Quotes Of The Year, Part One Executive Transactions Names In The News Mayne-Nicholls: England Bid Was Best Tour Of Ireland Could Return In 2016 LTA Prize Funding Cut Sparks Fury Qatar Eyeing EPL Tottenham Hotspur Levski Sofia: Salaries 75% Of '15 Budget Subway Ramps Up Liverpool Sponsorship Wanda Emerges In Infront Media Auction
SBD Global/June 20, 2013/FranchisesPrint All
Accounting firm BDO has "been appointed as the administrators" of Scottish Premier League side Heart of Midlothian, as the club "formally entered administration" Wednesday, according to Angus Howarth of the SCOTSMAN. BDO "will take control of the financial affairs of the Tynecastle club two days after the club announced their intention to go into administration." Hearts "had hoped to appoint KPMG," but the administrators of its major creditor and part owner Ukio Bankas "objected and instigated the appointment of BDO" (SCOTSMAN, 6/19). The Scotland DAILY RECORD reported given the bank holds a floating charge over the club's assets, including Tynecastle Stadium, its choice of administrator "was destined to succeed and the appointment went through without the need for a court hearing" (DAILY RECORD, 6/19). In Edinburgh, Stuart Bathgate reported Foundation Chair MP Ian Murray warned Ukio administrator UAB Valnetas that there "would have to be a compromise over their twin desires to preserving Hearts as a going concern and defending the interests of Ukio’s creditors." Murray: "They did say that they wanted Hearts to be a going concern -- they have to protect what they have got. What do they have at the moment? They have a club in administration and a stadium worth £4M ($6M)." Murray also insisted that, while various other groups were said to be interested in bidding for Hearts, the Foundation "was the only one to state its aim in public" (SCOTSMAN, 6/19).
BEHIND IT ALL: STV reported former Stamford Bridge CEO Trevor Birch, who brokered the deal for Roman Abramovich's purchase of Chelsea for £140M in '03, is "expected to head up the operation to save Hearts in his capacity as an insolvency expert at BDO." He will be joined at Tynecastle by Scottish Second Division Dunfermline administrator Bryan Jackson (STV, 6/19).
The A$800,000 ($763,000) raised by Australian Football League side North Melbourne Kangaroos at a special fund-raiser "will enable the Roos to pay the minimum salary cap required under the AFL rules this year," according to Jake Niall of THE AGE. The Kangaroos "raised the funds at a function for wealthy backers at Parliament House." The club has confirmed that "some of the money raised will be used to bring its total player payments up to the minimum" of 95% of the '13 salary cap of A$9.14M. Kangaroos CEO Carl Dilena said the club "has been focused on debt reduction, but the function at Parliament House on June 5 was about providing the club with more funding to enable it to compete in football department spending" -- particularly in player payments, where it has been some distance below the stronger clubs, which typically pay about a million dollars more than the Roos -- not counting Sydney's A$900,000 cost of living allowance (THE AGE, 6/19).
German Hockey League (DEL) side EHC Red Bull Munich and Austrian top-division club EC Red Bull Salzburg "will send a combined youth team to compete in the Russian minor hockey league, Molodezhnaya Khokkeinaya Liga," according to MERKUR ONLINE. The minor league, which was founded in '09, "consists of 33 Kontinental Hockey League farm teams." The leauge "has been divided in an Eastern and Western Conference so far." However, it "is possible this will change after the league accepted teams from the Czech Republic, Hungary and now Germany/Austria." If the league is not realigning itself, Red Bull's youth team could play against Khabarovsk, which is around 8,000km from Munich and part of the league's Western Conference. The travel time "would be a minimum of 14 hours via commercial flights" (MERKUR ONLINE, 6/19).
Germán Rodríguez Conchado, the lawyer and legal advisor for Spanish second division side Deportivo La Coruña, has recommended that Deportivo President Augusto César Lendoiro step down from his post. Conchado: "If Augusto wants to stay, it's very likely that he is only delaying his inevitable fall, and the more it is delayed, the more dramatic it will be." Conchado said that during Lendoiro's time as president, "Lendoiro has been overpaid since the end of the '90s until the club's creditors withdrew his salary this year," and Conchado also questioned the presence of Lendoiro's friends within the club's leadership (EFE, 6/19).