Source: Daily_Mail
Liverpool takeover: High Court to hear Tom Hicks and George Gillett's legal challenge on Tuesday
Holding on: Gillett (left) and Hicks are opposing the sale of Liverpool[LNB]The battle for the ownership of Liverpool will begin in London's HighCourt on Tuesday morning.[LNB]The club's five-man board agreed a £300million sale to Boston Red Sox owners New England Sports Ventures last week - despite opposition from co-owners Tom Hicks and George Gillett.[LNB]The pair are challenging the sale in court. Royal Bank of Scotland, the club's major creditors after lending owners Tom Hicks and George Gillett the money to buy the club back in March 2007, have submitted an application to the court.[LNB]In further developments, Singapore billionaire Peter Lim, who lost out to NESV, is reported to be ready to make Liverpool a late improved offer.[LNB]Lim believes his offer was just as attractive as that of John W Henry. He is willing to pay off all of RBS's and Wachovia's £200m of long-term debt as well as taking on £60m of further debt.[LNB]Royal Bank of Scotland PLC v Hicks & others is among a number of cases to be heard by Mr Justice Floyd at 10.30am.[LNB]The dispute to be settled revolves around whether chairman Martin Broughton has the authority to sell the club to NESV.[LNB] Late bid: Peter Lim is weighing up an improved offer for Liverpool[LNB]Broughton claims when the owners decided to put the club up for sale in April RBS requested undertakings from them that only he, as independent chairman, could make changes to the club's board.[LNB]That was to prevent the two Americans blocking any sale as the format of the board meant Broughton, managing director Christian Purslow and commercial director Ian Ayre could outvote the Hicks and Gillett three to two.[LNB] Opposition: Most Liverpool fans want rid of their owners[LNB]However, minutes before a meeting last week to discuss the bid by NESV, which will clear all debt but leave the owners with losses of £144m, Hicks tried to sack Purslow and Ayre and install his son, Mack, and Lori McCutcheon, who works for Hicks Holdings.[LNB]Broughton rejected the proposal and continued with the meeting, with the England-based board members coming down in favour of the NESV bid.[LNB]Hicks, however, has denied there are such undertakings in place, insists Broughton's actions were illegal and therefore the sale is invalid.[LNB]RBS have now obtained an injunction preventing Liverpool owners Tom Hicks and George Gillett from sacking independent chairman Martin Broughton or any other board members ahead of tomorrow's court case.[LNB]As the issue of who has the necessary authority to agree a sale forms the crux of the legal argument, proof of the existence or not of those undertakings is likely to be pivotal.[LNB]For that reason it is RBS who have lodged the application and not the club, effectively Liverpool's board.[LNB] Torrid time: Gerrard and Co have endured a difficult start to the season[LNB]The initial court appearance is likely just to be the start of proceedings, with a full hearing expected to follow.[LNB]RBS said in a statement: 'RBS in its capacity as lender to the Kop group of companies received the benefit of various contractual undertakings from Mr Hicks and Mr Gillett in relation to the corporate governance arrangements that Mr Hicks and Mr Gillett agreed would apply to the Kop group of companies with effect from April 2010.[LNB]'Those undertakings provided for the appointment of Mr Broughton as chairman of the board and the appointment of the chief executive and commercial director of LFC to the Kop boards.[LNB]Protected: Chairman Broughton [LNB]'As is well known Mr Hicks and Mr Gillett purported to make changes to those corporate governance arrangements on 4 October. This was in breach of those contractual undertakings.'[LNB]If the currentAmerican owners successfully block the takeoverthen Liverpool could find themselves in administration and facing a nine-point penalty.[LNB]The club, however, remain confident that frightening situation canbe avoided, even if Hicks and Gillett manage to hang on to power butstill miss Friday's deadline for repaying a £280m loan to RBS.[LNB]Though Hicks would have to surrender control if the High Court rules against him, he is still launching one last attempt to raise the funds needed to pay off the RBS by trying to arrange a loan with American hedge-fund company Mill Financial.[LNB]Purslow has echoed Broughton's view that the decision would go in favour of the current board and forecast a bright era with a greater input for long-suffering supporters. [LNB]'I am confident about the outcome, and I would expect the new owners to be very visible around the business,' he said. 'They are serious people, deadly serious about wanting to succeed, and I can't imagine they'd be hands-off for one minute.[LNB]'Our fans have felt totally disenfranchised by the experience of the last three years. One thing I really liked about NESV is they are really serious about the importance of engaging with their fans.[LNB]'I've asked them to consider a scheme giving our fans a real sense of ownership a real sense of inclusion, the kind of voice they deserve and NESV have told us they'll look at this very seriously, if they complete.'[LNB]And asked if manager Roy Hodgson's job would be safe under NESV , Purslow replied: 'Absolutely.'[LNB] Liverpool keeper Reina hits out at Kop chaos as takeover saga rumbles on Dalglish: I feel for the Liverpool fans after this sorry sagaLiverpool chief Purslow insists £300m takeover bid will succeed Liverpool 'can show Hicks and Gillett lied' over loading debt onto clubPiers Morgan: Don't blame the owners, it's Liverpool's players' faultPostcard from Boston: Henry is the shy suitor who wants to court the KopThe five ways Tom Hicks and George Gillett got it wrong at LiverpoolLIVERPOOL FC
