Rangers administrators face £30m case

THE liquidators of the Rangers oldco are taking a near £30 million legal action against the club’s former administrators.

The action against Paul Clark and David Whitehouse, of Duff & Phelps, is over questions about “the strategy previously adopted by the former administrators, which have not, to date, been adequately answered”, liquidators BDO said.

Mr Clark and Mr Whitehouse were appointed joint administrators of Rangers in February 2012.

Duff & Phelps sold the business and assets of Rangers to a consortium fronted by Charles Green for £5.5 million in June that year with insolvency firm BDO appointed to wind up the oldco.

BDO is seeking £28.9m in the legal action, the firm confirmed.

Mr Whitehouse said he was “surprised” by the action which comes a week before a period of limitation expires.

A BDO spokesman said: “The joint liquidators, following exten- sive deliberations with their professional advisers and the liquidation committee, have taken the decision to issue a claim against the former Rangers administrators

“During the course of the liquidation, questions have arisen regarding the strategy previously adopted by the former administrators, which have not, to date, been adequately answered. The liquidators have been left with no other option but to pursue the matter via the Scottish Court.

Mr Whitehouse, Duff & Phelps managing director, said: “In essence, BDO is now alleging we should have achieved a better return for creditors by selling the club’s assets on a piecemeal basis, including Ibrox and its playing squad.”

He added: “This is a strategy with which we fundamentally disagree both in terms of its deliverability and its relevance to achieving the statutory purpose of administration.