Rangers: Creditors face cut after liquidator claim

Charles Green: Craig Whyte battle may go on for another 10 years. Picture: Reuters
Charles Green: Craig Whyte battle may go on for another 10 years. Picture: Reuters
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RANGERS’ creditors face a further reduction in the money owed to them by the club after liquidator BDO and two law firms lodged a claim totalling nearly £1 million.

• Rangers creditors face a reduction in the money they are owed after liquidator and law firms make claim

• Creditor pot could be reduced by almost £1 million if application is successful

The trio of companies have made the bid after claiming five months’ worth of work for winding up the old company last year.

If the application is successful, it will reduce the creditors’ pot from £2.27 million to around £1.3 million.

The recovery of additional legal costs could see the amount left to creditors further reduced.

BDO was appointed to wind up the parent company behind the club, The Rangers Football Club plc, in October.

Duff and Phelps had presided over the club’s administration up until that point since February last year. After the rejection of a company voluntary agreement by HMRC, Duff & Phelps agreed a deal with a consortium led by Charles Green to sell the club’s assets for £5.5 million. The club was sent down to the Third Division last year, but won the title at the first attempt this season.

The liquidator is in line to receive £640,000 for its work, while law firms Brodies and Stephenson Harwood will take nearly £340,000.

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