Whyte DID use cash from season ticket sales to help buy Rangers
RANGERS owner Craig Whyte has admitted that he used money from the sale of future season tickets to complete his takeover at Ibrox.
A statement issued by Whyte yesterday said Ticketus paid £24million to secure the rights to ticket revenues for three seasons.
Whyte – who revealed he will not continue as Rangers chairman after restructuring of the club – said: “The arrangement with Ticketus was originally to provide additional working capital.
“My advisors came to me with a proposition that it was entirely possible, as well as highly beneficial, to negotiate a deal with Ticketus that would allow us to complete the takeover and maximise working capital for the club’s day-to-day business.
“The Ticketus deal was by far the best way to protect the club given the circumstances in that they have no security over any assets.
“The only person at risk from the deal is me personally because I gave Ticketus guarantees underwriting their investment; the club and the fans are fully protected.”
In an open letter published on January 31, Whyte gave an account of his takeover which was interpreted as an assurance that Ticketus funds were not in any way used.
He said at the time: “I can categorically assure supporters that when I launched a takeover bid for the club it was funded entirely from one of my companies.”
In a separate statement yesterday, David Whitehouse from the administrators Duff and Phelps said: “It is now apparent that the proceeds from the Ticketus arrangements amounted initially to a sum in the region of £20m plus VAT.”
He said that £18m was subsequently transferred to the Lloyds Banking Group, which was owed money by Rangers Football Club.