Liverpool FC win court case against Hicks and Gillett
Liverpool Football Club and the Royal Bank of Scotland [RBS] have won their High Court case against owners Tom Hicks and George Gillett.
Justice Floyd has found in favour of the Reds and the bank to which they owe around £237million, ruling that last week’s sale to New England Sports Ventures [NESV] was legal, and that Hicks and Gillett had no right to block it.
The verdict means that the American duo stand to lose both the club and around £144million, and they have also been told it would be “inappropriate” to appeal the verdict.
The judge declared that “the owners do not have an absolute right to veto a sale,” with the verdict meaning that Christian Purslow and Ian Ayre – the two board members that Hicks and Gillett tried to sack last week – have been reinstated to the board, with RBS winning an injunction to prevent the owners from attempting to reconstitute the board again.
In theory, the NESV deal can now proceed and RBS will finally get the money they are owed by Liverpool, debts which stemmed from Hicks and Gillett’s purchase of the club in March 2007.
The result will come as a relief to Liverpool supporters, many of whom gathered outside of the High Court in London during the case, both yesterday and today.
With NESV – who own the baseball team the Boston Red Sox – keen to wrap up a deal as soon as possible, the judge has ruled in favour of Reds chairman Martin Broughton’s request to hold a board meeting to discuss the sale at 8pm BST tonight. Hicks and Gillett’s QC had requested the meeting be held 10am BST tomorrow, but that request was denied.
In a further blow to the hapless American pair, they will have to pay RBS costs, and could end up paying all court costs should a request by Liverpool’s board be successful.
With the court seemingly accelerating the sale process and not giving Hicks and Gillett an inch, a sale of Liverpool to NESV could be completed by tonight.
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