The board of the SFA have approved Dave King as fit and proper to become chairman of Sevco.
Two months on from the glorious revolution that swept the former Rangers (IL) director to power the SFA have decided to overlook his previous involvement in a club that suffered an insolvency event AND 41 tax charges that carried two year prison terms to take control of the League One Champions.
While the SFA statement acknowledges those issues it gives no justification or explanation for ignoring their own rules.
Mr King became a director of Rangers (IL) in 1999 at the time Campbell Ogilvie set up the Discount Option Scheme’s which eventually led to a £6m tax bill that was unpaid at the time of liquidation.
Despite admitting to being party to the tax scam Mr King made no effort to get the bill to Her Majesty’s Revenue and Custom settled, instead the club continued to spend money attempting to become the second Glasgow club to lift the big club. Every other club in Scotland suffered as a result of this policy.
At a court hearing in South Africa a tax judge described Mr King as a glib and shameless liar, the case ended with the former Rangers (IL) director being found guilty on 41 charges that each carried two year jail sentences, Mr King chose to pay to avoid detention.
Today’s statement from the SFA read: “Following the submission of an amendment to its Official Return by Rangers Football Club, the Board of the Scottish FA has considered the Fit and Proper status of Mr Dave King as a director of the club in respect of Article 10.2 of the Articles of Association.
“Mr King provided substantial information in relation to the matters set out at Article 10.2 (h) and 10.2 (j) namely:
“He has been convicted within the last 10 years of (i) an offence liable to imprisonment of two years or over, (ii) corruption or (iii) fraud and;
“He has been “a director of a club in membership of any National Association within the 5-year period preceding such club having undergone an insolvency event”.
“He has been “a director of a club in membership of any National Association within the 5-year period preceding such club having undergone an insolvency event”.
“In considering the request, the Board of the Scottish FA has sought and received specialist independent legal advice, both in Scotland and South Africa, in respect of Mr King’s conviction further to the South African Income Tax Act and in relation to his previous involvement as a Director of the club. It has also received significant documentation from relevant authorities both within the UK and South Africa.
“The scale of this due diligence is unprecedented but befitting the complexities of the consideration placed before the Board. During this exercise both Mr King and the club were fully co-operative and responded to all questions put to them by the Scottish FA.
“On the basis of this advice presented to it, and having considered all submissions received from Mr King and the club in respect of this matter, the Scottish FA Board granted an approval, conditional upon further submissions from Mr King in respect of documented agreements with the appropriate authorities in South Africa.
“The Scottish FA can confirm it has now received this supplementary documentation in full and the Board is satisfied Mr King is Fit and Proper in terms of Article 10.2.”
Mr King’s personal fortune is believed to be in excess of the combined wealth of Craig Whyte and Charles Green. A warchest statement is expected within the next 48 hours.
It’s believed that Mr King didn’t put in a personal appearance at Hampden to justify his application to become a director.
The SFA are now likely to find themselves in conflict with Mike Ashley. The Sports Direct tycoon, who hasn’t been involved in the insolvency of a football club, or had any jail sentences, was denied the opportunity to increase his shareholding in Sevco beyond the 9% he presently has. Mr Ashley was also fined £7,500 for breaching an agreement not to have an influence in the management of the club, an agreement he signed upto to take his shareholding above 3% when the club was formed in July 2012.
