The sale of their prolific striker Nikica Jelavic appears to have inflicted a fatal blow to Rangers' hopes of retaining the title
The sale of Rangers' most prolific striker, Nikica Jelavic, without a single player arriving as any form of replacement has almost certainly inflicted a fatal wound on hopes of the Scottish Premier League trophy remaining at Ibrox.
Those who point out the claiming of three titles in a row by Rangers amid a period of downsizing ignore current reality; due in no small part to injuries, Ally McCoist was open about the fact he needed fresh personnel in attack even if Jelavic did not depart.
The manager's demeanour since the closure of the transfer window has said it all about his state of mind. Those on-field matters were overshadowed by the latest wave of negative publicity towards Craig Whyte, the Rangers owner. Hostility between Whyte and some members of the Rangers board from the time immediately preceding his takeover has now descended into open warfare.
Whyte's continued stance is clear ? that Rangers fell into troubled times under the watch of those directors, therefore it is rich for accusations to fly towards him now from an old regime. Yet that is simplistic.
David Murray, as Rangers' previous owner and chairman, must bear a heavy burden of responsibility for the financial state of the club regressing to such a level that bankers took such a firm grip of its affairs.
The Employee Benefit Trust scheme, which may yet result in a tax bill for tens of millions arriving at Ibrox, was also overseen by those at Murray International.
Still, from the summer of 2009 until May 2011, when Whyte purchased Rangers, the board had apparently worked rather successfully alongside Lloyds Bank in reducing the club's overheads. Although clear budgetary restrictions were in place, there was never a transfer window such as the latest one when Rangers' dealings ? or lack of them ? verged on embarrassing.
If Rangers lose their battle with HMRC ? which in itself has dragged on for longer than Whyte would have wanted ? their destiny is ominously apparent.
This week's confirmation that the owner did a deal to raise �24m with Ticketus, however, raises more immediate questions about Rangers' situation.
An agreement such as the one struck between Rangers and the company to secure immediate funding against advance season ticket sales is perfectly normal. The club have done it before, although at only about a fifth of the level of this deal. Unquantified tranches of season tickets over four years were effectively sold on to the London-based firm.
Whyte makes no denial of the deal. What he says is that the �18m he used to clear Rangers' debt to Lloyds did not come from the money raised by the Ticketus deal. The �18m remains owed by Rangers to another of Whyte's companies as a supposed protection to the businessman should the club fall into administration after the tax tribunal.
Rangers are yet to submit audited accounts to 30 June last year. Despite a club statement claiming this would occur on or before 31 January, no such documentation has been forthcoming, although somewhat vague explanations have. The finance agreements used to purchase Rangers, and what liability occurred to the club therein, would appear in these results.
Whyte said in a statement: "I can categorically assure supporters that when I launched a takeover bid for the club it was funded entirely from one of my companies and that was demonstrated clearly to the satisfaction of the previous owner, Lloyds Banking Group, and professional advisers."
That funding ? �27m of it ? appeared to the satisfaction of Murray and the bank in a solicitor's account on 7 April last year. Obligations Whyte had agreed to meet, the bank aside, included a �5m transfer fund and a separate �2.8m debt to HMRC.
On 8 March, a letter sent by Whyte's Liberty Capital to Ticketus had advised of an intention to purchase Rangers. The further detail of that letter remains unknown but is probably very pertinent. Ticketus, presumably aware of Rangers' tax case, would probably have required security before entering into the agreement. But Whyte has not made public what that security might be.
Whyte himself offered a snapshot of stark reality when he pointed out: "As it stands at the moment Rangers has operating costs of approximately �45m a year and revenues of around �35m."
With guaranteed European revenue no longer something Scottish clubs can count upon, an admission of that �10m black hole is hardly insignificant. Whyte's desire to cut the Rangers wage bill is hardly shocking given the economic climate, albeit he increased it by handing out lucrative contracts to key players last summer.
Without question Whyte is being subjected to greater levels of interest now than at any point before. If the old board's scepticism is proved correct, that focus is entirely appropriate.
Source: http://www.guardian.co.uk/football/blog/2012/feb/03/rangers-jelavic-craig-whyte
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