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Wasps into administration
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Camquin View Drop Down
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Points: 11453 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Camquin Quote  Post ReplyReply Direct Link To This Post Posted: 07 Dec 2022 at 15:29
Yes, the board can decide to make a special case.
But 100 clubs can then call a Special General Meeting with a motion of no confidence.

Worcester RFC are in Regional 2, so assuming the new Warriors could come to an agreement with the club, they could take that spot. Wasps FC are in Counties 2 - a little higher than Richmond and Scottish started, but not much.
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Points: 1587 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Robb Quote  Post ReplyReply Direct Link To This Post Posted: 07 Dec 2022 at 16:42
Originally posted by Camquin Camquin wrote:

Yes, the board can decide to make a special case.
But 100 clubs can then call a Special General Meeting with a motion of no confidence.

Worcester RFC are in Regional 2, so assuming the new Warriors could come to an agreement with the club, they could take that spot. Wasps FC are in Counties 2 - a little higher than Richmond and Scottish started, but not much.
It stinks of a fix if they let them in without fulfilling the criteria but will 100 (mostly lower league amateur) clubs be motivated enough to make that call? 

They can't just jump the amateur clubs up the league and they are (legally according to RFU standards) independent so they could just consume the Amateur club and start from the bottom (as London Welsh did) and probably will.
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Camquin View Drop Down
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Points: 11453 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Camquin Quote  Post ReplyReply Direct Link To This Post Posted: 07 Dec 2022 at 17:30
Well I would start with the 12 Championship clubs, and the 48 national League clubs and work down.
If they do cut the Championship to 10 and relegate 5 and hence many clubs that thought they were safe get caught in the waterfall, it might be enough.
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Points: 412 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Count Ford Quote  Post ReplyReply Direct Link To This Post Posted: 07 Dec 2022 at 22:50
Originally posted by Thatbloke Thatbloke wrote:

Rules is rules but where does it state all the answers to those questions have to be "Yes"? 


Exactly. Seems to me they are 'considerations' rather than absolutes and this last point gives them the ability to choose any resolution they want

The circumstances of each Insolvency Event are likely to be different, and therefore the RFU may take any other matters into consideration it sees fit.
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Points: 6435 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Kimbo Quote  Post ReplyReply Direct Link To This Post Posted: 08 Dec 2022 at 09:27

"Premiership Rugby chief executive Simon Massie-Taylor told the Telegraph Sport: “We can confirm it’s our clubs’ intent to buy the P share and they do so knowing that Wasps and Worcester are going to be in the Championship next season.

“Both clubs’ prospective purchasers have also produced three-to-five-year plans which are not contingent on the P share.”

The near-£20 million cost of buying the P shares will be used to pay off Government loans given to Wasps and Worcester during the coronavirus crisis."
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Kimbo View Drop Down
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Points: 6435 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Kimbo Quote  Post ReplyReply Direct Link To This Post Posted: 08 Dec 2022 at 09:30
Convenient, then, for the remaining shareholders.
Not so convenient for the prospective owners of the other two.
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Kimbo View Drop Down
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Points: 6435 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Kimbo Quote  Post ReplyReply Direct Link To This Post Posted: 08 Dec 2022 at 09:46
Turns out that Wasps owed Coventry City FC around £465000 (source, Coventry and Warwickshire Radio) when they pulled the plug.
It rather beggars belief that a landlord could owe its tenant that kind of sum.
I bet there won't be any kind of reparation.
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Points: 2898 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Steve@Mose Quote  Post ReplyReply Direct Link To This Post Posted: 08 Dec 2022 at 09:48
Rugby club's debts totalled £95m when they went into administration - report

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Wasps had debts totalling £95m when the club went into administration, reports by administrators FRP have revealed.

They show that the combined debts of the rugby club's parent company Wasps Holdings and their three Coventry Building Society Arena companies have cost taxpayers millions of pounds.

Dozens of local firms were also owed money, including Arena tenants Coventry City who were owed about £465,000.

Wasps and their stadium businesses owed more than £21m to public bodies.

...

Who is owed the most money?

The administrators' reports have highlighted the full extent of the CBS Arena's and Wasps' debts.

Taxpayers took the biggest hit as a result of the £14.1m unsecured Covid Sport Survival Package (SSP) loan from the Department for Digital, Culture, Media and Sport (DCMS), administered by Sport England.

A further £7m owed to His Majesty's Revenue & Customs (HMRC) has not been repaid - and there were also losses for local taxpayers.

Coventry City Council was owed more than £270,000, with the council telling the BBC the bulk of it (£228,152) was as a result of unpaid business rates.

Warwickshire County Council was owed £600 and Stratford District Council £2,868, while West Midlands Police lost £20,570 and West Midlands Ambulance Service took a loss of £1,755.

The reports also show former Wasps owner Derek Richardson had loans of about £16.5m in the various Wasps companies when they went bust.

It is a bigger blow to the public purse than when Worcester Warriors collapsed in October, owing the government £16.1m from their SSP loan (the biggest of the combined £124m package of loans given to all 13 Premiership clubs), as well as £2.1m in unpaid taxes to HMRC.

The other big losers were Wasps bondholders, who were owed £35.2m.

They did receive around £7.4m back, but it still results in total losses of £27.8m.

Who is owed what locally?

It was not just taxpayers affected by the collapse of Wasps as more than 40 local firms lost money.

Signage company Moseley Signs - who recently removed Wasps' logo from the Arena - were owed more than £92,000.

Coventry City Council took another hit as a result of Tom White Waste, which is owned by the local authority, suffering a loss of £11,336.

Surrey-based Compass, which previously supplied catering and events support to the stadium, lost £7.6m, while Delaware North, who had taken over from Compass were owed £4.5m.

The responses so far

Administrators FRP, former Wasps owner Richardson, Coventry City Council, Premiership Rugby, Moseley Signs and DCMS have all been approached for comment.

Sport England confirmed: "The loan was provided by the government, not Sport England.

"Sport England issued SSP loans on behalf of the government, acting as the loan agent. As our name is on lots of documents, it is a common misunderstanding but it's important that this is not misreported.

"We understand the appointed administrators are undertaking due process. We are awaiting confirmation of the impact of the club administration on the government lending."
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kingsheathlad View Drop Down
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Points: 3320 		Post Options Post Options   Thanks (0) Thanks(0)   Quote kingsheathlad Quote  Post ReplyReply Direct Link To This Post Posted: 08 Dec 2022 at 18:01
With that  size of debt they must have had it possibly  for some time and if unable to pay said creditors, trading  insolvently. I guess the directors will be looked at. 
Cauliflower ear.
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Points: 1762 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Thatbloke Quote  Post ReplyReply Direct Link To This Post Posted: 08 Dec 2022 at 19:12
Shot - never mind looked at. You also have to ask why suppliers would continue to supply when unpaid for what must have been months and months (£several millions on catering!!) 
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Points: 2898 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Steve@Mose Quote  Post ReplyReply Direct Link To This Post Posted: 14 Dec 2022 at 08:13
From Monday 12 December:


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The Rugby Football Union now "expects a decision ahead of Christmas" on the planned takeovers at fallen Premiership clubs Wasps and Worcester.

Monday had been set by the RFU as a deadline for both clubs to complete their takeovers.

Having confirmed Wasps and Worcester's relegation from the Premiership last week, the RFU are keen to plan ahead for next season's Championship.

But they have told both clubs that they are flexible over the exact timescale.

An RFU spokesperson said: "We continue to work collaboratively with the prospective owners as we undertake full due diligence.

"The club financial viability group will make a recommendation to the RFU board.

"We expect a decision ahead of Christmas. We will provide an update then."
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Whistle watcher View Drop Down
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Points: 98 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Whistle watcher Quote  Post ReplyReply Direct Link To This Post Posted: 14 Dec 2022 at 08:19
[quote]The RFU are keen to plan ahead for next season's Championship{/quote]

For the first time ever.
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Points: 6435 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Kimbo Quote  Post ReplyReply Direct Link To This Post Posted: 14 Dec 2022 at 08:40
Originally posted by Whistle watcher Whistle watcher wrote:

[quote]The RFU are keen to plan ahead for next season's Championship{/quote]

For the first time ever.
I bet you can't work out why?
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Points: 527 		Post Options Post Options   Thanks (0) Thanks(0)   Quote kempstonblue Quote  Post ReplyReply Direct Link To This Post Posted: 14 Dec 2022 at 09:00
Originally posted by Whistle watcher Whistle watcher wrote:

[quote]The RFU are keen to plan ahead for next season's Championship{/quote]

For the first time ever.

Will the RFU plans consider the opinions of current Championship clubs?


Oh wait, why change every behaviour.
The older I get, the more the RFU leave me confused.
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Camquin View Drop Down
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Points: 11453 		Post Options Post Options   Thanks (1) Thanks(1)   Quote Camquin Quote  Post ReplyReply Direct Link To This Post Posted: 14 Dec 2022 at 10:22
And it is not just the current Championship clubs.
it affects every other club in the union, because if five clubs come down from the Championship - that is five down at every level, so another fifty clubs relegated - or not promoted.
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Points: 1762 		Post Options Post Options   Thanks (0) Thanks(0)   Quote Thatbloke Quote  Post ReplyReply Direct Link To This Post Posted: 14 Dec 2022 at 10:53
Which is why we need to "trigger" this EGM - 100 clubs is not many but obviously needs someone to take the initiative and then lobby for support to get the necessary number! 
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