An amendment to charges on Hull City Tigers has taken place today. Filed at Companies House by ROLLITS electronically, it looks from what I Can see to remove charges that ALLAMHOUSE have over transfer fees receivable from a number of other clubs. Someonelse may care to look and see if they agree my interpretation. I Guess the debt might have consequently been reduced ahead of any sale?
Never mind. It's here for those who want to see it, as far as I can make out it's a move to transfer the incoming funds from the clubs mentioned to the Allams. That's with no legal knowledge at all. https://s3-eu-west-1.amazonaws.com/...usmt/M40EW1NOvWQEqzBve3vto+16UroCqYYg58eUuAU=
My reading of these (with no legal knowledge but some understanding of Companies House) would be that the 'assets' have been removed from the list of charged assets as they no longer exist ie have been paid so can no longer have a charge over them.
I agree. IT appears to remove these transfer fees from the existing charge, which is why I am assuming that the clubs debts to Allamhouse have reduced
Reads to me that they're transferring owed incoming transfer fees & incoming Premier League money to themselves & in doing so paying off the club's debts. Taking back their gift.
Yes, they were only loans. The gift thing concerned developments near KC if they were given the stadium.
WTF All a charge is, is a claim against an asset. To protect a loan. No assets, no need for the charge. I'd suggest we have received the payment and the charge is removed for good housekeeping. You can dream the rest...
So that would help to explain why Bruce has no money available to him as they are taking significant amounts out to reduce their debt, thats how I read the explanations above?
Assem Allam said: "I'm very pleased that in the end we managed to do the deal. We've had some hard times over the last few weeks but I am very pleased to achieve my ambition of giving a present to the Hull City fans and the citizens of Hull and the East Riding
Where does it say where the fees went? they may still be owed. It's like saying 2 plus 2 is 10. For all anyone knows they paid off a debt we had for a player we paid for? This does NOT mean the family have just taken the cash out. It only means they no longer want to hold the charge. Stop making the rest up
It may be a sign that things are about to be changed, but those entries tell us nothing about the debt position in terms of its size. There's two entries today. One covers transfer fees incoming, the other covers PL parachute payments and similar. In both cases the same thing has applied though. Before today the debts to Allamhouse were secured against the incoming money from the transfer fees we hadn't been paid yet (ie installments due) and against future parachute payments. That meant if the Allams ever called in their debts and we were unable to repay it they would (ignoring football authority rules saying otherwise) be able to take that money before other creditors could. As of today (again ignoring the football authority rules) those particular finances now go into the pot to be split proportionally between all creditors if we end up in financial difficulty. ------------------------------------------------------------------------------------------ It effectively means nothing: 1) FA/FL/PL rules say that in the event a club is unable to pay debts they reserve the right to withold transfer fees due and any TV/parachute payment money due to ensure that all football debts are repaid. If the Allams called in their debt it would effectively liquidate us they would do that to cover any football contracts we were unable to honour. 2) Following on from the liquidating idea, if the Allams called in their debts we'd cease to be able to fulfill our fixtures. At that point we would cease to earn any more parachute payments as although they come as a result of being in the PL, one of the conditions is they are earnt as and when we play games, so if we stopped there would be nothing for the Allams to claim. 3) Outside of the football debts Allamhouse must be 99.9% of our debt anyway, so having a right to be paid in full for the sales of some things before other creditors meant nothing. -------------------------------------------------------------------------------------------- Possible reasons: 1) They've realised it meant nothing anyway (unlikely as if it did you'd be as well leaving it there anyway) 2) In terms of the transfer fees entry, they may just have been paid in full now by the clubs we sold players to, in which case there is no fee due from the clubs named and the asset no longer exists. 3) If they were finally selling the club as they promised to 2 seasons ago now they would at some point need to unsecure the debt to themselves, it could be a step towards that. 4) They've no longer got the ability to fund the club themselves, and in order to get outside funding the new creditor requires some security so they've had to release their hold over those assets so they can assign the same condition to the new creditor. 5) 6) 7) Some things I haven't thought of yet I would suggest 4 is the most likely. They said earlier in the season that they only decided to lose money this season by keeping the squad together as much as they have because that money would be repaid next season when the parachute payments increase. That suggests they're at their limit, and ignoring the fact that our parachute payments don't increase next season we're currently running on far lower attendances than they expected from their position in cloud cuckoo land. Needing to find outside finance wouldn't be unexpected, and the lender needing to have some security on the money they lend to the club would be reasonable given the scale of the debt to Allamhouse.
Exactly that is the way I read it - it is not a transfer of money (although they may have done that after receiving the cash - will need to wait for the next accounts to know that)
