The final choice I put down was that the fans, themselves, accept responsibility for taking the club forward, spending millions of pounds more every single year in order to stabilise the financial position of the club.
Well it turns out that’s exactly what the club expects them to do.
Tonight, Club 1872 members are being scolded by their own organisation for not raising the £1 million they were shooting for in the fundraiser I’ve written about recently. Let me explain to you why that’s happening and what the problem is.
Club 1872 – i.e. its directors, in other words James Blair, secretary on the Sevco board – has written to all the other members and told them to get their wallets out and start spending. They are being told that they need to raise that cash, and give it to Sevco, in order to retain their current level of “influence” and maintain an overall shareholding of 10%.
Let me put that another way; Sevco fans already own 10% of the club, through the Club 1872 vehicle.
But because the club allegedly plans on doing the debt-for-equity switcheroo which will convert director’s loans into shares, and because the current shareholders won’t want to take their own holdings past the point where the Takeover Panel is going to come down on them, the switcheroo will involve diluting the value of every other share.
And that means Club 1872 are losing out along with everyone else.
Now, in a shameless bid to extort their own members, Club 1872 is telling them that they have to come up with the £1 million that will let them keep their current “influence.” There’s also a not-so-subtle piece of blackmail in there; the circular says that a failure to raise the money will adversely impact on efforts to get a fan on the board.
On top of that, the circular proposes to extend the terms that Club 1872 directors serve … which enhances the power of James Blair and keeps him secure in that position far into the future.
The brazen letter to members reads thus:
“Despite being the second largest shareholder currently, members will be aware that a number of individuals have large loans in place with RIFC. These loans will shortly be converted to equity through share issues.
“This will mean that in order to maintain our position, Club 1872 will need to invest significant funds into (Sevco) over a number of share issues – most likely running into millions of pounds.
“Although we are very pleased with the reaction to our share issue campaign, at the current level of membership and contributions we are unlikely to be able to maintain that shareholding in the medium term.
“If Club 1872 is to maintain its position we need thousands more (Sevco) supporters to join the organisation and invest in (Sevco). If our shareholding position is not maintained, then it becomes less likely that we will secure a place on the RIFC board.
“The organisation has to show that it can invest in the club on the same basis as the other major shareholders.”
That letter is scandalous.
If I had already invested in Club 1872 I would be furious reading that.
It is a naked admission that all their striving to reach the 10% threshold was for nothing. The club is demanding more money from them than ever. Did you notice that the circular doesn’t even offer the hope that this will be the last time fans have to pony up? No, even if the £1 million is raised, Club 1872’s shareholding stands to be diluted over and over and over again and the fans will have to shovel more and more money into it just to stay at the current level.
Disgusting. But the proof, finally, which no Sevco fan can argue with, that their board has done them up good and proper. King and his people are laughing their asses off.
Club 1872 was one of the most clear-cut scams in the history of Scottish football.
From its very inception it has been blatantly obvious that King and his people saw it as a vehicle to suck money out of the support and silence dissent. Club 1872 is not trusted by ordinary fans; this letter shows you exactly why that’s the case.
Their views are not respected.
Their input is not wanted.
All King and his board want from Club 1872 is money.
If Celtic had done this to its supporters, would we sit quietly and accept it?
The Hell we would.
The thing is, we told them that this was the plan all along; we told them that this was the Long Con.
They just never listen. They just never get it.
Sevco fans need to wise up.
If this doesn’t do it nothing will.
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