial position was. Because all you will ever see or see quoted from - if you are lucky - will be the Statement of Affairs. Whcih is drawn up on a Realisation as opposed to a Going Concern basis. Which means it shows loads of liabilities that crystalise only on insolvency, and assets written down to their realisable amount. And therefore shows a far far worse financial position than a set of accounts does. Because it is not showing the same information.
And yet, just you watch. If it IS administration, I bet you will see people quoting numbers from the SOA to "prove" how bad the financial situation was. WHich will be total and utter bollox, and if they do I will shout it from the rooftoops. Since an SOA shows the position AFTER a business has been declared formally insolvent, so it is BOUND to look far worse. I sincerely hope, if administration DOES come to pass, that the new board, or Caisley, or anyone else involved in the process, tries to take the fans for fools with disingenuous statements. If they try, I'll be watching.
Incidentally, I felt sure, from talking to all of them, that the previous board were aware of their responsibilities regarding Trading whilst Insolvent - and the personal liability that such action can bring. And therefore I concluded that they would surely not call the pledge in unless they had realistic expectations that the business would not be insolvent afterwards, since for them to do otherwise would be reckless in the extreme, and perhaps render them exposed to actions against them personally. That is why I made my pledge straight after that discussion. But Caisley's intervention seems to have ensured that we will never now know the truth of it -since the previous board could use the (probably almost almost irrefutable) defence that they genuinely believed the pledge would secure further investment, but the intervention understandably frightened the prospective investors off.'"
Agree on the SOA and am I right in thinking they can project contracts they are obliged to honour as liabilities going forward. I also agree with the poster who refers to the role of Ryan Duckett in all of this. Surely, he can't be surprised by the financial position having been CEO.
On the last point, with the best will in the world I really can't see how you can make a case for the liklihood of PH almost securing investment only to be hijacked by the comments of CC. The loan from the RFL and the sale of the lease look like utterly desperate measures and the very fact that he was forced into a humiliating statement as regards the club almost going under surely underlines his inability to secure any serious support over the previous period. Asking for investment in the same statement you announce the club is a few weeks from having a chain put on the gate says the game was long up.
On the other hand if you, I or anyone else who owned 26% of a business and heard the Chair and CEO announce what they did, then I think you would have to act. I don't see what else could have happened.
FWIW I'm surer than ever that Hood should have taken the club into admin before the settlement of the Harris deal siting the alleged ÂŁ3.2million liability.
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| Quote ="Adeybull"Lets see you say that to the faces of the large number of people who did, rather than sat behind the safety of your keyboard? You really are one thoroughly objectionable piece of work.'"
I said that anyone daft enough to give HIM money, not, as I thought the pledge was for, the CLUB money.
One should learn to read.
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| Quote ="mystic eddie"Anyone daft enough to give him money deserves to lose it.'"
So, that's practically the whole of the core Bulls support, and many people from outside the club, including Steve O'Connor. Nice one.
Quote ="mystic eddie"I said that anyone daft enough to give HIM money, not, as I thought the pledge was for, the CLUB money.'"
Or, the direct quote you replied to was this:
Quote Bradford Badger wrote:Anyone else want to go knock on Hoods door and ask for their money back?'"
BB was obviously talking about, and only about, people who pledged and paid. Therefore, so were you, unless despite quoting that comment, you weren't talking about pledgers, but about hypothetical persons who for unspecified reasons might give money to Hood.
In fact, we got what it said on the tin. We stopped the club from closing the doors. If we had not been "daft enough" to do so, then the club wouldn't even be here for you to pen your poisonous comments about.
And as Adey says, no-one will now ever know what would have happened without CC's last minute intervention and call for EGM.
Quote ="M@islebugs"On the other hand if you, I or anyone else who owned 26% of a business and heard the Chair and CEO announce what they did, then I think you would have to act. I don't see what else could have happened.'"
Act, yes. The issue is, act in what way. One option would have been for all to temporarily bury their grievances and differences, and get around a table to solve the crisis. So far as we have been told, that did not happen, indeed it seems the two camps simply refuse to meet. If I had been CC, that's what I'd have been looking to do. And that's also looking further back than just recent weeks; Coulby suggested there'd been no dialogue for at least 2 years.
Quote ="M@islebugs"FWIW I'm surer than ever that Hood should have taken the club into admin before the settlement of the Harris deal siting the alleged ÂŁ3.2million liability.'"
I'd sadly agree with that. When I heard indications of our total capitulation and the breathtaking numbers involved, it was obvious to me and still is that these numbers were too much for us to cope with. And the weird statement that the payments were "covered by the Sky money" is sheer bravado, but bollox. Like being fined ÂŁ25K, but saying to the wife, "Don't worry love, it's covered by my wage".
It would surely have been better to fight on, and I remain of the same view that we had a decent chance. The arguments ranged at my view at the time was that we [ihad[/i to settle, because if we lost, it would bankrupt the club, and that was a gamble we couldn't take.
Can anyone now see the flaw in that logic, albeit with hindsight? Now we may have the worst of all worlds. We may go down the tubes, yet Leeds have all our money.
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| I haven't been following this in much detail, but tell me if this is a fair reading of the latest information:
The financial situation is "worse than first thought", according to the group who had long-term full access to previous accounts and plenty of opportunity for due diligence, and motive to hijack the second part of the "pledge", stage a boardroom coup, take the club into administration, and come out of it with free ownership of a debt-free new entity without even having to reach into their own pockets to pay the biils and wages of the lead-up period, because even that had been covered by the fans.
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| Quote ="Adeybull"
I sincerely hope, if administration DOES come to pass, that the new board, or Caisley, or anyone else involved in the process, [utries to take the fans for fools [/uwith disingenuous statements.'"
The previous board seem to have done that ok though. They had us all convinced that once we had raised ÂŁ500k, they had sorted the rest. You even believed it, did you not?
Lies, lies, lies and more lies.
How very depressing.
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| When talking about administration - (which now seems to have become the sport's world equivalent of business as usual - yes we have been living way beyond our income but that's OK because we can give the finger to our suppliers and obligations) there are a few things to remember:
Though various contributors can work themselves into a frenzy about the past and present management making misleading statements and trading while insolvent it is virtually unknown for this to lead to any sort action against directors as it is normally impossible to actually prove they were acting a bad faith.
You then need to look at what could trigger administration: an inabilty to service existing liabilities - or the inability to cover existing costs. I suspect that the Bulls situation is the second of these so we should not imagine that if it did come to administration that things could or would be able to continue just as before. Though we might not like it the current support and sponsor base does not allow us to be as competitive as we would all like. So however you might re-arrange the deck chairs unless you have a base support of around 12000 paying market prices and at least a couple of good sponsorship deals we cannot go toe to toe with the top clubs.
So you can have as many "root and branch" reviews as you want but if we cannot get more feet through the turnstiles the aspirations will remain apsirations. And this is not just a problem for the Bulls, or the RFL but every professional sport in the UK.
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| Does not seem good to me sounds like all us fans have been taken for a ride once more and the talk of an investor does not seem to be going well according to the report
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| Quote ="M@islebugs"Agree on the SOA and am I right in thinking they can project contracts they are obliged to honour as liabilities going forward. I also agree with the poster who refers to the role of Ryan Duckett in all of this. Surely, he can't be surprised by the financial position having been CEO.
On the last point, with the best will in the world I really can't see how you can make a case for the liklihood of PH almost securing investment only to be hijacked by the comments of CC. The loan from the RFL and the sale of the lease look like utterly desperate measures and the very fact that he was forced into a humiliating statement as regards the club almost going under surely underlines his inability to secure any serious support over the previous period. Asking for investment in the same statement you announce the club is a few weeks from having a chain put on the gate says the game was long up.
On the other hand if you, I or anyone else who owned 26% of a business and heard the Chair and CEO announce what they did, then I think you would have to act. I don't see what else could have happened.
FWIW I'm surer than ever that Hood should have taken the club into admin before the settlement of the Harris deal siting the alleged ÂŁ3.2million liability.'"
I cannot see how administration was an option at that time? The ÂŁ3.2m was a claim against us, but not an actual liability that the club had to pay. At that time, the accounts showed the club was perfectly solvent. Whether the underlying position and prognosis was worse than the accounts suggested is of course a different question, since personally I am sure that was the case around 2005.
I understand CC was advised as soon as the pledge was decided upon, but yes I can see he would be more than marginally interested! Whether the actions he took were in the best interests of the club, or of CC, is probably the issue. If you believe Coulby - whose statements have not been repudiated, as far as I am aware - then CC may well say that engagement with Hood was futile? Whether a public statement of no confidence in Hood just before the pledge deadline was the most appropriate action he could take is pretty academic now anyway.
And I have no idea whether Hood WOULD have been able to deliver the required further investment had CC not intervened how and when he did. IMO he very much implied at the time that he would, and it sounded convincing enough for me to feel the cause was not lost. My point is that we'll now never have the opportunity of finding out. Whether Hood is incensed or relieved about that, I guess only he will know?
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| Quote ="craigizzard"I haven't been following this in much detail, but tell me if this is a fair reading of the latest information:
The financial situation is "worse than first thought", according to the group who had long-term full access to previous accounts and plenty of opportunity for due diligence, and motive to hijack the second part of the "pledge", stage a boardroom coup, take the club into administration, and come out of it with free ownership of a debt-free new entity without even having to reach into their own pockets to pay the biils and wages of the lead-up period, because even that had been covered by the fans.'"
it would seem that way.....
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| Quote ="debaser"The previous board seem to have done that ok though. They had us all convinced that once we had raised ÂŁ500k, they had sorted the rest. You even believed it, did you not?
Lies, lies, lies and more lies.
How very depressing.'"
How do you know it was lies? And not, at worst, naĂŻvity (that would not surprise me...) or even negligence? Saying it was "Lies" is treading pretty close to defmamation?
How do you know that Caisley's intervention did not stymie their plans?
The simple answer is that you do not. None of us do. Any more than any of us know whether Caisley's intervention was deliberately aimed at derailing the pledge or was just unfortunate timing, and whether Caisley has always had a plan to wrest 100% control by forcing administration (which, btw, would probably have been my professional advice to him if he DID want full control AND had funding in place and was prepared to clear the creditors) or just wants what he believes is best for the club.
Its all speculation, so I don't think anyone can state whether any of the parties to all this sorry sad debacle were telling actual lies, as opposed to saying what they genuinely beleived or being disingenuous or spinning like tops. My guess is that we have seen - from all parties - some combination of the last three but nothing major of the first. But the history books may paint a clearer picture.
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| a couple of things strike me about the articlethe obviousness and immeadiate willingness to blame the old board before the actual review is finnished, the lack of credit to the good things they have done ie the tong training,harris settlement gone(althoufh that would implicate them) etc but moat worrying for me is the confirmation from the rfl that caislwy could come back and play an important role in yhe future when he so liked.not good for coulby and agar unless they already want to be the fall guys.
also why should these potential investors believe that once the present board is not to be trusted and we will noy input wour cash until a review is done and we can see finances? caisley had only admin in mind and whilst using previous boards lies and half truths to his own means has spun an even bigger lie to show he is not a fit and proper person acting in the clubs own interest.
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