12 point deduction or pay Smurthwaite's ransom?

[Wrex]

That's the decision for Synectics, or anyone else. Smurthwaite isn't selling Vale Park remember. So the question is do you think the better solution is to buy the club once it is in admin and invest the money saved from buying out Smurthwaite into building a squad strong enough to survive such a deduction, or do you think it is more sensible to pay the man what he wants and avoid administration altogether?

 

Of course prospective buyers have to also take into account the fact that if they decided to not pay his ransom then there might be another buyer prepared to do so, thereby missing out on the chance to take over the club altogether. No doubt Smurthwaite is trying to contact any gullible chancer he can in order to avoid maximize his profits and avoid the prospect of his nemesis next door taking the club for a discount rate.

 

It's a diabolical decision to make but it seems to be one that prospective new owners must debate.

[mikey]

The deduction would be this season so we may get relegated unless at least 12 points clear.

 

Hope we get a new owner who takes us somewhere else to play in the short term, and he can keep his ground.

[Erniemossrules]

Actually a 12 point deduction is at the discretion of the EFL as in the case of Brum who only got a 9 point deduction instead of 15.

When the accounts are published at the end of this month he will have a problem saying the club is insolvent and what has happened to the Hugill money.

Surely HMRC will be very interested in his money laundering between his different companies.

[ollyandpatch]

It would not be this season. We would start next season on - 12

[Wrex]

The deduction would be this season so we may get relegated unless at least 12 points clear.

 

Hope we get a new owner who takes us somewhere else to play in the short term, and he can keep his ground.

 

The points deduction would be next season.

[Emile]

Can we get clarification that it will 100% be next season?

 

Strange as it sounds I would take minus 12 next season rather than having Smurf in charge. I think new owners with a revived push from everyone associated with the club is worth more than 12 points and I think we would still finish with more points.

[valefan16]

EFL rules are not clear, after the regular season it’s apparently next season but it’s not clear.

[Loggerheads Sage]

I thought March 28th is the relevant date for this season? Can't see how the season can end and some time later 12 points be deducted. Sure it would relate to next season. 2 scenarios, buy the club from Admin for far less than has been offered, leaving monies to have a good budget for next year and attempt to survive, perhaps ground sharing until a new smaller stadium could be built. Rent off that obscene thing until a new stadium could be built. Anything is better than watching this slow painful death under that creature - even liquidation, although i appreciate that might be an unpopular view.

[Erniemossrules]

I thought March 28th is the relevant date for this season? Can't see how the season can end and some time later 12 points be deducted. Sure it would relate to next season. 2 scenarios, buy the club from Admin for far less than has been offered, leaving monies to have a good budget for next year and attempt to survive, perhaps ground sharing until a new smaller stadium could be built. Rent off that obscene thing until a new stadium could be built. Anything is better than watching this slow painful death under that creature - even liquidation, although i appreciate that might be an unpopular view.

 

Totally agree.

Ground share with Leek Town (capacity 3600) (Kidsgrove only holds 2000).Our benevolent council have history of providing new stadiums when required and could enforce a covenant on the existing stadium so Mr Blobby is left with a worthless asset.Buy the club cheaply from the liquidators and grow it from there with a new stadium in the Chatterley Valley.

[Bald Eagle]

Actually a 12 point deduction is at the discretion of the EFL as in the case of Brum who only got a 9 point deduction instead of 15.

When the accounts are published at the end of this month he will have a problem saying the club is insolvent and what has happened to the Hugill money.

Surely HMRC will be very interested in his money laundering between his different companies.

Brum was for Financial Fair Play, not admin which is a guaranteed 12 point deduction. Given that this will be after the season end it will be next season.

 

Insolvency means having sufficient cash to meet your obligations as they fall due. If no cash has been left in the club, especially with all advanced season ticket returned then we would be insolvent.

 

The accounts due to be released are irrelevant as they are historic. What sources money comes in from and more so where it has gone is the really interesting part, but we will not be privy to this info.

 

Bob Young twice ran the club profitably and far more successfully than Smurf has - surely a sustainable club is achievable under sensible ownership

[valefan16]

March 28th is the cut off as long as it doesn’t affect relegation or promotion so say we finished 8 points clear then the 12 points would be applied and we would be relegated.

 

The question is when the cut off after that is, so if it’s after the last game does it roll over or is it the official end of season ie end of the play off final?

 

That’s what we need clarity on.

[Jacko51]

Brum was for Financial Fair Play, not admin which is a guaranteed 12 point deduction. Given that this will be after the season end it will be next season.

 

Insolvency means having sufficient cash to meet your obligations as they fall due. If no cash has been left in the club, especially with all advanced season ticket returned then we would be insolvent.

 

The accounts due to be released are irrelevant as they are historic. What sources money comes in from and more so where it has gone is the really interesting part, but we will not be privy to this info.

 

Bob Young twice ran the club profitably and far more successfully than Smurf has - surely a sustainable club is achievable under sensible ownership

 

Of course it is. Does anyone know when the various payments from the Football League and the FA come into the club? And how is there no income coming in at all during the close season when there are still numerous events, weddings and stuff going on? Or is the owner saying that cash doesn't go into the club at all? And if not, why not?

[mikey]

The points deduction would be next season.

its given in the current season if the deduction would cause relegation.

[osprey]

I posted the rules in the other thread

It reads as if it is after end of season points are deducted next season

[Howjy04]

Of course it is. Does anyone know when the various payments from the Football League and the FA come into the club? And how is there no income coming in at all during the close season when there are still numerous events, weddings and stuff going on? Or is the owner saying that cash doesn't go into the club at all? And if not, why not?

 

450k was the figure required that he quoted for 3 summer months in addition to other income.That probably covers players wages.Other income would cover the rest of the staffs wages.He did say the club made money one year and that was shown in the accounts.This included the Hughill money,even though it hadn’t been all received.It looks like cards on the table now Jean.He sounded serious on the radio.Admin will kill us.We need a buyer quickly,even then is there enough time?6

/7 weeks.