Post by Admin on Oct 31, 2012 20:19:16 GMT
Old Rangers Officially Liquidated
Oldco Rangers has formally entered liquidation after the move was approved by a senior judge.
Insolvency firm BDO has been appointed to wind up the company, now known as RFC 2012 plc.
The move brings to an end the period of administration by Duff and Phelps, which began in February this year.
The Glasgow club went into administration after the taxman lodged a petition over the non-payment of tax to the tune of millions of pounds.
Liquidation was given the green light by judge Lord Hodge at the Court of Session in Edinburgh, after a day-long hearing on the issue.
Duff and Phelps had gone to the court themselves, seeking an order to end the firm's time as administrators and asking for the oldco to be handed to liquidators.
The court heard that the move, opposed at this stage by lawyers Collyer Bristow, would involve the handover to liquidators of £1.7 million in cash and other assets.
The judge revealed during a hearing at the Court of Session in Edinburgh that he had asked the BBC to provide a DVD of allegations they broadcast in May and earlier this month over the administrators.
Lord Hodge said he may also seek transcripts of phone conversations to see the context of it.
He said: "There may be a completely good answer to these allegations but I am concerned that allegations are being ventilated which call into question the probity of these proceedings."
"The administrators are officers of the court and the court has an interest in making sure these matters are properly aired and the administrators given a proper chance to answer the allegations," he said.
The judge said he was aware of an investigation by the Insolvency Practioners Association, the administrators governing body.
Lord Hodge said there was sense in the IPA producing a report which he could then review. He added: "I am taking no view on these allegations one way or the other."
The BBC ran a documentary in May "The Men WHo Sold The Jerseys" which alleged conflicts of interest that might have affected the appointment of the administrators. Duff & Phelps denied the allegations
Further material was broadcast this month of conversations between former Rangers owner Craig Whyte, who took over from Sid David Murray, and David Grier, of Duff & Phelps..
Lord Hodge earlier asked for a report to be prepared in June. At the time he said he had not acted until then as he had not wished to distract the administrators from pursuing a company voluntary arrangement (cva) to try to rescue Rangers, which proved unsuccessful.
Sarah Wolffe QC, for administrators Paul Clark and David Whitehouse of Duff & Phelps ,, said they were seeking to have their appointment cease with liquidators taking over.
She said the application was made in accordance with the wishes of the majority of creditors, including the largest one HMRC.
Lord Hodge asked her what would be passed over to the liquidators and she said pounds 1.7 million in cash would be available along with other assets.
The other assets include two payments of pounds 975,000 due from Everton in 2013 and 2014.
The move to bring the administration to an immediate end was opposed by law firm Collyer Bristow who acted for Mr Whyte when he took over at Ibrox.
The administrators raised proceedings against them in England and following a further action a case involving a damages claim for an estimated pounds 25 million is pending.
Lord Hodge asked Mrs Wolffe: "There is a significant action raised in the English courts against Collyer Bristow alleging conspiracy, is that not right?" She agreed.
The law firm wanted the administrators to produce a report explaining the role of MCR, a firm it said was acquired by Duff & Phelps last year, in the acquisition of shares by Mr Whyte. The judge rejected the move.
The administrators said they sought to hand over the conduct of the English action to joint liquidators to enable them to determine a strategy for progressing it.
Lord Hodge said: "It does seem to me that the administrators have made out a case for bringing the administration to an end and proceeding to the winding up of RFC 2012 plc."
Oldco Rangers has formally entered liquidation after the move was approved by a senior judge.
Insolvency firm BDO has been appointed to wind up the company, now known as RFC 2012 plc.
The move brings to an end the period of administration by Duff and Phelps, which began in February this year.
The Glasgow club went into administration after the taxman lodged a petition over the non-payment of tax to the tune of millions of pounds.
Liquidation was given the green light by judge Lord Hodge at the Court of Session in Edinburgh, after a day-long hearing on the issue.
Duff and Phelps had gone to the court themselves, seeking an order to end the firm's time as administrators and asking for the oldco to be handed to liquidators.
The court heard that the move, opposed at this stage by lawyers Collyer Bristow, would involve the handover to liquidators of £1.7 million in cash and other assets.
The judge revealed during a hearing at the Court of Session in Edinburgh that he had asked the BBC to provide a DVD of allegations they broadcast in May and earlier this month over the administrators.
Lord Hodge said he may also seek transcripts of phone conversations to see the context of it.
He said: "There may be a completely good answer to these allegations but I am concerned that allegations are being ventilated which call into question the probity of these proceedings."
"The administrators are officers of the court and the court has an interest in making sure these matters are properly aired and the administrators given a proper chance to answer the allegations," he said.
The judge said he was aware of an investigation by the Insolvency Practioners Association, the administrators governing body.
Lord Hodge said there was sense in the IPA producing a report which he could then review. He added: "I am taking no view on these allegations one way or the other."
The BBC ran a documentary in May "The Men WHo Sold The Jerseys" which alleged conflicts of interest that might have affected the appointment of the administrators. Duff & Phelps denied the allegations
Further material was broadcast this month of conversations between former Rangers owner Craig Whyte, who took over from Sid David Murray, and David Grier, of Duff & Phelps..
Lord Hodge earlier asked for a report to be prepared in June. At the time he said he had not acted until then as he had not wished to distract the administrators from pursuing a company voluntary arrangement (cva) to try to rescue Rangers, which proved unsuccessful.
Sarah Wolffe QC, for administrators Paul Clark and David Whitehouse of Duff & Phelps ,, said they were seeking to have their appointment cease with liquidators taking over.
She said the application was made in accordance with the wishes of the majority of creditors, including the largest one HMRC.
Lord Hodge asked her what would be passed over to the liquidators and she said pounds 1.7 million in cash would be available along with other assets.
The other assets include two payments of pounds 975,000 due from Everton in 2013 and 2014.
The move to bring the administration to an immediate end was opposed by law firm Collyer Bristow who acted for Mr Whyte when he took over at Ibrox.
The administrators raised proceedings against them in England and following a further action a case involving a damages claim for an estimated pounds 25 million is pending.
Lord Hodge asked Mrs Wolffe: "There is a significant action raised in the English courts against Collyer Bristow alleging conspiracy, is that not right?" She agreed.
The law firm wanted the administrators to produce a report explaining the role of MCR, a firm it said was acquired by Duff & Phelps last year, in the acquisition of shares by Mr Whyte. The judge rejected the move.
The administrators said they sought to hand over the conduct of the English action to joint liquidators to enable them to determine a strategy for progressing it.
Lord Hodge said: "It does seem to me that the administrators have made out a case for bringing the administration to an end and proceeding to the winding up of RFC 2012 plc."