to expand - the devil is in the detail

are the football club paying the holding company a reasonable market rate for renting the ground - if they are they are a normal tenant and probably shouldn't be punished if the holding co has problems (you wouldn't expect Wimbledon to have been given an FA penalty if Palace had gone into admin while they were renting Selhurst).

However, if the football club has been paying an artificially low rent on the ground (thereby enabling them to spend more on the team and pushing guaranteed - known in advance - losses into the holding company) then that woulkd be a clear indication that they are not independently running operations and the club shuld get the full penalty.

Posted By: mr carra, Apr 2, 10:43:11