New beginnings - 25% Truth, 80% Bollocks

[Bennett]

The trust's september statement when the shareholding issues came to light says:

"An example of this is Friday’s agreement to allow a representative from the Trust Board to review the financial records and accounts of the Club, something which goes above that previously agreed and probably unheard of at other Clubs"

https://truststfc.com/2023/09/19/share-transfer-and-ownership-statement/

Which has changed to "clear analysis" to be shared by December.

[ChalkyWhiteIsGod]

Could it simply be his ego? He's always banged the drum of owning the club 100% and maybe he didn't want to lose face by admitting he had to seek alternative investment. Whatever the actual reason, it was a pretty dumb way of going about it, especially given the open and transparent rhetoric that's basically now shattered.

Definitely more to it. Remember when someone asked about Chris Kiely and the most we could get was "uuuuuuhhhhh, he gives us good data". Wouldn't surprise me if Adam Hart is involved.

[RobertT]

If you simply apply basic logic, a fairly reasonable explanation can be found for why this all happened the way it did.

1) The potential sale of the CG and signing of a 298 year lease was coming to a head
2) That would involve the club receiving a sizeable asset
3) Power has purchased the Debentures from Black/Arbib
4) The Debentures were secured against any and all assets of the business - it was about to get one
5) Power knows the Debentures are about to have some real value and calls them in
6) Clem knows he has two options - a) pay Power and get his hands on 50% of the ground for FREE, or b) walk away from the deal and let the Trust/Eady take the ground in it's entirety, but Power likely walks away for the time being given the club has no assets to call in.
7) Clem decides the value of the ground is greater and finds a quick way to grab the cash to settle the debt, but is also well aware that if he transfers shares he'd need to tell the EFL and Trust/Eady (the former because of regulations, the latter because the deal on the ground demands it).
8 ) Clem decides to proceed but needs to keep it quiet for as long as possible, to ensure the deal for the ground proceeds smoothly

I reckon he part hoped, like he tried to do with Zav being appointed as Vice Chair, that everyone would just stop paying attention.

At all times, in this scenario, Clem has choices, it is not forced upon him.  Everything he did was calculated based on the risks and potential outcomes.  

His method of operating, possibly from the industry he works within, is nearly always the 'dodgy" route.  Lots of nods and winks, not least his original investment into the club.  It's why Power would have done business with him in the first place.  I mean, look back to his first days - the idea to pressure people to not ask for refunds on season tickets.  Who comes up with an idea like that?  The sort of person who has a very malleable moral compass when it comes to business.

[Mooneyraker]

If you simply apply basic logic, a fairly reasonable explanation can be found for why this all happened the way it did.

1) The potential sale of the CG and signing of a 298 year lease was coming to a head
2) That would involve the club receiving a sizeable asset
3) Power has purchased the Debentures from Black/Arbib
4) The Debentures were secured against any and all assets of the business - it was about to get one
5) Power knows the Debentures are about to have some real value and calls them in
6) Clem knows he has two options - a) pay Power and get his hands on 50% of the ground for FREE, or b) walk away from the deal and let the Trust/Eady take the ground in it's entirety, but Power likely walks away for the time being given the club has no assets to call in.
7) Clem decides the value of the ground is greater and finds a quick way to grab the cash to settle the debt, but is also well aware that if he transfers shares he'd need to tell the EFL and Trust/Eady (the former because of regulations, the latter because the deal on the ground demands it).
8 ) Clem decides to proceed but needs to keep it quiet for as long as possible, to ensure the deal for the ground proceeds smoothly

I reckon he part hoped, like he tried to do with Zav being appointed as Vice Chair, that everyone would just stop paying attention.

At all times, in this scenario, Clem has choices, it is not forced upon him.  Everything he did was calculated based on the risks and potential outcomes.  

His method of operating, possibly from the industry he works within, is nearly always the 'dodgy" route.  Lots of nods and winks, not least his original investment into the club.  It's why Power would have done business with him in the first place.

Good summary. Most plausible.

Which makes you wonder why the Eady Trust/Council/Trust haven't kicked up a stink. Or perhaps they have.

Either way, you get the Poirot nod for today.

[RobertT]

The Trust/Eady probably have had words, but the agreement is not really enforceable in any way, not financially or legally any way.  They can only enforce/prevent the sale of the asset itself, not the ownership of shares of the business that owns the asset.  STFC Ltd must own the ground and lease, but anyone can own STFC Ltd.

[Mooneyraker]

The Trust/Eady probably have had words, but the agreement is not really enforceable in any way, not financially or legally any way.  They can only enforce/prevent the sale of the asset itself, not the ownership of shares of the business that owns the asset.  STFC Ltd must own the ground and lease, but anyone can own STFC Ltd.

If they had included a clause that said "I hereby confirm I am the 100% owner of STFC" could the agreement have been voided if it turned out he had lied?

Not my area of expertise.

[The Artist Formerly Known as Audrey]

You’d hope that due diligence had been done before handing 50% of the CG to Clem. Surely the Trust, via the JV, hold the trump card of stalling on anything to do with the CG that may make Clem a fast buck,

[RobertT]

You’d hope that due diligence had been done before handing 50% of the CG to Clem. Surely the Trust, via the JV, hold the trump card of stalling on anything to do with the CG that may make Clem a fast buck,

I believe it went back and forth between lawyers for both sides, at least that is the impression the Trust gave before the deal was signed.  It's tough to word something in a way that covers every eventuality without creating a situation where the other party walks away.  I think they landed on STFC Ltd being the owners, as a legal entity.  That legal entity is almost certainly precluded from selling the ground without gaining a majority decision to approve from the JV board.  What they did not do, and likely found they were unable to do, is have such a measure in place around the ownership of shares in STFC Ltd.  A good solicitor for the club would argue that places restrictions on the business which would simply become too onerous.  If the club needed to seek investment to cover a shortfall in Opex for example, it could be prevented from doing so through equity disbursements.  A valid course of action for a business to operate.

[The Artist Formerly Known as Audrey]

Flynn

‘ This has been ongoing and is nothing new. We have been aware of the possible sanctions for a while, so that has been dealt with. I don't think it will hamper the budget. There was talk about a points deduction, I have never heard of that. That is putting two and two together and getting five.

We are better as a club and as a team when we stick together. We all get frustrated at different things, but when they are behind me it gives me a stronger belief that we can do something. I do think that off the pitch, the club are getting through a lot of the things that they have to get through.’

[Power to people]

Flynn

‘ This has been ongoing and is nothing new. We have been aware of the possible sanctions for a while, so that has been dealt with. I don't think it will hamper the budget. There was talk about a points deduction, I have never heard of that. That is putting two and two together and getting five.

We are better as a club and as a team when we stick together. We all get frustrated at different things, but when they are behind me it gives me a stronger belief that we can do something. I do think that off the pitch, the club are getting through a lot of the things that they have to get through.’

I think Flynn needs to be concerned with on field matters and leave the off field for those upstairs, he don't want to be getting involved there - I can see why he comments but equally it is not his area to comment

As for not affecting his budget, he doesn't know the size of the fine yet, we may need need to sell a player to pay it - although, it is never said how long the FL gives clubs to pay

[Batch]

He was probably just asking a direct question tbf

[Jimmy HaveHave]

Saw this Kings Lynn F.C expenses sheet love to see a STFC one😁

[tans]

Saw this Kings Lynn F.C expenses sheet love to see a STFC one😁

Banbury took 10 fans and it was still segregated

[Jimmy HaveHave]

Banbury took 10 fans and it was still segregated

 

[ChalkyWhiteIsGod]

This just in Linda Adams on facebook says if you get Clem out, there won't be a club. Why haven't I offered a few million to invest in the club if I know it all. Also, she hopes Clem takes the trolls to court.