I wonder why Assem allam didn't allow the OSC to conduct a ballot of City supporters at the Chelsea match. If he had all this who is in the majority would have been over.
Each year we aren't paying him 80,000,000 x 0.05, unless we haven't started paying off the principal of the loan. If we're just giving him interest payments, then yes you're correct, but that hardly makes sense unless he's not interested in recouping his loan and just wants a revenue stream. It's like people just paying the interest on their mortgage, they only do that if they're going to sell the house in 10 years at double the value or something like that. So in reality we've probably got a repayment structure set up where we're giving him maybe 5,000,000 or more a year, so the real maths is Principal for Year 2 = Principal for Year 1 - (Repayment amount -[Principal for Year 1 x 0.05]). Just to use a bit of finance. So each year while we are paying him a constant amount, the amount of interest would be decreasing. Of course that is offset by additional transfers and additional loans. What I don't understand is why there isn't someone at the club who is able to determine whether or not they want to accept these loans. Fairly sure there's something not quite right with essentially loaning personal money and then drawing a return from it. I suppose he owns the company, but it doesn't seem right to me.
In the latest accounts what was said about repaying the loans? Have we made any repayments with the sky money? Either way he is lending us cash and receiving interest from it. So when he loans us an added 14 mill to buy players this shouldn't mean that people appreciate it and accept the name change.
According to the accounts, he has not repaid any of the loan amount, he's just taken the interest. Though he's taking more than your suggesting, the interest is indeed currently £3.6m, but he's getting another £3.6m in tax advantages for Allam Marine and he and Ehab are taking another £1m in management charges. In short, 10% of our total income for this season will go straight into the AA's pockets. Many will think he's deserved it, which is fine, but it does rather dispel the 'gift' claim.
From the YP: http://www.yorkshirepost.co.uk/spor...reat-to-quit-overshadows-record-buy-1-6373689 Allam’s threat to quit overshadows record buy Hull City were last night completing formalities for the club record signing of Nikica Jelavic from Everton – hours after owner Assem Allam threatened to quit the club over his controversial application to change their name. The deal for Jelavic is believed to be worth £6.5m with a further £1m due if the Tigers avoid relegation, eclipsing the club’s previous biggest outlay of £5.25m for Tottenham’s Tom Huddlestone last year. There could be more to follow with the Tigers also pursuing long-term transfer target Shane Long although it is understood West Brom have rejected the latest bid to lure him from The Hawthorns. Despite his evident willingness to boost his club’s Premier League survival bid, Allam chose yesterday to reiterate his hard-line stance over his attempt to change the club’s name to Hull Tigers. Allam warned he will be gone “within 24 hours” if his move does not receive widespread backing, saying: “No one on earth is allowed to question my business decisions. I won’t allow it. I can give you my CV to give you comfort, for what I do in business, what I have achieved, but for someone to come and question me is not allowed. “I’m here to save the club and manage the club for the benefit of the community. It will never, never be the other way round – that the community manage it for me. “But if the community say go away, I promise to go away within 24 hours.” Allam added that the same would apply should his move to have the club’s name changed be rejected by the FA. He said: “Still the same thing. It’s a free country. No two ways about it. Have I ever said something and went back on it? No.” Allam has clashed with supporters over the plans and caused controversy in November when he reacted angrily to lobbying from campaign group City Till We Die by retorting: “They can die as soon as they want.” But Hull fans will have been placated by the imminent deal for Jelavic, who is being allowed to leave Goodison Park by Toffees boss Roberto Martinez in order to pursue his World Cup ambitions with Croatia. Jelavic had fallen out of the first-team picture following the summer loan signing of Romelu Lukaku but still proved he has an eye for goal when he scored two goals in the 4-0 FA Cup win over QPR earlier this month.
OLM, where can I find all detailed account informations? What is the Equity of Hull City? How much did Allam invest through Share Capital? What is the UK law regarding debt overload? When does a company need to file for bankruptcy? I find it everything but convincing and trustworthy when an owner invests a heavy sum into a company through normal loans and not through capital.
If you want to review the accounts in detail, then you can download them from Companies House, it's only a couple of quid.
I doubt he is borrowing at much less than 5% interest. If he's making any profit on it he'll be highly taxed as well. The loses in Hull City will reduce Allam Marine corporation tax as OLM says. He needs Hull City to do well to get his money back. It's going to be difficult to get much higher up the league without spending a lot of money but getting a couple of good strikers and a few more squad players should enable us to have a reasonable chance to maintain mid table in the coming months and years.
