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Philip Gordon in The Times tomorrow


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Clear message for Greece and Rangers: do not spend what you cannot afford

£14 million was spent on the Murray Park training gound, named after the former owner, Sir David Murray, pictured SNS Group/Bill Murray

There is a certain symbolism in Rangers’ financial problems being stripped bare for all to see, on the same day that smoke billowed into the sky above Athens as businesses were torched and anger erupted over the Greek bailout crisis.

Just as at Ibrox, Greece is struggling to face the future. The impoverished country and the perilous club share a lot of things in common, that go beyond their beloved blue and white colours. Both have spent too much on projects of vanity and now neither has the money to cover the bills.

The medicine being prescribed — in one case, by the EU and IMF and in the other, by HMRC — is simply too unpalatable to the public who will pay the price for the folly of others. We are unlikely to see copycat rioters hijack the streets of Govan, the way Athens has suffered, but there is a clear message that runs between the two places: do not spend what you cannot afford.

The scale of Rangers’ liabilities is much worse than anyone thought, mirroring the cavernous hole of debt that Greece is now coming to terms with. Craig Whyte, the Rangers owner, stated on Sky Sports last night that the tax bill to HMRC could reach £75 million. That was the sort of sum run up by Dick Adocaat just over a decade ago, as Rangers lavished money on everything from the players to property.

The record £12 million fee spent on acquiring Tore André Flo from Chelsea — way beyond the striker’s market value — and the £14 million spent on the Murray Park training gound, named after the former owner, Sir David Murray, is just part of the evidence that financial prudence was overlooked in favour of excess. It was Emperor’s New Clothes.

The Greeks went on a huge debt-funded spending spree to pay for high-profile projects such as the Athens Olympics, which went well over budget. Greece has also discovered that widespread tax evasion cost the treasury billions of euros. Perhaps, the Greek government should have enlisted HMRC to track down the money, because it has shown a stubborn determination to get the money it claims it is owed from Rangers for the Employment Benefits Trust scheme that was set up in the 1990s to pay players and staff.

HMRC believe that the club misused the scheme and avoided paying significant sums in tax. That is bad enough for the millions of ordinary tax-payers to accept, but if you have run a football club in Scotland and had to waive the chance to bring in new players because you could not afford them, it is unlikely to generate much solidarity from within the football community.

If Rangers do go into administration, they are unlikely to find the hat being passed round Scottish football to provide some sustenance. Gretna went into administration in March 2008, as the club paid the price for a wage bill they could never sustain. The terminal illness of the club’s late owner, Brooks Mileson, created an instant cashflow problem and even though the Scottish Premier League advanced some funds to the stricken club, in lieu of television contract money, it was simply a sticking plaster.

Gretna failed to finish the season. They went out of business, while footballers and ordinary staff were made redundant as the administrators moved in with ruthless efficiency. Motherwell, Dundee and Livingston been down that road before. They all survived, though Livingston were demoted to the Scottish third division for a second bankruptcy in 2008.

Whyte said yesterday that he had taken the decision to embrace administration because it was to protect the long-term future of the club, but no one can make such guarantees. There is a harsh realism out there, that kicked in after the global economic downturn, and few can stake their reputation on anything financial, any more. The Rangers supporters know that with the same clarity as the people of Greece.

The only thing that is guaranteed, is that football no longer has an immunity from paying for the excess of the past. All over Europe, clubs are either on the brink of collapse, or have gone under. Even in sensible places, like Switzerland, the home of banking, where Neuchatel Xamax have just been stripped of their licence and thrown into the fifth division because the owner had not paid social security bills or players’ wages.

Perhaps, Neuchatel got off lightly. Two clubs that Rangers supporters will recognise after playing them in European competition, have suffered the ultimate price. Strasbourg are no more. Unirea Urziceni, no more. Demoted for financial mismanagement, then wound up last summer. Rangers must hope their tale has a different ending.

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I do not want to pre-empt Phil Gordon's article; however, he is a journo with considerable previous. He began on the Evening Times as a slavish on message type to all things Sellik. Wee Phil did not take kindly to being branded less than objective and began appearing on STV news at the behest of Jim Delahunt, they would talk upcoming fixtures. Wee Phil regularly appeared in a green and gold tie which he proudly proclaimed was his treasured St Aloysius FPs neckware. A few years later when Elmer Fudd took over ra Piggery, wee Phil made it official; he accepted McCann's offer as ra Sellik's Media Chief ie he produced and edited ra Sellik's newspaper, programme, and the burgeoning Sellik TV.

I believe his soubriquet among his colleagues was, 'wee poison pen Phil'.

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His article is sensationalist. The title is as unhelpful as any that Speirs would have written when he was there. All these guys are showing themselves now. Circling around a wounded animal.

Interestingly, when Spiers moved to the Thunderer some 4 years past, wee Phil took the right huff. I believe there was insufficient room in the shared office for both to fully display their considerable aray of Rangers hating accoutrement. Wee Phil felt(and he never missed an opportunity to tell any colleague prepared to listen) that ra Bhoy in Corduroy cramped his well conditioned style.

Wee Phil did confirm that Spiers did suffer from an acute BO problem.

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