slickmick

Came from here: http://www.bbc.co.uk/blogs/mattslate...crisis_qa.html Also says its very unlikely that the courts would block administration.

I've got a skate mate that wants to come with me and watch Saints v Walsall on Saturday. Do I win a prize for the first conversion ?

I'm finding the whole damn lot of it confusing. What if Faraj was non existant and the name was used by Chanrai to manoeuvre himself into the position of secured creditor ? Nurse....help.....I forgot my medicine.??:

What has happened to the very elusive Al Faraj ? Does he actually exist ? Something about this part of it that is bugging me.

If only HMRC had put a charge on the ground.

Does this mean that Al Mirage still owns the ground ect and would be the prefered creditor ??

This is getting better by the minute. Well done GM.

Its already going up.

I remember when Lawrie challenged the fans to a penalty competition. My old man took part during the interval of the Liverpool game. He wore a hideous green tracksuit and a pair of brown rugby boots that had been in the loft for 30 odd years. He then came over to the crowd where I was sat and started waving at me. I was only about 11 or 12 and died of embarrassment. Anyway he had a chance to redeem himself, but he put all 3 penalties over the bar.:smt100

Q: How does it affect Pompey's High Court case? A: As soon as the intention to enter administration is filed, the winding-up petition is stopped in its tracks. There will be no developments and no hearing. When the club enters full administration, the winding-up petition ends entirely. Now, if a slot became available at the Courts by Friday, that could make it interesting.

Would of thought that Julie Palmer, partner at Begbies Traynor might have mentioned it if it was a possibility.

I read it that it was only the unsecured creditors. So I take it that means HMRC would have to be paid in full or else : Q: What else happens if the CVA vote is lost? A: Typically, the company's liquidated. Its assets are sold and creditors are paid off at a specified rate, perhaps 10p in the pound. So creditors, apart from football creditors who must be paid in full, lose out. But the football club can be sold as part of the liquidation process, so it can exist as a new entity, separate from the old company and can continue in the league. The playing side of the club is worth most, with its ability to play in the league, attract crowds and sell players. So if the business is broken up, the club could still attract buyers. Still confused ???

Sorry missed a bit off paste : Q: What else happens if the CVA vote is lost? A: Typically, the company's liquidated. Its assets are sold and creditors are paid off at a specified rate, perhaps 10p in the pound. So creditors, apart from football creditors who must be paid in full, lose out. But the football club can be sold as part of the liquidation process, so it can exist as a new entity, separate from the old company and can continue in the league. The playing side of the club is worth most, with its ability to play in the league, attract crowds and sell players. So if the business is broken up, the club could still attract buyers. Q: Who pays the wages while Pompey's in administration? Mr Chainrai has said he will pay the £3m administration fee and cover the club's wages for the full administration period. A: The fee and wages must be paid, by the company's owners or another interested party. His offer might seem strange, but it's in his interest for the administrator to keep the club going as long as possible, to maximise the chances it will be sold and the debt to him repaid in full. His is a secured holding, but he only gets his money back if there's enough left over after the football creditors are paid. He's paying the wages to preserve his investment. Q: Will non-playing staff continue to be paid? A: The administrators, not Mr Chainrai, will decide who the club continues to employ. But all employees retain their rights. Employees laid off at the decision of the administrators can claim for holiday pay or earnings they're owed. They can claim up to eight weeks' wages and six weeks' holiday pay, to a value of £800 for each, from the government, which then becomes a football creditor, for the amount it has paid out. If they're owed more, that must be paid by the club's new owner. Q: What happens to Chainrai and Gaydamak's property? A: If, as is believed, Mr Chainrai owns Fratton Park, and Mr Gaydamak owns land around it, both would retain ownership and could rent them back to the club. But it's more likely they'd offer them as part of a deal. In Mr Chainrai's case he could see the £17m he might receive for the ground as repayment of his debt, if it's tied up in his original loan. He and Mr Gaydamak would understand a football club which owned its ground and offices would be more attractive to a buyer than one tied into a rental agreement with former owners. Q: Is administration the beginning of the end? A: It can be an excellent choice. If buyers are interested, but unwilling to buy without full due diligence, this gives them the time to do that, and to be sure about what they're buying.

Lifted this from main forum incase it gets missed: Questions and Answers on administration Pompey's announcement makes administration at the end of the week almost certain. But what does it mean for the club? We have enlisted the help of Julie Palmer, partner at Begbies Traynor, the firm which oversaw Southampton FC's administration last April, to answer the fans' questions. Q: What happens next? A: On Friday, the club will file its intention to appoint an administrator with the courts. It then has two weeks to enter administration officially, by returning to court with details of the firm which will administrate Pompey, and filing for full administration. Q: Who chooses the administrator? A: Portsmouth Football Club's directors make the decision. But from there, they play no further part in its official business. Q: How does it affect Pompey's High Court case? A: As soon as the intention to enter administration is filed, the winding-up petition is stopped in its tracks. There will be no developments and no hearing. When the club enters full administration, the winding-up petition ends entirely. Q: What is the administrator there to do? A: The administrator is responsible to all the business's creditors. It must realise the company's assets, in order to get as much as possible to pay them. Q: Does this mean they will break the club up and sell it off? A: No. The administrator's main role is to try to find a buyer, who can repay the club's debts. The debts are ring-fenced, which means it's not the administrator's role to pay them. They will be paid from money the company is paid, such as for transfers or money from the Premier League, and the cash from its sale. The administrator must get the best possible value for the club, and that means maintaining its assets. Portsmouth's greatest asset is as a football club with a place in a league. Its sale on that basis will be much more profitable than breaking it up and selling it piecemeal. Q: Who are the creditors? How much do they get? A: Pompey's creditors fall into three categories: football creditors, who include clubs who are owed transfer fees, playing staff who are owed wages and the police if they are owed cash for policing Pompey's home games. They must be paid in full. Secured creditors, including property owners such as Balram Chainrai and Sacha Gaydamak, come next, and will be paid all they are owed, as long as enough money remains after the football creditors are paid. Unsecured creditors, including the Inland Revenue, are paid from what remains. Q: What are the football penalties for entering administration? A: Portsmouth will be fined nine points, which will count against this season's total. The club must then enter into a Company Voluntary Arrangement (CVA) by the end of the season. Failure to do so would result in a 15-point penalty at the start of next season, whichever division Pompey is in then. The CVA is for unsecured creditors. Of those who vote, the owners of 75 per cent of the debt must be in favour. But because HMRC disagrees with the order of repayment priorities set by the Premier League and Football League, its policy is always to vote against CVAs. If Portsmouth owes less than £47.2m, and £11.8m of that is to HMRC, it will lose the vote and lose 15 further points. If it owes more, and can convince everyone to vote, it will win and the CVA will be put in place. Q: What else happens if the CVA vote is lost? A: Typically, the company's liquidated. Its assets are sold and creditors are paid off at a specified rate, perhaps 10p in the pound. So creditors, apart from football creditors who must be paid in full, lose out. But the football club can be sold as part of the liquidation process, so it can exist as a new

Just thinking, if we did take 55000 the only person left posting on this forum would be Alpine Saint.

My guess is the courts and HMRC will wait until Skates make that step before acting.

What is in it for Chainrai ? The amount its going to cost him to keep them going through administration will cost him what ?? £8m for a couple of months ??? What will he expect to gain from this ?? Add that to what he has already put in surely he would be better off letting them go under on Monday ?

Thought it was made clear that they would be wound up.

Or if they can but don't, I guess that means admin companies wont touch them.

Trouble is when PFC are gone, he will be gone too. But he is showing signs of changing alliances, so maybe the entertaining will continue when he becomes a true red.

Then you sir, are not a Saints fan. Blue Square league would be a fitting punishment.

Peter Storyteller is on his hands and knees begging for stay of execution as we speak. One thing is for sure, we are going to see massive changes made to the PL once this has concluded.

Exactly, there is no way, who or how many they sell. It could be the middle of next week before this is given the green light and theres no way that money for wages and HMRC will be covered in time.

The guy who runs it is called Jim, lives up the road from me. Decent bloke. Pompey boy though, so make sure you shoot him 1st.

Not much sign of Fitzhugh Fella lately, is he busy writing a best seller ?