St Mirren call for director to quit over Withey talks

THE St Mirren board have called for the resignation of director Ken McGeoch for showing “commercially sensitive documents” to Rangers company secretary Gary Withey at a meeting which also discussed whether the Paisley club used Employee Benefit Trusts (EBTs) – a scheme used by Rangers which has left them facing a potential £49m tax bill.

Withey, a former partner in the law firm Collyer Bristow, brokered the Rangers takeover deal in May 2011 when Craig Whyte paid £1 for Sir David Murray’s 85 per cent shareholding.

McGeoch and his business partner, Paul Davies are alleged to have met Withey in the club’s boardroom in November.

A statement, published on St Mirren’s website, read: “During the meeting Mr Withey had sight of and inspected commercially sensitive documents of St Mirren FC. At one point during the meeting the club’s general manager (Brian Caldwell) was brought into the meeting and asked various questions including whether or not the club used Employee Benefit Trusts (EBTs).

“As a director of the company, Mr McGeoch had every right to inspect such documents.

“The board, however, consider that his decision to show these documents to an office holder of another SPL club is a serious breach of trust and an error of judgment.

“In light of the information available to the board, they have asked Mr McGeoch to resign his position as a director of the company with immediate effect. Should he fail to do so within the next 48 hours, we regret the company shall be forced to call, at the club’s expense, an extraordinary general meeting of the company to consider this matter further.”

St Mirren were put up for sale in 2009, with a selling consortium established which included chairman Stewart Gilmour.

The board statement added: “The selling consortium of St Mirren directors were not informed of Mr Withey or Collyer Bristow’s involvement with Mr McGeoch until January 2012, at which point it had concerns over the involvement of Mr Withey.”