A Rogue’s Charter

Day one of the Takeover Panel’s petition was nothing if not eventful. However prior to an analysis of what went down, and an acknowledgement of Alasdair Lamont’s Tweeting prowess, one should note that this petition is being presented in one of the highest courts in the UK. The Court of Session is only one step removed from the Supreme Court.

The case presented by King’s Counsel, Neil Davidson QC, (Baron Davidson of Glen Clova) and his two assistants would, if upheld, establish legal precedents. Legal precedents that would so severely compromise the efficacy of the Takeover Panel and the Takeover Appeal Board that they would effectively be no more than Paper Tigers.

I would find it unlikely that a cheap, lying, cheating, career criminal spiv like King, no matter the quality of his consigliere, could neuter these august bodies. King, who lied and cheated his way to a small fortune by bribery, racketeering, fraud, tax evasion and witness intimidation in an emerging Republic in a state of apartheid flux, has never played it by the rules. King believes that anything can be achieved with a dash, which is the slang word for a bribe or gratuity in Nigeria.

If the Takeover Panel is entrusted with policing mergers and acquisitions, it must ultimately be backed by the courts. King is defying their authority. Who the fuck does this jumped up clerk with a modest leaving certificate think he is? Does he think that buying into Rangers conferred him with gravitas? Is he believing his own lies that he qualified as an accountant in a fictitious tertiary education establishment?

The prosaic facts of the matter is that King is playing a shell game with New Oasis Asset Limited (NOAL) In the audited accounts to 30 June, 2016, it unequivocally states:

New Oasis Asset Limited is a company controlled by the Group Chairman, Mr D. King.”

When King asserted to the TPE that NOAL was the shareholder in RIFC he was for once being truthful. However with King a lie is never far from the surface. He further stated that he had no executive authority at NOAL This flies in the face of his statement in the audited accounts. Are Campbell Dallas, the auditors of  RIFC, comfortable with King’s revisionism?

King who has a brass neck that a Bunsen burner could not mark had the audacity to ask the TPE if NOAL could make the offer for the shares that are not within the concert party’s gift. The TPE agreed. No offer has been forthcoming.

King should be behind bars. Is Ibrox the only place in the U.K. where criminal behaviour is expected, accepted and lauded?

The TPE is being represented by a real legal heavyweight. James McNeill QC. was the standing junior counsel to the Inland Revenue in Scotland from 1988 to 1991. He was appointed as a Judge in the Courts of Appeal of Jersey and Guernsey in 2005 .

McNeil asserted that the information in King’s affidavit shows a link between King, Glencoe, Sovereign and NOAL. Counsel for King rebutted by asking how the Panel could expect King to make an offer with no access to funds. King is arguing that he has no access to ‘freed’ capital and that he is at arm’s length from executive authority in onshore and offshore discretionary trusts.

Forgive me if I demur. The following is an excerpt from the notes that accompanied RIFC’s audited accounts to 30 June 2016:

On 22 May 2015, the company entered into a loan agreement with New Oasis Asset Limited totalling £1.5m repayable in December 2015. Since this date, this loan has been available on demand and New Oasis Asset Limited has advised that they will extend the facilities available whilst the funds are required by the Club. In December 2015, a further loan facility of £3m was agreed, of which £2.2m has been drawn down at the year-end. This amount remains outstanding at 30 June 2016 and is due for repayment in December 2017. New Oasis Asset Limited is a company controlled by the Group Chairman, Mr D King. No interest or fees are to be charged in respect of the facilities and the loan is being provided on an unsecured basis.”

King’s affidavit is a farrago of lies. According to the audited accounts King had no problem disbursing ‘freed capital’  from his discretionary trust.

Davidson, acting for King, asserted that shareholders were not ‘chomping at the bit‘ to sell their equity in RIFC to King at 20p per share. Club 1872, having been given a bum steer by the multi-hatted conveyancing consigliere, paid 27.5p for their latest shares acquisition. However as the shares are unlisted they effectively are only worth what a third party is prepared to pay for them. More fool Club 1872 to pay more than King did.

What Davidson is driving at is that the shareholders would have their equity devalued by an offer of 20p. They would effectively be more disadvantaged by an offer than they would if King continued to flout the edicts of the TPE. Interesting argument but I cannot see this establishing a caveat in concert party regulations.

McNeil for the TPE established that correspondence between George Letham and King confirmed that the former had advised King not to breach the 30% threshold. King, buoyed by the success of driving a coach and horses through South Africa’s regulations to acquire 75% of MMI in his daughter’s name, thought that he would get away with it. David Somers thought otherwise and duly reported King to the TPE.

In his final submission of day one, Davidson begged the indulgence of the court. He stated that the situation is stark. He inquired:

Does the court have discretion? If it does what discretion does it have?”

Can the court just deem that it’s in no-one’s best interest to compel King by Court edict to buy the shares? Nice try Davidson but Lord Bannantyne did not come down in the last shower.

I cannot foresee any set of circumstances (predicated on the evidence) where King will not be compelled to act or face the consequences.

The hearing continues today. On a final note what do the Gullibillies now think of King’s boast that he would put up half the quantum of £50m to rebuild Rangers Lite? Are they minded to play King’s shell game?

 

 

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49 thoughts on “A Rogue’s Charter”

  1. I fear King will indulge in some high level double talk and the sevco themed band wagon will just keep a rolling along.

  2. My thoughts exactly. Especially given that his QC seems to be working off pretty thin gruel. I hope he got funds up front. If King loses this he’ll never set foot in the UK again. He will never comply so will be in threat of jail. An unpaid QC invoice will be the least of his problems.

    To claim first off ignorance is no defence and lack of “free” funds equally no defence.

    The city rules have legal backing now and aren’t really up for debate in court, the rules are the rules.

    If kKng wiggles out of this then he is truly charmed.

    1. There is an extradition treaty between the UK and South Africa and it has been used both ways. A quick look at Ibrox fan forums and their contributors are still backing Dave King with any dissent quickly put down. I hope there’s a verdict today rather than in a month or so.

  3. This tweet from yesterday’s proceedings seems to have gone fairly unnoticed but raised an interesting point:

    “DK counsel asks whether Panel could have considered whether DK had funds to make offer or could they ensure compliance in another way?

    To me, this seems to be an underlying suggestion/appeal that “compliance in another way” would be for the other members of the concert party to fund the offer and if that’s the case then King is clearly throwing Park, Letham et al under the bus!

  4. So King’s pleading poverty via his counsel and is asking the court for ‘discretion.’
    Had to laugh out loud when his counsel opined that not everyone was au fait with takeover panel rules and obligations.
    This is directly aimed at the level of shareholding which an individual or concert party can hold without having to make an offer for the remaining shares.
    Basically King’s counsel is claiming that his client is a moron and had no idea that he was breaching any rules.
    Ah but says the TOP counsel, what about Letham ‘ s email where he very clearly warns the moron of the danger of increasing their shareholding and breaching the limit.
    Once again King’s lies and deceit are being laid bare before another audience.
    Trying to distance himself from NOAL, yet again, is hilarious given the reference to NOAL in the 2016 audited accounts…….by the way where is the 2017 version, Celtic having published their’s about a month ago covering the same period?
    As any decision by the judge will set a legal precedent we may have to be patient before judgement is finally passed.
    Meanwhile over at Hampden the executive toilets have never been so busy.

  5. And still Sevconians are claiming that the reporting of this scandalous rogue, and his practices, is “anti Rangers”.

    How stupid and stubborn do they have to be to not realise that they are being conned and royally shafted by “one of their own”.

    The only set of supporters in the world who willingly support and staunchly defend criminals and illegal practice and, in so doing, blame others.

    I can’t even begin to understand that sort of mind set.

    1. Apart from discussion by interested folks on sites like this and a few others … There has been absolutely NO reporting of this story anywhere. That I find more telling!

      1. Biz News South Africa:

        In September 2013, Joburg-based serial entrepreneur Dave King paid an eye-watering R706m to SA Revenue Services after a 13 year fight. His refusal to accept authority has now landed the JSE-listed MICROMega chairman back in more hot water. He is the focus of a well publicised court case brought by the UK’s Takeover Panel.

        King and his cohorts acquired effective control of the listed football club Rangers FC two years ago at a price of 20p. UK rules require him to make an identical offer to all other shareholders. King refused, arguing that as the market price had since risen to 32p, it was a fool’s errand.

        The Takeover Appeals Board then ordered King to make the offer by April. He refused once more. So a well publicised court case started in Edinburgh yesterday, one which is turning into a huge embarrassment for the serial entrepreneur. Specifically because of a boast before becoming Rangers chairman that he would inject £30m of his own money into the club.

        Yesterday King’s lawyers admitted their client doesn’t even have the £11m required to make the stand-by offer to other shareholders – much less what he promised. For Rangers fans, that news is likely to enjoy the popularity of a green and white jumper, colours of arch rivals Celtic.

  6. I fear old Davie boy’s chips are up.

    He has gotten too far ahead of himself on this one.

    The business sector requires to be regulated. DK is to become an example.

    He will be ordered to execute undertakings in one way or another. I would expect him to appeal.

    1. To who and on what grounds?

      He has already appealed to the takeover panel and the decision upheld. as JJ states this is being heard in the 2nd highest court in the land and the only way up is to the Supreme Court. You need very good reasons to even be allowed to appeal there.

      No, he might well spin and bluster but an order, whatever it is and probably not made for a while is final. Failure to follow is contempt of court.

      1. He can appeal to the inner house of the court of session (3judges) before the Omega. But yes he needs a point of law to appeal on.

      2. A terrific post, and one of many successive ones.

        Are we possibly seeing the transition from Succulent Lamb to Sacrificial Lamb and back again here? Sir Scumbag Murray surely awaits his ‘destiny’. I do too.
        If, and it seems incredibly likely to me, the despicable King is the subject of a Court order from the Court of Session, then I see him being hung out to dry by the despicable Scottish Mainstream Media. Of course, this will slightly overshadow the back-door arrival of a despicable Knight of The Realm.
        I’ve no clue as to who it was that coined “you couldn’t make it up”, but by fuck it fits the bill here.
        I, from every last neutron, proton and electron in my being, beseech some form of “higher power” (to which I don’t subscribe) to condemn all the filthy scum involved in this whole saga, expose them, and then burn them. Just hope Bannatyne’s deliberations are fulfilled by the end of the month so that we can burn the culprit bastards on the 5th of November; an act which would be far more deserving of the ’cause’ of Bonfire night than one, Guido Fawkes whom, I daily regret, failed in his ‘true’ enterprise.

  7. when will the sevco team be able to produce enough to pay back these loans? the three bears must feel like drug dealers who have given tick to a smack head who has no way of ever paying them back. time to kneecap this smackhead.

    King is a toxic brand. and once the courts make the offer mandatory he’ll flee. the three bears and the hong kong consortium will be left with nothing, no recourse, and a company with worthless assets.

    when push comes to shove, they really shouldnt have lifted the phoenix from the ashes becomes its become clear its more frankenstiens monster.

  8. Could you imagine being sentenced to six months in prison and telling the judge sorry I don’t have the time to spare?

    He’s sentenced to stump up £11m. If he doesn’t do it then jail him.

  9. Good morning JJ,
    I note that you have based today’s blog around the two paragraphs in the RIFC accounts which I drew your attention to yesterday.
    Whether you had already picked up on them prior to me pointing them out is a moot point and matters not a jot.
    What I really fail to comprehend is why King would allow the auditors to link him to NOAL in such an unarguable way.
    Unless,of course, his conceited arrogance exceeds his inflated ego and he really thinks he is Superman.
    As ever,stay safe,Irishboy.

    1. He clearly tells different people different stories to suit himself. Sometimes to inflate his ego and sometimes, on the defensive, to protect himself. Clearly one version is a lie as both cannot be truthful.

      He tells TRFC fans and others that he controls NOAL. In court he says he doesn’t, yet evidences proves he does.

      Is he being a Glib and Shameless liar in his court statements? Is he a mendacious witness reverting to type? A South African judge found him to be so.

    2. I can confirm that under OECD regulations when it comes to trusts ‘beneficial owners’ are considered to include the Settlor, beneficiaries, trustees and protectors/enforcers etc as well as any other party exercising control. Where any of these parties are corporate vehicles or other trusts, examination for control looks through these until it hits natural persons. Since Mr King is both settlor (indirectly) and beneficiary he most assuredly does have control within an international tax compliance prism. While the trustees effectively make decisions for the trust it’d be absurd to opine that he cannot exert heavily influence on recommendations and transactions. He’s the one who pays the Trustee fees from the settled funds and can move the trust to a new administrator.

  10. JJ

    No doubt you have seen this tweet:

    “Alasdair Lamont‏Verified account @BBCAlLamont 49m49 minutes ago
    More Alasdair Lamont Retweeted BBC Sport Scotland
    I’m not at the second day of this I’m afraid. Sure there’ll be updates later in the day though.”

  11. The solution here seems simple. Order King do to what he’s told or face sharing a Peter with Bermondsey Bob for a year or two. Surely his family would ride to his rescue and release the necessary funds from their trust. Surely. Wouldn’t they? Mmmmm?

  12. If, as expected, the wheels come off King’s caravan today, I can’t see the Hong Kong dogs stop barking till they get their loaned money back!
    Squeeky bum time for the 3 Bears and anyone else financially involved at Snake Mountain!
    Or could it, in future, be known as The Nags Head (courtesy of the Godfather)?

  13. Has Alistair Lamont’s tweets reporting the facts from yesterday been too much for someone to bear?
    Very strange that on day 2, where potentially a judgement could be made, Alistair is not in the building, quite bizarre in fact.

  14. If, as King asserts, rifc shareholders would have no gumption for a 20p offering, then the max £11m would not be needed.

    Perhaps he’ll only have takers for £2m which surely he can afford.

    He really shouldn’t be in the game of takeovers if he cannot afford to be there.

      1. I say give him the opportunity to prove his assertion that no one would sell to him at 20p.

        Surely that assumption is a reason to proceed with an offering not stop it.

    1. King states on RIFC plc accounts that he controls Noal.

      King states on the TRFC website that he controls Noal.

      His emails prove he controls Noal.

      I’m sure he’s had chats with people stating he controls Noal.

      He’s quoted in the press stating he will invest £30m from his family trust. (Noal).

      Veil pierced by himself five times.

      http://www.dailymail.co.uk/sport/football/article-2588429/Dave-King-commit-30m-ensure-Rangers-return-Scottish-Premiership.html

      1. ‘I’m sure he’s had…’ Speculation is not evidence.
        ‘He’s quoted in the press…’ The Scottish mainstream press…???
        For court purposes, it’s still on thrice, I think.

  15. May I ‘Posit’ that King & The Three Bears may not be on the bestest of speaking terms presently and Christmas cards wont be exchanged, as it appears he’s been thrown under the bus of discontent by the ‘Concerted Party’

  16. JJ

    Has yesterday’s live coverage from Alasdair Lamont of BBC Scotland been far too much for the PR Guru from a “High Level” to take and now he has taken over?

  17. Thank goodness there are guys like you keeping us up to speed with these shenanigans. The SMSM should be hanging their heads in shame. Surely this is a massive story in the public interest?

    1. As a legal and business case alone it deserves massive publicity as it is a uk precedent. Therefore even more important in Scotland.

      As a sporting and football club story it is truly massive.

      It’s bigger than the court of session ruling Rangers FC were not relegated, demoted or sent down the leagues.

      That Green’s new Rangers applied for entry to the SFL and were admitted.

  18. The SFA and SMSM squirrels to distract from the Dave King trial.

    Thursday:
    SFA sack Strachan

    Friday:
    Malky MacKay appointed as interim Scotland boss for next game.

    News bulletins filled up.

    Clearly MacKay was sounded out Monday, Tuesday, Wednesday…. terms agreed and offer made before they even sacked Strachan.

  19. Whomever is responsible for ‘pulling’ Mr Lamont for the King expose needs to be named and shamed. The smsm are sure the dregs of society, the type of people who wouldn’t look out of place selling double glazing. I look forwards to a time when there is no smsn, when they lose their JOB , they then lose the HOUSE and the respect of their CHILDREN, then the love of their WIFE diminishes, til all they are doing is looking through an empty bottle of whisky and that’s well before Elevenses. Their pain and suffering will bring me joy. Sad but TRUE. 🙂 Karmas a bitch especially when you’ve sold your soul. “LICKSPITTALE” seems so apt.

  20. “Lord Davidson also said that before making an order in favour of the panel, the court may have to hold a hearing into Mr King’s finances.”

    What’s the chances Lord Bannatyne does not do this and this issue forms the point of an appeal?

    http://www.dailyrecord.co.uk/news/scottish-news/penniless-rangers-chairman-dave-king-11337005

    Personally, I don’t believe King’s wealth is the issue. It’s complying with the law that’s the issue regardless of wealth.

  21. I see Milky McMoron got the interim Scotland gig.. A racist by SMS. Another shameful decision. Can we not get rid of these fucking idiots at Hampden.

  22. “Rob”- “a massive story in the public interest” it certainly is but not when said story would be to the detriment of the blue hordes and their friends in the SMSM. Can’t have anything untoward going on down Ibrox way brought out into the open now, can we?

  23. King was a Director of Old Rangers FC for over ten years before it died in 2012. He was part of a Board that ran complex illegal tax scams and incompetently overspent racking up scandalous bank debt.

    He is not a poor innocent businessman at all. He is a sharp practice operator shark.

    He made a dodgy claim with BDO as a £20m Creditor of RFC when in fact he had been a Shareholder. Is that a deliberate corrupt claim? Just like a dodgy insurance claim? You get jailed for that.

    He has also been a director of numerous other companies including in South Africa. He knows his duties as a director in the UK well. He knows the companies Act well. He knows about 30% thresholds for takeovers.

  24. If someone else has pointed this out I apologise.
    It would seem that David C King is an incorrigible liar. Okay, nothing new here.
    It would seem that King has lied in Court over his finances and control (or otherwise) of NOAL.
    As far as I’m aware, lying in Court is CONTEMPT of that Court, ergo, King could be incarcerated for these two days in Court alone. Please correct me if I’m wrong.
    Please don’t correct me here, I really don’t want to be wrong.

  25. What use would it be to rangers if say 2-3 million shares are bought back shares are worthless . rangers coned the investors at start of season 2015 by saying things like we are back, and would be in the champions league by 2016-/17 and all moneys would be payed back . the three bears if you like, have just found out their house was made of straw, from tales from the smsm who played a blinder by giving the fans false hope 2or 3 million sold shares takes money away from rangers, but first has to show he has the £11 million to kick start the ball rolling, and if by luck he shows it. the fans will harp like hell to get it of him lol

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