Club debts pre takeover

[Chris]

There's a lot of talking points regarding the amount of debt that has been floating freely around the club for a number of years, even prior to the Munto takeover. It seems that football auditing of the accounts is quite messy, however with rumours of Mike Edwards not being paid his testimonial money and the talk of millions of pounds of debts - I wondered what people though?

Obviously I imagine much of the debt has now been paid, the likes of what was owed to Ray and of course the HRMC.

4 hours ago, Fozzy said:

To quote myself on the transfers thread...

"The only thing that was missing and disappointing was a dominant centre half, which still evades us for some reason, so I hope that Audel and Duffy develop a decent understanding and neither get injured."

Quoting @Fozzy I wonder just how much the unearthed debts have effected the business we did in the transfer period?

The embargo has held things back, really something that wasn't helpful and for me it was always likely that the club would move quicker with regards to looking into the loan market.

On paper much of the news seems completely unnecessary.

There was talk after the Munto saga that the Football League had to address the 'fit and proper' owner protocols, I think there's more depth required because the clubs books should really disclose everything (in clear sense).

[TheSkipper]

The club seems to be a complete mess with all the debts, whoever kept the books before must not have kept a very good structure because its hard to see where all this is coming from. How does a League Two team lose so much money? I don't understand where this money owed to Pinnacle Advantage Ltd came from, isn't this the former chairman's business?

Quote

However, Pinnacle Advantage Ltd, who say they are owed £669,640 by the club, then stepped in and became a 'substitute creditor'. These latest proceedings have been adjourned for a date yet to be fixed.

I hope Hardy has a good lawyer and doesn't have all his time wasted with this.

[Anti-Red]

Nearly £700,000? What are they playing at?? Jesus.

[Northants Pie]

All is does show is that the FA's fit and proper persons test wasn't obviously applied to Ray Trew. 

Surely this should be an ongoing check to stop clubs lile outs being saddled with debt.

On another note maybe HMRC should report clubs to the FA and league as soon as the miss a payment not wait over 7 years before applying for the club to be wound up

[allardyces tash]

44 minutes ago, Northants Pie said:

On another note maybe HMRC should report clubs to the FA and league as soon as the miss a payment not wait over 7 years before applying for the club to be wound up

I do wonder if a certain person is pulling all the strings in this department, you out of bitterness?

[liampie]

just what we need

[Northants Pie]

16 minutes ago, allardyces tash said:

I do wonder if a certain person is pulling all the strings in this department, you out of bitterness?

Eh?

[Dripsey3]

Pinnacle Advantage. They have a London address. One of the directors is Mr. Trew. Is this the company mentioned above? One of the other directors is Michael Negus-Hill. That name rings a bell. Must check.

[Who r ya?? You Pies!!]

Spaghetti indeed , a real mess not to go over old ground but if you own , you have a duty of care to take care of business and pay the bills , well done AH for your ongoing hard work sorting out the mess of others .

[Dripsey3]

Luke Michael Negus-Hill. Former Notts Ladies Chief Executive. Pinnacle Advantage are an accounting firm in simple terms. What a tangled web indeed!

[Piethagoram]

In takeovers, it is normal to put a sum aside in escrow for a year  to cover undeclared amounts and contingencies before being paid to the previous owner. Just hope Big Al's lawyers and accountants have protected him in terms of potential High Court proceedings etc

[Riverleeno]

from the post

Hardy has told the Post his advisors are trying to agree on a settlement with the administrators for Pinnacle, which was put into liquidation last July.

"We were aware of this debt and my advisors are in close negotiations with Pinnacle to arrange a settlement," he said.

"It hasn't been dropped on us - it's all been part of a long-running process.

 

Read more at http://www.nottinghampost.com/notts-county-in-close-negotiations-to-settle-debt-of-more-than-650-000/story-30115927-detail/story.html#a1L74pZHe4MQE0BT.99

[Chris]

Well, It's nice to Alan Hardy showing transparency and by doing so taking the sting out of the drama created by the source making it seem like new news.

[Who r ya?? You Pies!!]

Think from what I've read elsewhere NCFC were an asset worth 700k on the accounts of one of the Pinnacle companies and that's what the administrator is calling in , sounds complex to me , don't really get the fine detail if that's what it's all about , but not a new debt thankfully .

[AmericanPie]

The amount of debt reported is shocking but so is the level of reporting, why did the Nottingham Post attempt to scare people into thinking the £700,000 was new?

Thank god I don't have to read it.

[DangerousSausage]

Relax. This is no doubt one of the things AH and RT were discussing in those meetings.

If I were guessing, I'd say that at one point Notts owed 700k to a creditor, which was threatening to call in the debt. So RT lends the club 700k through one of his companies, and NCFC uses this to pay the debt. The result is that Notts owe 700k to RT's company (Pinnacle) instead, but can now take their time paying it back.