Court told Rangers owner Dave King is ‘penniless’

The lawyer for Dave King has described the Rangers chairman as “penniless” in a hearing at the Court of Session.

Lord Davidson of Glen Clova QC told judge Lord Bannatyne that King didn’t have money and wasn’t able to make an offer for the remaining Rangers shares.

He claimed there was money in on shore and off shore trusts but the trusts were in the name of King’s family and he didn’t have control of them.

Lord Davidson said the court shouldn’t pass the

order required by the Panel On Takeovers and Mergers because the shares were currently worth 27 pence.

He added: “Mr King is penniless. Any order wouldn’t secure compliance. It won’t. It is pointless.”

Lord Davidson also said that before making an order in favour of the panel, the court may have to hold a hearing into King’s finances.

The Companies Act dictates that those who hold a 30 per cent stake in businesses are compelled to make an offer to shareholders to buy the remaining shares.

The Panel On Takeovers and Mergers started proceedings against King when he failed to do so during his takeover of Rangers.

Advocate James Mcneill QC said that financial investigators had believed they had established that King acted “in concert” with three wealthy fans who are nicknamed the “Three Bears”.

He said that King acted with George Latham, George Taylor and Douglas Park to acquire a 34 per cent stake in the club. But Mr King’s lawyers claim that 14.7 per cent was held by a company which is independent of King.

Lord Bannatyne will issue his ruling at a later date.