RANGERS chiefs have told fans that incoming US investors Andrew Cavenagh and Paraag Marathe will NOT be able to circumvent Uefa spending rules by splashing the cash on areas of the club such as stadium development, academies and women’s football.
Such areas have traditionally been exempt from the European governing body’s Financial Sustainability Regulations (FSR).
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Rangers CEO Patrick Stewart (left) and chairman Fraser Thornton in the standsCredit: PA
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Andrew Cavenagh and 49ers technical director Gretar SteinssonCredit: Willie Vass
The US consortium is inching towards 51% control of the Ibrox club, even if ex-chairman Dave King has warned that the transactions may not be completed until June.
The clock will already be ticking at that point towards the Champions League qualifiers, with the Ibrox side already knowing they will face three arduous rounds in a bit to unlock £40m Uefa riches – starting in mid July.
Gers fans are desperate for some fresh investment in a playing squad which badly needs it but a Gers delegation – led by CEO Patrick Stewart – has warned how a change to Uefa’s FSR rules makes their life harder when it comes to an instant input of cash.
The minutes for the recent Fan Advisory Board meeting read: “It was noted that Uefa’s updated Financial Sustainability Regulations (FSR) now apply to all forms of club expenditure, including traditionally exempt areas such as stadium development, academies and women‘s football.
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“This means the club must live within its means, and can no longer rely on unrestricted spending in areas previously classed as ‘good investment’.”
Uefa FSR rules prevent clubs from making a loss year on year outwith acceptable limits and limit spending on player and coach wages, transfers and agent fees to 70% of club revenue.
Breaches result in predefined financial penalties as well as sporting measures.
There’s still major uncertainty at Ibrox until the takeover finally comes into being, despite a recent joint statement from the club’s board and the incoming US investors.
But the club have appointed Kevin Thelwell as sporting director and Stewart insists that transfer plans for next season are already well advanced.
One signing is already confirmed, with Lyall Cameron set to arrive at the club from Dundee.
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