Rangers to pay jelavic debt

[simplythebest 0]

RANGERS are set to shell out £800,000 to Rapid Vienna and avoid a FIFA court case.

Rapid sold star striker Nikica Jelavic to Rangers in 2010 for £4million and the final instalment of that transfer fee is due to be paid in the next few weeks.

 

And although the settlement figure is around £200,000 shy of the original sum agreed, Rapid chairman Rudolf Edlinger is ready to accept the compromise terms and withdraw the threat of taking Rangers to footballâ??s governing body.

 

Edlinger would not have hesitated to take Rangers to a FIFA tribunal if talks with Charles Green and the Ibrox club had broken down completely.

 

Rapid were worried that they would not receive a penny from Rangers once the club went bust in the summer.

 

But when Rangers returned as a newco, Rapid argued that because the Ibrox side took money from Everton for the sale of Jelavic in January this year, his club were due every penny of the deal that took the Croatian from Vienna to Glasgow two years earlier.

 

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Rapid sold star striker Nikica Jelavic to Rangers in 2010 for £4million and the final instalment of that transfer fee is due to be paid in the next few weeks

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Now Green has held amicable talks and agreed to honour this inherited football debt.

 

Edlinger would not be drawn on the exact details but said: â??A large chunk of the missing monies should be paid to Rapid.â?

 

Rapid will pocket around £600,000 of the money with Belgian side Zulte Waregem receiving £200,000.

 

Zulte Waregem sold Jelavic to Rapid in 2008 and inserted a clause which guaranteed them a slice of the pie from any future deals.

 

There has been a debate around Ibrox about which inherited football debt the new company should repay, with Hearts also due money from the sale of defender Lee Wallace to the â??oldcoâ?? in January.

 

Rapid hope that the loose ends on the deal with Rangers will be tied up in the next few weeks.

http://www.express.co.uk/posts/view/356576

[forlanssister 3,050]

Looks like a debt of the eternal type to me!

[Guest Peasie]

I thought the Lee Wallace deal had been settled already and not waiting until January. Hearts had offered £30,000 off the fee if paid now but Rangers negotiated £100,000 off the bill as Hearts were desperate for the cash to get the wages paid.

[Zappa 0]

Rapid shouldn't get a penny.

[Davie P 4]

Apologies for using these terminologies, but it makes it easier to differentiate. Did the payment from Everton for Jelavic go to Oldco and was this done as a lump sum i.e. no installments, cash up front? If there is no benefit to newco, why should we be responsible for any debt that oldco incurred?

[Davie P 4]

Is there any precedent for a newco incurring the debt of an oldco. What happened in the case of Fiorentina?

[chilledbear 16]

Charles Green last week.

 

3 - All footballing debt have been paid apart from the 31k to Dundee Utd which he has a letter confirming would be paid by the SPL.

 

He also said.

 

6 - Rangers owed hearts the remainder of the Lee Wallace fee, Hearts were so desperate for the money eventually offering a 100k discount if we paid the cash two weeks ago.Thats why the couldn't pay the wages.

Edited November 7, 2012 by chilledbear

[kuznetsov 0]

i thought everton only paid 1.5 for jelavic with 3.5 coming at a later date. green said we wont get that money but will still have to pay rapid on oldcos behalf. fair or what.

Edited November 7, 2012 by kuznetsov

[the gunslinger 3,366]

if people want to say we are the same club we always were football debts should be paid.

[der Berliner 3,267]

Charles Green last week.

 

3 - All footballing debt have been paid apart from the 31k to Dundee Utd which he has a letter confirming would be paid by the SPL.

 

He also said.

 

6 - Rangers owed hearts the remainder of the Lee Wallace fee, Hearts were so desperate for the money eventually offering a 100k discount if we paid the cash two weeks ago.Thats why the couldn't pay the wages.

 

Which makes the reading of this "news" a bit strange. Either it is old news or the facts Green delivered where only "theoretical" facts to be dealt with in the near future. What strikes me as odd from the beginning is that we were forced (and accepted) to pay some creditors (football debts) and some not (the rest, including HMRC). Sure, football clubs are different, but will those latter creditors see it that way too? Obviously, we were essentially co-erced/blackmailed by the SFA to agree to pay these debts, something I hope Green will hold as an ace up his sleeve in any future deals with the association et al.