QuoteTuesday April 12th 2005
SHAMROCK Rovers may be forced to drop out of the Eircom League unless an interim examiner is appointed, the financially beleaguered club has warned.
The club, which has debts of over €2.36m, is so cash-strapped that a supporters' club last week paid the players' wages.
Yesterday the football club went to the High Court to make an application for the appointment of an interim examiner. The application was refused but will come before the court again today.
If appointed, an examiner would keep the club running while investigating the viability of the business. He would decide whether to put the company into receivership or liquidation.
Anthony Maguire - a director of Branvard Limited which took over the club in 1996 - told the High Court yesterday that the club had become an institution for successive generations of Dubliners. He added that it had a reputation internationally and domestically not rivalled by any other Irish team.
The club maintains its financial troubles are due to a lack of a permanent home ground. It was based at Glenmalure Park in Milltown until 1987 but since then has been unable to secure new grounds. It currently rents Dalymount Park from Bohemians at a cost of €60,000 a year.
Mr Maguire explained that the club's long-time home ground at Glenmalure Park had been owned by members of the Kilcoyne family who - despite fierce opposition from fans - sold it for development.
The appointment of an interim examiner was supported by the 400 Club, a fund created by Rovers supporters to contribute an agreed annual amount to help the club. Plans to relocate to a new facility at Tallaght have bogged down in planning difficulties and the club has now broached the possibility of moving to Morton Stadium in Santry instead.
However, the club may have contributed to its own difficulties. The court heard that a practice existed whereby it appeared that players had been paid mileage expenses even though transport was provided by the club.
The club has also failed to meet payments to the Revenue Commissioners, who are owed €540,000in PAYE and PRSI arrears, and could lose the right to play in the Eircom League.
The agreement involved payments of €50,000 on December 1, 2004, followed by 20 payments of €18,500 a month commencing at the end of March 2005 and culminating in a final payment of €144,980.
The agreement with the Revenue had been put in place to enable the club to obtain a Tax Clearance Certificate - without which it cannot play in the League.
Various suppliers have issued legal proceedings against the club, as has a former manager who was awarded €30,500 in the Circuit Court after taking an unfair dismissal case.
However, the final whistle may not have sounded just yet for Shamrock Rovers.
An independent accountant believed it had a reasonable prospect of survival if four conditions were met. These include securing a long term home ground, successful completion of negotiations to restructure the company's debts, acceptance of a scheme of arrangement and the appointment of a full-time commercial manager to procure revenue and sponsorship.
Mr Justice Peter Kelly said yesterday he would refuse Branvard's application as there was insufficient evidence showing the company's ability to secure a "neutral" home ground at Morton Stadium in Santry. He also wished the Revenue Commissioners to have an opportunity to be heard on the application.
On that basis, Mr Justice Kelly refused the application but adjourned it to today to allow the club to furnish further evidence on the Morton Stadium option and to allow the Revenue to be represented.
Breda Heffernan
and John Maddock
© Irish Independent
http://www.unison.ie/irish_independent/ & http://www.unison.ie/
Originally Posted by Ringo
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