Bolton and Bury games likely to be suspended....latest update, what a mess.

[wrinkly]

Wan. The way you and Winkly describe it is more or less how in understand it.
But at the end of the day money was taken out of the football club after loans were made to it without Bury actually receiving the money plus huge arrangement fees were paid whereby no one knows who the recipient was. Reports in the press suggest this was £400k and Bury were also left to pay these

The owners business may have gone bust but not before money was still siphoned out of the club with Bury having to pay off the loans.
It is because Bury are left carrying the can that no other investors will touch them and not because someone's business empire has collapsed.

Winkly? ffs! has the wife been talking?

[WanChaiMiller]

The FT article - its behind a paywall.

"Troubled property development schemes spearheaded by a financially stretched former football club chairman account for almost a fifth of the money owed to investors in collapsed peer-to-peer lending platform Lendy.

The P2P platform, which had offered retail investors a 12 per cent return before it failed in May, extended £27m of loans to companies controlled by Stewart Day, the former chairman of Bury Football Club, that have since gone into administration, according to Companies House filings.

Lendy has £152m of loans that are yet to be repaid, including the £27m that was borrowed by Mr Day’s companies to build student flats in various British cities, a spokesman for the Lendy’s administrators RSM confirmed.

Since its launch in 2012, Lendy raised more than £400m from investors to extend to property developers who were considered high risk by high street banks. But its users may not have realised they were funding Mr Day, who oversaw £8.3m of losses at Bury between 2014 and 2017, or understood the concentration of his projects in Lendy’s loan book.

The P2P platform’s website rarely identified the people behind the developments it marketed as lending opportunities, according to project listings that remain on its website.

“If investors are not being told exactly to whom they are entrusting their capital, then they will be exposed to more risk than they know about,” said Russ Mould, investment director at stockbroker AJ Bell.

Adam Bunch, a Lendy investor who said he had put “a six figure sum” into loans arranged by the platform, said: “You could never see who was behind the loans so it was hard to find out if there was any major concentration of risks, but the impression from the website was that the portfolio was suitably diverse.”

Mr Day, who could not be reached for comment, sold his stake in Bury FC to new chairman Steven Dale in December.

A group of companies linked to Mr Day was by far Lendy’s largest borrower, the RSM spokesman confirmed. The P2P platform lent £27m to five companies controlled by Mr Day that were attempting to build student flat developments in Bradford, Huddersfield, Cardiff and Glasgow. Most of the buildings are part-finished or did not begin construction.

Mr Day also relied on other P2P lenders to fund his property developments and Bury FC, which on Thursday agreed a company voluntary arrangement with its lenders to stave off insolvency after struggling to pay players’ wages.

Capital Bridging Finance Solutions, a Liverpool based P2P lender, holds a £1.6m mortgage over Bury’s grounds that was arranged during Mr Day’s tenure as owner and chairman of the club.

In 2016, Capital’s investors also lent £333,000 to Mr Day’s holding company Mederco Limited, which is in administration, secured on a car park in Bradford. A spokesman for Capital could not be reached

Lendy’s investors face losing up to 93 per cent of their money, RSM said this week, because a large proportion of its outstanding property development and bridging loans have entered insolvency proceedings.

The platform, which was started by Portsmouth entrepreneurs Liam Brooke and Tim Gordon in 2012 and rose to prominence as the sponsor of the Cowes Week annual regatta, collapsed after the Financial Conduct Authority froze payments in and out of its accounts because of serious concerns over its business model.

The FCA had authorised Lendy to do business, which was a coveted status for P2P platforms who often started out as unregulated entities, when its financial situation was already strained, according to a report by RSM published this week. This led to the regulator being criticised by former City minister Paul Myners for taking a light-touch approach to P2P lenders in order to foster financial sector innovation.

[flourbasher]

.....and more information about the appointment of S Dale as owner.
This just beggars belief.........read on........



A worrying 43 of the 51 companies Dale has been associated with have been liquidated.

Dale had promised to work closely with the community to ensure the club became financially viable after years of cash problems.

The EFL admitted they did not put him through the usual process of due diligence when he took control because the club's future was under threat at the time.

Dale had wanted to sell the club, and initially came up with an asking price of £2million.

There were reportedly four interested groups looking to buy Bury, but a deal could not be agreed with any of them.

[sawmiller]

.....and more information about the appointment of S Dale as owner.
This just beggars belief.........read on........



A worrying 43 of the 51 companies Dale has been associated with have been liquidated.

Dale had promised to work closely with the community to ensure the club became financially viable after years of cash problems.

The EFL admitted they did not put him through the usual process of due diligence when he took control because the club's future was under threat at the time.

Dale had wanted to sell the club, and initially came up with an asking price of £2million.

There were reportedly four interested groups looking to buy Bury, but a deal could not be agreed with any of them.

Isn’t there supposed to be a fit and proper test ?

[Karl998yr]

And the saga rumbles on

'Consortium 'has £7m to save Bury''
http://www.skysports.com/share/11796315

[PerigordMiller]

.....and more information about the appointment of S Dale as owner.
This just beggars belief.........read on........



A worrying 43 of the 51 companies Dale has been associated with have been liquidated.

Dale had promised to work closely with the community to ensure the club became financially viable after years of cash problems.

The EFL admitted they did not put him through the usual process of due diligence when he took control because the club's future was under threat at the time.

Dale had wanted to sell the club, and initially came up with an asking price of £2million.

There were reportedly four interested groups looking to buy Bury, but a deal could not be agreed with any of them.

The EFL admitted they did not put him through the usual process of due diligence when he took control because the club's future was under threat at the time.

That was exactly why they should have done their job!

[mellowmiller]

Bolton have now been saved. Sale confirmed.

[Brin]

Bolton Wanderers' survival has been secured after Football Ventures (Whites) Limited completed its protracted takeover of the club.

Administrators had warned that the club could be placed into liquidation on Wednesday without a finalised takeover.

It looked to have collapsed on Monday, leading to bleak warnings about the future of the 145-year-old club.

"I'm delighted we've finally reached a satisfactory conclusion with the sale," said joint administrator Paul Appleton.

"I have every sympathy for the staff, players and fans who have been forced to stand by while their club was taken to the brink. I am delighted their loyalty, dedication and patience have finally been rewarded."

[crashbang]

How they have next to nowt.?
It will all go tits up again

[flourbasher]

The EFL admitted they did not put him through the usual process of due diligence when he took control because the club's future was under threat at the time.

That was exactly why they should have done their job!

But Perigord see below. They did everything they could have done......
.
Debbie Jevans, CEO of the EFL, said taking the decision to expel Bury from the Football League left her "absolutely devastated" but insisted "we did everything that we could".

Perhaps they're in the wrong job.