solentstars Posted 1 February, 2013 Share Posted 1 February, 2013 good summary and interesting read..its about time the pompey trust gave pkf a deadline..http://www.twohundredpercent.net/?p=21759 Link to comment Share on other sites More sharing options...
tajjuk Posted 1 February, 2013 Share Posted 1 February, 2013 http://www.newsnow.co.uk/A/626899959?-11209:804 2:58 PM on 31/01/2013 Ex U21? Yes! But how old is he now? I hope somebody at Pompey has asked at Saints if they have any spare youth players in need of games. We have loaned AFCB 3 players so far for them to get game time. I would imagine any of them would fancy a few games to get noticed in play time, not just training. Beneficial to both clubs.[/color] I am laughing so much at this They loan out their youth, whom they won't play regardless of how desperate they are, to a team above them in the league. Then he want's Saints to loan them our future stars, to give them game time, and help keep them op! Lol, like it would benefit any of our young players to go play for such a team in a terrible run with no training facilities to loose week in week out, they would come back worse. Link to comment Share on other sites More sharing options...
Gorgiesaint Posted 1 February, 2013 Share Posted 1 February, 2013 good summary and interesting read..its about time the pompey trust gave pkf a deadline..http://www.twohundredpercent.net/?p=21759 January saw a round of cost-cutting and the recent player cull indicates that the club is now likely to be able to run at break-even and the HNWI can take a breather from writing the cheques. So, those same erudite fans are forced to ask, ‘Why weren’t those costs cut back in October?’ Had their fans been truely erudite, then they should have been questioning the spending long before October Link to comment Share on other sites More sharing options...
Frank's cousin Posted 1 February, 2013 Share Posted 1 February, 2013 (edited) Ok... I like most astute posters on here will be strugggling with the maths of the bid... can someone with more insight amend the below to reflect their current financial situation? 1. Current bank balance? Must be running at a loss if HNWIs are funding the club.. but recent cost cutting may have helped 2. Current liabilities: a) 68 mil in debt which has been diluted down to approximately the following: - 500k to unsecured creditors from the the first CVA.... - ?k to unsecured creditors from second admin - 8mil to football creditors - 3 mil to Kanu - ongoing ? - ? k Current unpaid Administrator fees - 2mil floating charge to Chinney - 18 mil charge by Chinney? - or 2.75mil for the ground - additional legal bills for ongoing cour case between PFK and Portpin Anything missed? 3. Current assets - feck all - OK Fortress fat pipes - value? - 4 mil parachute paymnets remaining - Trust - approx 1mil in escrow OK... couple of points. Assuming they win the courtcase and can buy Fratton for 2.75 mil - and have the cash to pay the additional 2 mil floating charge and thus Chinney walks away with 4.75 mil in cash. 1. The Trust budget - how does it intend to pay back the 8mil to football creditors - given that PFK fees and running costs will eat up that last 4 mil parachute...in theory? 2. Will they by pass the Kanu issue if they set up a new co as Kanu's contract is with current PFC 2010 Ltd? 3. How much equity will the fans have (well not equity as they will not get their money back as they cant sell their share, but you know what I mean) versus the HNWIs who will be converting their loans for running the club and covering the court fees into equity on top of the 'cash' they are providing for the purchase? 4. So how much cash to the Trust need up front to seal the deal? Do they need to cover the full football creditors in one hit up front? Cant see this happening - so they will start their tenure in debt to the football creditors, the council (if that loan is needed) and possibly 'another source', with Kanu's debt outstanding... yet the FL have stated a Max of 5 mil can be carried forward to New Co.... So what have I got wrong? Starting live in L2 with possibly as much as 5mil debt, -10 points and the fans 'owning' about 20% of the the club.... sorry but with the best will in the world, liquidation and new start with 1 mil in the bank and 100% fan ownership seems preferable to anyone apart from those clowns desperate to hang on to their 'illustrious' history - deluded into believing that in future folks will only remember PFC for the two titles and cup win.... as opposed to a club that wrote off 150mil of debt and riddled with financial meltdowns.... Edited 1 February, 2013 by Frank's cousin Link to comment Share on other sites More sharing options...
gaz Posted 1 February, 2013 Share Posted 1 February, 2013 Ok... I like most astute posters on here will be strugggling with the maths of the bid... can someon with more insight amend the below to reflect tehir current financial situation? 1. Current bank balance? Must be running at a loss if HNWIs are funding the club.. but recent cost cutting may have helped Horrific 2. Current liabilities: Lots, including.... a) 68 mil in debt which has been diluted down to approximately the following: About 3p Hope this helps. Link to comment Share on other sites More sharing options...
Frank's cousin Posted 1 February, 2013 Share Posted 1 February, 2013 Hope this helps. although was hoping for a little more than that. Link to comment Share on other sites More sharing options...
qwertySFC Posted 1 February, 2013 Share Posted 1 February, 2013 I have just one simple question that someone here may be able to answer , With all of the debt owed from the last few years , has one single penny been paid at all to any creditors ? Link to comment Share on other sites More sharing options...
Frank's cousin Posted 1 February, 2013 Share Posted 1 February, 2013 I have just one simple question that someone here may be able to answer , With all of the debt owed from the last few years , has one single penny been paid at all to any creditors ? The football creditors from the first admin will have been paid .... I think.... but cant be sure, think this would have been paid out by the parachutes etc... but nothing to the unsecured from the first admin no... Link to comment Share on other sites More sharing options...
Torres Posted 1 February, 2013 Share Posted 1 February, 2013 Portpin are being intransigent on the setting aside of their charge of £18m on the Club and ground. The Trust offer, based on several independent valuations, is £2.75m for the ground plus a settlement of the agreed unsecured and football creditors bill as detailed in the CVA.It is a puzzle how the£2m floating charge was missed as it is part of the only charge held over PFC (2010) Ltd. Portpin’s charge was both fixed (on Fratton Park) and floating (on the business of PFC). The Trust’s offer was on the assumption it dealt with the charge. So why did PKF make an application to the court that did not do so? This charge is not going to disappear. The Trust bid is not going to increase to cover it, as it is a fixed price offer, already agreed. Well you buggered then, aren't you? Link to comment Share on other sites More sharing options...
qwertySFC Posted 1 February, 2013 Share Posted 1 February, 2013 When you look back at this - just how much longer can this really go on - Just cannot believe it has been over 3 years and not one penny has really been paid to non football creditors ...3 YEARS In December 2009, it was announced that the club had failed to pay the players for the second consecutive month, on the 31st it was announced player's wages would again be paid late on 5 January 2010. According to common football contracts, the players then had the right to terminate their contracts and leave the club without any compensation for the club, upon giving two weeks notice. Despite the financial difficulties, Grant's time as manager was initially successful. He gained two wins (against Burnley and Liverpool) and a draw away at Sunderland from his first five games. The only losses inflicted on Portsmouth in this period were by eventual double winners Chelsea and the previous season's champions, Manchester United. HM Revenue and Customs (HMRC) filed a winding-up petition against Portsmouth at the High Court in London on 23 December 2009. In March 2010, this winding-up petition was dropped, leaving Portsmouth with a nine-point penalty for entering administration.During the 2009–10 season, it had become apparent to the club's new owner Balram Chainrai that Portsmouth were approximately £135 million in debt so to protect the club from liquidation, Chainrai placed the club into administration on 26 February 2010, and the club appointed Andrew Andronikou, Peter Kubik and Michael Kiely of accountancy firm UHY Hacker Young as administrators. This automatically incurred a nine-point penalty from the FA Premier League which came into effect on 17 March and resigned the team to almost certain relegation, which was mathematically confirmed on 10 April. Link to comment Share on other sites More sharing options...
ottery st mary Posted 1 February, 2013 Share Posted 1 February, 2013 (edited) I have just one simple question that someone here may be able to answer , With all of the debt owed from the last few years , has one single penny been paid at all to any creditors ? Not one single penny paid to creditors. Even from first admin...It was transferred over etc.........Unless anyone can find a creditor who has received one penny... Are there any pennies left to pay any creditor in the future? Edited 1 February, 2013 by ottery st mary Link to comment Share on other sites More sharing options...
trousers Posted 1 February, 2013 Share Posted 1 February, 2013 (edited) Well you buggered then, aren't you? They seem to be suggesting that PKF should pick up this particular bill.... no doubt a spate of "horrid administrator might wipe out plucky PST bid" stories published by a gullible media will do the trick.... Edited 1 February, 2013 by trousers Link to comment Share on other sites More sharing options...
tony13579 Posted 1 February, 2013 Share Posted 1 February, 2013 When you look back at this - just how much longer can this really go on - Just cannot believe it has been over 3 years and not one penny has really been paid to non football creditors ...3 YEARS . Where did the money go from the sale of the land and fratton park? Link to comment Share on other sites More sharing options...
trousers Posted 1 February, 2013 Share Posted 1 February, 2013 Where did the money go from the sale of the land and fratton park? The surrounding land is/was owned by Gadymak (and has supposedly been sold to Robinson) and Fatpipe Park hasn't been sold....yet.... Link to comment Share on other sites More sharing options...
Torres Posted 1 February, 2013 Share Posted 1 February, 2013 They seem to be suggesting that PKF should pick up this particular bill.... no doubt a spate of "horrid administrator might wipe out plucky PST bid" stories published by a gullible media will do the trick.... Given that PKF are merging themselves into BDO in the UK, I don't think they'll be at all worried about any negative popular opinion that might be brought on a disappearing brand name. They'd take that hit (and it wouldn't be much anyway) and keep the £2m, I suspect. Link to comment Share on other sites More sharing options...
saint si Posted 1 February, 2013 Share Posted 1 February, 2013 Ideal scenario would be that PKF were working from PFC's financial records in assessing what was due to creditors, and that PFC's records carry no mention of the floating charge, which then results in them being done for financial irregularities. Link to comment Share on other sites More sharing options...
Joe Kirkup Posted 1 February, 2013 Share Posted 1 February, 2013 Apparently TB negotiated with Kanu and his payoff is included in the £8mil for football creditors. The trust also believe PKF will waive a good portion of their fees. BTW we seem to have missed the panic on Wednesday when Micah Hall started tweeting that it had all gone tits up because Tricky Trev was talking to a new potential buyer. He has now said that he was mistaken. "I am secured, I will get my money" Link to comment Share on other sites More sharing options...
trousers Posted 1 February, 2013 Share Posted 1 February, 2013 Apparently TB negotiated with Kanu and his payoff is included in the £8mil for football creditors. They sneaked that one under the radar....any idea how much of the £2m he settled for? Link to comment Share on other sites More sharing options...
trousers Posted 1 February, 2013 Share Posted 1 February, 2013 (edited) The trust also believe PKF will waive a good portion of their fees. I've always assumed that to be the case (for the sole reason that their figures don't add up unless PKF take a hit)....but never seen it officially stated as part of "the business plan"....that's the bit that Farmery always ends up skirting around and contradicting himself on in the process... I still believe that PKF will find themselves under extreme public and media pressure to relent.... no company or organisation have been 'brave' enough to push Pompey over the edge yet so don't know why it would happen now.... Edited 1 February, 2013 by trousers Link to comment Share on other sites More sharing options...
Joe Kirkup Posted 1 February, 2013 Share Posted 1 February, 2013 No idea how much but considering he wanted £3mil it must be a decent chunk of it. When you look at the players involved and the contracts they were on TB did a bloody good job getting a settlement at £8m Link to comment Share on other sites More sharing options...
Joe Kirkup Posted 1 February, 2013 Share Posted 1 February, 2013 I've always assumed that to be the case (for the sole reason that their figures don't add up unless PKF take a hit)....but never seen it officially stated as part of "the business plan"....that's the bit that Farmery always ends up skirting around and contradicting himself on in the process... I still believe that PKF will find themselves under extreme public and media pressure to relent.... They are banking on using the waived fees should the judge decide that FP is worth more than the £2.75m offered. If there's one thing the good people of Portsea like better than anything it's saying hello with another man's hat. Link to comment Share on other sites More sharing options...
Lord Duckhunter Posted 1 February, 2013 Share Posted 1 February, 2013 On another forum they are talking about starting again 4 levels down, the deluded half wits are discussing attendances and the chances of getting around 8,000 in the non league. One reply that has to be a **** take. "Hey, excluding the cups as far as I'm aware we haven't dropped below 10k. And tbh, 8000 might be a bit optimistic but if we're tonking the opposition every week, there could be maybe... 4-5k. Think how many fans Rangers are getting in the Scottish Division 3.! ****ing hell, "think how many fans Rangers are getting". Link to comment Share on other sites More sharing options...
hypochondriac Posted 1 February, 2013 Share Posted 1 February, 2013 I've always assumed that to be the case (for the sole reason that their figures don't add up unless PKF take a hit)....but never seen it officially stated as part of "the business plan"....that's the bit that Farmery always ends up skirting around and contradicting himself on in the process... I still believe that PKF will find themselves under extreme public and media pressure to relent.... no company or organisation have been 'brave' enough to push Pompey over the edge yet so don't know why it would happen now.... Apparently at the creditors meeting it was agreed. Link to comment Share on other sites More sharing options...
Joe Kirkup Posted 1 February, 2013 Share Posted 1 February, 2013 Apparently at the creditors meeting it was agreed. creditors capped the fees at £2.5m. Link to comment Share on other sites More sharing options...
trousers Posted 1 February, 2013 Share Posted 1 February, 2013 Apparently at the creditors meeting it was agreed. So, PKF have been pressurised into reducing their fees to help save Pompey.... That's one way of running a business I suppose.... How come none of this has been publicised in the media? Link to comment Share on other sites More sharing options...
trousers Posted 1 February, 2013 Share Posted 1 February, 2013 creditors capped the fees at £2.5m. Historic fees or including ongoing fees? Did I/we miss this being publicised before or is it only just starting to leak out? Link to comment Share on other sites More sharing options...
hutch Posted 1 February, 2013 Share Posted 1 February, 2013 If that is true, and PKF has agreed, then for the very first time we now have a real deadline. Link to comment Share on other sites More sharing options...
hutch Posted 1 February, 2013 Share Posted 1 February, 2013 Don't forget there is a big difference between the administration costs and the administrator's fees. There will be an awful lot of bills from various experts, including lawyers and independent valuers, on top of PKF time charges. Link to comment Share on other sites More sharing options...
Joe Kirkup Posted 1 February, 2013 Share Posted 1 February, 2013 They've been very careful not to publish anything concrete but these little snippets are beginning to leak out, mainly I suspect due to questions being asked by the pledgers. As has been mentioned before I believe it has more to do with not letting on that the biggest community club in the world will be owned not by the community but individuals, the council and one new undisclosed "investor". I think the fans will be lucky to have more than 25% What I wouldn't give to have a gander at the current business plan. Link to comment Share on other sites More sharing options...
Frank's cousin Posted 1 February, 2013 Share Posted 1 February, 2013 On another forum they are talking about starting again 4 levels down, the deluded half wits are discussing attendances and the chances of getting around 8,000 in the non league. One reply that has to be a **** take. "Hey, excluding the cups as far as I'm aware we haven't dropped below 10k. And tbh, 8000 might be a bit optimistic but if we're tonking the opposition every week, there could be maybe... 4-5k. Think how many fans Rangers are getting in the Scottish Division 3.! ****ing hell, "think how many fans Rangers are getting". :lol: Link to comment Share on other sites More sharing options...
Son of Dave Posted 1 February, 2013 Share Posted 1 February, 2013 Sorry, but can we go back to the supposed source of funds for the loan - if the council are genuinely involved in forwarding council monies, when and how will the council justify this to those who elect them ? Portsmouth city council has recently declared it's intent to shut public toilets... you might say that's a bit of a contradiction given the nature of fat pipes or do the council really think they need to be seen to be taking all steps to support the local asset that is pompey ? forget the obvious local rivalry but this makes no sense. Link to comment Share on other sites More sharing options...
Joe Kirkup Posted 1 February, 2013 Share Posted 1 February, 2013 The council are borrowing the money and giving it to the trust. The council get preferential rates from lenders - and there is no way any institutions would lend the trust anything - and the trust are supposed to pay it back plus the interest plus a little more for the council's trouble. The council is just a facilitator for the loan so it's not actually council funds. That is why they are so adamant about ensuring repayment via the PPs. If the trust default the council get lumbered. I need an extension, wonder if they'll get a good rate for me? Link to comment Share on other sites More sharing options...
pedg Posted 1 February, 2013 Share Posted 1 February, 2013 (edited) Sorry, but can we go back to the supposed source of funds for the loan - if the council are genuinely involved in forwarding council monies, when and how will the council justify this to those who elect them ? Portsmouth city council has recently declared it's intent to shut public toilets... you might say that's a bit of a contradiction given the nature of fat pipes or do the council really think they need to be seen to be taking all steps to support the local asset that is pompey ? forget the obvious local rivalry but this makes no sense. As I understand it the loan would be a short term one and would be secured against one of the future parachute payments with the council requiring agreements from the league(s) that they would be paid the money directly to them. The obvious problems I can see are: 1) When it actually appears they might want to use the loan offer the council may get cold feet and try and find a facesaving way out. 2) Having got the loan they might still go pop before the relevant parachute payment is made. Are the council covered for this? Edited 1 February, 2013 by pedg Link to comment Share on other sites More sharing options...
trousers Posted 1 February, 2013 Share Posted 1 February, 2013 (edited) Have only skim read this but looks interesting... http://portus-eg.blogspot.co.uk/2013/02/takeover-toils-as-pompey-fans-blood.html?m=1 Edited 1 February, 2013 by trousers Link to comment Share on other sites More sharing options...
pedg Posted 1 February, 2013 Share Posted 1 February, 2013 Have only skim read this but looks interesting... http://portus-eg.blogspot.co.uk/2013/02/takeover-toils-as-pompey-fans-blood.html?m=1 That oversight could be forgiven as a genuine mistake but PKF haven't done themselves any favours by appearing to have verified an astonishing increase in the amount apparently owed to Hiroshima (from approx £200k to £498k) by allowing them to vote at the 25thJune creditors meeting even though they were not actual creditors of PFC 2010 Ltd, according to the creditors list PKF put out in their April 2012 document If I remember correctly the PKF list of creditors was not an exact list more a best guess with a request for people who thought were owed money to contact them. Possibly. Link to comment Share on other sites More sharing options...
Sevvy Posted 1 February, 2013 Share Posted 1 February, 2013 Have only skim read this but looks interesting... http://portus-eg.blogspot.co.uk/2013/02/takeover-toils-as-pompey-fans-blood.html?m=1 well found trousers, blimey that's a long read but very informative, definitely a large can of worms Link to comment Share on other sites More sharing options...
trousers Posted 2 February, 2013 Share Posted 2 February, 2013 (edited) well found trousers, blimey that's a long read but very informative, definitely a large can of worms Indeed, and my first thought is surely these revelations about further previous financial irregularities give the Football League carte blanche to retrospectively throw the points penalty book at PFC, a la Luton? That said, if the allegations in this blog are true, I think it gives an insight into why the football authorities have seemingly been reluctant to throw the book at Pompey because it shows them up as having allowed some allegedly dubious activity to be carried out under their own noses and thus failing in their financial scrutiny duties at the time. Will be interesting to see how much of this finds it's way into the mainstream press... More importantly though, it was in direct breach of the club’s FL Membership Agreement. Had the League known about it at the time Pompey would probably have been thrown out of the League. So, despite warnings from within the club and, sources suggest, Portpin sought legal advice too Portpin went ahead and did it anyway. Consequently, when CSI came in they found that approx £800k of season ticket money hadn't come into the club as it should have done, it instead went to the unwitting Zebra then to Hiroshima. Edited 2 February, 2013 by trousers Link to comment Share on other sites More sharing options...
dronskisaint Posted 2 February, 2013 Share Posted 2 February, 2013 Some strong allegations in there...I wonder how long it will stay up? Whoever is ultimately blamed be it PKF or Android there's been a huge failure on the part of administrators to act in the best interests of those who they are purporting to protect. For the 'club' (should that be spelt corpse?) there are further intentional floutings of the FL rules...surely there can be no cover-up on either side? But then this is a diseased, decaying and corrupt corpse that has thrived only because it's feen fed illegally obtained funds..and continues to do so certainly up to when the hnwi realised it was actually draining their own accounts! WTFILN!!! Link to comment Share on other sites More sharing options...
SaintBobby Posted 2 February, 2013 Share Posted 2 February, 2013 There is no prospect of PKF waiving their fee and leaving, say, £2m lying around for the Trust to rebuild the club. They may not claim their full fee - but only if there is no cash to meet their full fee. They aren't going to leave money around to sign up a tasty midfielder. Furthermore, if Chanrai loses on Feb 14th (or at the court date set on Feb 14th), he is almost certainly going to appeal and/or litigate against PKF etc. So, even if the verdict of the court is "yes, you can have Chanrai's charge for £2.7m", that is very unlikely to be the end of the matter in court. Finally, the amount in the Trust's bank account is only around £1m. A fair proportion of this (£150K?) will be "unrealised" pledges (the £100 was put down, but the £900 never materialised). The Trust's ability to use this money is deeply questionable. It's not just c. £1m for Farmery to shove on the table. The hoops they will have to go through to use that cash for any purpose other than that it was specifically pledged for are huge and horrendous. The £100 unconverted pledges are almost certainly not usable - even though they will be included in the Trust's c. £1m total. This is such a trivial, tied-up amount of money overall that the Trust are - at best - a bit player in any possible takeover. Link to comment Share on other sites More sharing options...
melmacian_saint Posted 2 February, 2013 Share Posted 2 February, 2013 Ok, so if the Trust's delusions take a twist to reality (remember you couldn't make this whole thing up!) this is their super ownership model running the club in League Two with another points deduction, an administration sorted out with about 5-7 mill of debt to be payed from then on, an empty squad list which if the deadline merry dance happens again will be nothing less than an attempt to beat the world record for signed papers in a couple of hours, wrecking havoc in any planning for footballing issues, a ground whose deterioration and reducing income makes it a dreadful burden for the club, and seemingly a high risk of internal conflict in the Trust itself. I'd sign that. I really hope we play them in one of the Cups next year (possibly the League cup because they will be facing this same situation come Jan 2014), so we can give them a proper send-off into pyramid obscurity. Link to comment Share on other sites More sharing options...
Mouldy Coat Posted 2 February, 2013 Share Posted 2 February, 2013 The longer this goes on, the more I am thinking that I want their misery to continue. I am not as convinced now that they should fold and start again. I want the life sucked out of them for years to come. Although TCWTB crying on tv with all his tacky Pompey transfer tattoos, after they have gone bust, would feel me full of warm pleasure Link to comment Share on other sites More sharing options...
Portland Wilfred Posted 2 February, 2013 Share Posted 2 February, 2013 Have only skim read this but looks interesting... http://portus-eg.blogspot.co.uk/2013/02/takeover-toils-as-pompey-fans-blood.html?m=1 Its been taken down now. Either that or my network is playing up :-( Anyone have a copy or would that be too risky also ? Link to comment Share on other sites More sharing options...
Tamesaint Posted 2 February, 2013 Share Posted 2 February, 2013 Its been taken down now. Either that or my network is playing up :-( Anyone have a copy or would that be too risky also ? No it is still there Link to comment Share on other sites More sharing options...
suewhistle Posted 2 February, 2013 Share Posted 2 February, 2013 Some strong allegations in there...I wonder how long it will stay up? Off skiing so I'll read it later. I'm sure some nutjob has saved it!:-)) Edit: still there 30 secs ago 8.34 mt time... Link to comment Share on other sites More sharing options...
sidthesquid Posted 2 February, 2013 Share Posted 2 February, 2013 (edited) Exasperation! Good word, sums up the feelings of many a Pompey fan I should think following the latest adjournment yesterday of the PKF v Portpin case regarding the valuation of Fratton Park. It’s been ten weeks or so since my last blog. In that time Pompey haven’t won for 15 games, PST announced they would be buying Fratton park outright and the Mayans calendar proved to be as accurate as the Pompey 2013 one. Yet we still remain in limbo about PST taking the club over. Why is that? There are some dark mutterings regarding PKF’s handling of the admin, I will leave that aside for now for others to comment on such as the excellent SJ Maskell has done in her latest blog: http://www.twohundredpercent.net/?p=21759 But there’s one issue outlined in this narrative where exasperated just doesn’t cut it. Apoplectic probably a better one! Directly below is an extract from PKF’s document lodged at Companies House recording the vote of creditors passing the proposed CVA on 25/6/12. This Document is dated June 28th 2012. Nothing extraordinary there at first glance though some frown-inducing names crop up. Balu Chainrai for instance personally had £350k worth of votes and Portpin had £7.217m worth. But who the hell are Hiroshima Ltd? First off your hearts will sink as I tell you they are based in Hong Kong. Two different firms too under the same name. One of the Hiroshima Ltd's address is 16F, Yue Hwa International Building, 1 Kowloon Park Drive, Tsim Shai Tsui, Hong Kong. Person of contact is a Raj Kakessery, an independent financial consultant. According to records they are an exporter of light goods' By a strange quirk of fate that address is the same for Hornington Enterprises Ltd, a familiar name to those following this Pompey saga for the past few years. Also at this address is Hari Holdings Inc run by Balram's father Parasram . There's a Hari Importers & Exporters Ltd UK company based in London where Balram's brothers Deepak and Anup are directors. Operating out of this address also are Himz Logistics Ltd (global freight company) and H.Rangel Industries, a known offshoot of Hornington. The other Hiroshima Ltd is located around the corner at Room 401, 4th Floor, Universal Commercial Building, 69 Peking Road, Tsim Sha Tsui, Kowloon, Hong Kong. This is a licenced moneylender firm. There are no directors listed that I could find. One of these Hiroshima Ltd's is an entity run by the Chainrais, the other an anonymous moneylending firm with the same name. One of those "Pompey" coincidences, two companies with the same name. So what has a Hong Kong moneylending firm or/and a light goods exporting firm with the same name got to do with Portsmouth Football Club 2010 ltd? Take your minds back to Portpin's second spell of PFC ownership between October 2010 and June 2011. If you will remember the Football league were keeping a tight rein on Pompey’s financial dealings. Club accounts had to be sent to the Football League for regular checks and Portpin were banned from putting any extra debt or security onto the club. Portpin also had to provide an interest free overdraft facility which they did to the tune of £1m. Thanks to the terms of the Football League agreement with the club Portpin had to adhere to those terms or else Pompey's League membership would be forfeited. Things changed though when CSI first started sniffing around the club at the beginning of February 2011. As Portpin began negotiations with CSI in the same month they promptly stopped paying bills. Ben Haim for instance stopped getting his money and his wages tab rose to £2m+ while £2m of other urgent outstanding debts were run up. So, when CSI eventually took over on June 1st 2011 and 'invested' their money, about half of it went on paying the bills Portpin had accrued since February. The overdraft facility Portpin had provided took a hammering in this period and had reached the £1m limit quickly. Portpin’s problem as they saw it was how to get that £1m back out without the Football League noticing which meant devising a scheme not directly related to the Portpin's overdraft facility. Transpiring events during this period seem to suggest Portpin hit upon the idea of taking out the season ticket money in cash. At first though Portpin encountered problems with their plan. Barclays Merchant Services at the time didn’t allow the club to have their season ticket money up front because of the fear of the club not completing the season. It was released in equal 1/23rds as each home game was played. So then Portpin instigated the Cash & Cheque Only Early Bird scheme. But many Pompey fans were wary of Portpin and the Early Bird scheme so it only brought in a relative trickle of money. Undaunted Portpin apparently then came upon the idea of using Zebra Finance Ltd. Zebra are a reputable finance company who specialise in providing finance to fans to buy their season tickets - used by Man Utd amongst others. The idea was that Zebra would take credit card payments, advance the money to the club then receive it back from Barclays Merchant Services in 23rds and take a cut. Barclays realised this was happening and said they wouldn't accept that arrangement for some unspecified legal reasons. Seeing as Pompey had no chance of getting any other merchant services firm to take their business due to the state of the club finances, Barclays could effectively dictate business terms to the club who were powerless to do anything about it. So Portpin then came up with a sweet variation and it went something like this: (a) The ST money would continue to arrive in 23rds from the bank but go to Zebra instead. (b) Zebra, who it must be pointed out innocently thought they were doing PFC itself a good turn, would then send the money minus a small fee not to Pompey but to a finance company called Hiroshima Ltd who would, to all intents and purposes, then forward the money to PFC. © No chance. Hiroshima binned the money, PFC never saw a penny of it. Of course the problem with this latest Portpin wheeze was two-fold; 1. This was actually CSI's and therefore PFC's money that was being taken. 2. More importantly though, it was in direct breach of the club’s FL Membership Agreement. Had the League known about it at the time Pompey would probably have been thrown out of the League. So, despite warnings from within the club and, sources suggest, Portpin sought legal advice too Portpin went ahead and did it anyway. Consequently, when CSI came in they found that approx £800k of season ticket money hadn't come into the club as it should have done, it instead went to the unwitting Zebra then to Hiroshima. Portpin’s devious plan to get back the £1m had almost worked perfectly but not quite in the timescale they had to carry it out fully, no doubt not helped by CSI's plunge into admin. However, the remaining £200k Portpin obviously haven’t given up on, hence the claim by Hiroshima. The amount of £498k is staggering, 2 ½ times the original amount, another example no doubt of Portpin’s “generous” interest rates on money deals, this time a mindblowing 2,998% - unless there is something else we don't know about!. Of course this whole sorry episode raises questions; 1. Why did the Football league take until October 2012 to rule out Portpin from owning the club when they were aware of this matter? 2. As CSI administrator, what action has Andronikou taken to recover this £800k or so from Portpin which should belong to CSI/PFC? Alternatively what have PKF done to recover this money that rightfully should be Pompey's? 3. PKF did a preliminary audit on PFC for CSI prior to their takeover. Must have missed this Zebra/Hiroshima deal then. That oversight could be forgiven as a genuine mistake but PKF haven't done themselves any favours by appearing to have verified an astonishing increase in the amount apparently owed to Hiroshima (from approx £200k to £498k) by allowing them to vote at the 25th June creditors meeting even though they were not actual creditors of PFC 2010 Ltd, according to the creditors list PKF put out in their April 2012 document. Again, unless there is something else going on besides this issue behind the scenes, the amount is staggering. For Hiroshima to be a creditor of PFC, they would have had to have offered some services or goods that PFC would have paid a fee for. There's a transaction that needs to occur. In this case it didn't as the Zebra/Hiroshima arrangement was arranged by Portpin themselves, not the football club. How could PKF have allowed Hiroshima to be creditors of PFC 2010 Ltd? Zebra weren't aware that the money wasn't reaching the club as after all the arrangement was made with the owners of the club - Portpin - so why would Zebra think there was something untoward? Hiroshima from this appear to be charging PFC half a million pounds for holding onto approx £800k of PFC money which they have kept anyway. Its like if you have a savings account with a bank and the bank charging you 2/3 of your savings value in charges after first nicking all your money. How was this allowed to happen by PKF? The dismay-inducing tale above reminds me so much of Portpin taking the Kaboul transfer money in 2010. Back then, despite knowing there were untold amount of other creditors out there, despite knowing the club was way behind on paying everyone, despite the fact there were PL rules/legally binding agreements in situ Portpin, when it comes to getting their money, take it anyway they can. Don't know about you but I am sick and tired of all these strokes, tricks, schemes etc involving Portsmouth Football Club. Roll on the day when the PST run the club properly. Edited 2 February, 2013 by sidthesquid Link to comment Share on other sites More sharing options...
sidthesquid Posted 2 February, 2013 Share Posted 2 February, 2013 Printed out in full for you all - what is it with Skates and one sentence paragraphs? Link to comment Share on other sites More sharing options...
NickG Posted 2 February, 2013 Share Posted 2 February, 2013 Anyone asked fa to comment? Link to comment Share on other sites More sharing options...
trousers Posted 2 February, 2013 Share Posted 2 February, 2013 Link to comment Share on other sites More sharing options...
SaintRichmond Posted 2 February, 2013 Share Posted 2 February, 2013 Sorry, but can we go back to the supposed source of funds for the loan - if the council are genuinely involved in forwarding council monies, when and how will the council justify this to those who elect them ? Portsmouth city council has recently declared it's intent to shut public toilets... you might say that's a bit of a contradiction given the nature of fat pipes or do the council really think they need to be seen to be taking all steps to support the local asset that is pompey ? forget the obvious local rivalry but this makes no sense. So Fratton Park IS being closed down then ?? Link to comment Share on other sites More sharing options...
OldNick Posted 2 February, 2013 Share Posted 2 February, 2013 Amazing, the time it must have taken to research that article. Whatever happened about the forensic search of the old club? BC runs rings around everybody, it will be interesting how the Hiroshima thing will be explained away, talk about going nuclear lol Link to comment Share on other sites More sharing options...
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