CELTIC NOT LETTING EBT DEBATE GO
Parkhead club maintain scheme gave Rangers sporting advantage
CELTIC last night weighed into the revived row over Rangers, Employment Benefit Trusts (EBTs) and potential title-stripping as they reiterated their stance that their arch-rivals gained a sporting advantage by ducking tax commitments.
In response to ‘considerable interest from supporters, shareholders and media representatives’, the Parkhead club’s intervention flew in the face of Rangers chairman Dave King’s warning to SPFL chairmen 24 hours earlier to drop the issue.
Referring to last week’s verdict that the oldco were liable for tax on tens of millions of pounds paid to players between 2001 and 2010, the Celtic statement also referred to the 2013 ruling made — on behalf of the SPL Commission — by Lord Nimmo Smith, which declared that the Ibrox club had gained no competitive advantage.
‘We are aware of last week’s Court of Session ruling, which we note is subject to potential appeal,’ read yesterday’s statement.
‘Celtic’s position on this issue is consistent — that this remains a matter for the courts of law and also the Scottish football authorities, whose rules are intended to uphold sporting integrity.
‘In 2013, we expressed surprise — shared by many observers and supporters of the game — over the findings of the SPL Commission that no competitive or sporting advantage had resulted. That remains our view.’
At the time of the Nimmo Smith verdict, Celtic declared themselves ‘surprised by that no competitive advantage was gained from these arrangements’.
Their intervention yesterday comes immediately after King had gone public with an in-depth response to last week’s ruling, particularly Lord Drummond Young’s comments suggesting the oldco had gained an edge in transfer dealings by paying players above and beyond their contract arrangements.
The judge said: ‘If bonuses had not been paid, the employment would have been significantly less attractive. Any contrary argument seems an affront to common sense.’ The SPFL Board are viewing developments with interest, with the liquidators of the oldco yet to decide if they will lodge an appeal against the verdict in favour of HMRC.
Sportsmail revealed last week that the SPFL board discussed the ruling.
Yet King effectively sought to head off any attempts to tinker with club history by going on the attack with his statement on Thursday night.
He declared: ‘It is extraordinary that representatives of other Scottish clubs — who admit the damage done to Scottish football by Rangers’ removal from the Premier League — should even wish to re-engage with this issue.
‘It is time those individuals, who represent other clubs, recognise their legal and fiduciary responsibilities to their own clubs and shareholders rather than submit to the uninformed ramblings of a few outspoken fans.
‘If the history of our club comes under attack, we will deal with it in the strongest manner possible and will hold to account those persons who have acted against their fiduciary responsibilities to their own clubs and to Scottish football.’
Rangers have gone on the offensive since last week’s Court of Session ruling upheld HMRC’s appeal and plunged Scottish football back into the ‘titles-tripping’ debate.
Rangers’ lawyers were also in court on Thursday as they urged a judge to throw out a bid by former chief executive Charles Green to have them pay his legal bills.
Green is facing criminal charges with regard to his alleged conduct during the time at Rangers.
Shareholder Mike Ashley is also at odds with the Ibrox hierarchy by seeking to have King’s SFA ‘fit and proper’ status overturned at a hearing in February.
While the SFA will defend their position in court, King himself is also facing legal action from Ashley for allegedly breaching a Sports Direct gagging order. That hearing is due for the start of next month.