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47 minutes ago, Ghost of Clough said:

People who said the amortisation policy was compliant/acceptable:

  • Stephen Pearce - DCFC CEO, Chartered Accountant
  • Andrew Delve - Smith Cooper (auditors) , Chartered Accountant
  • James Karran - EFL CFO
  • Graeme McPherson QC - Sports Lawyer
  • Robert Englehart QC - Sports Lawyer
  • James Stanbury - Foresnic Accountant

 

People who said it wasn't:

  • Rick Parry - EFL Chairman
  • Charles Hollander QC - Sports Lawyer
  • Rt. Hon. Lord Dyson - Sports Lawyer (among other fields)
  • David Phillips QC - Sports Lawyer
  • Professor Peter Pope - Professor of Accounting

 

I know which side of the fence I would sit on regarding an accounting matter. The issue is it's the other side of the fence who have the final say

Shame about the first name on the list of those that said it was compliant. It kind of damages the credibility ?

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42 minutes ago, Ghost of Clough said:

People who said the amortisation policy was compliant/acceptable:

  • Stephen Pearce - DCFC CEO, Chartered Accountant
  • Andrew Delve - Smith Cooper (auditors) , Chartered Accountant
  • James Karran - EFL CFO
  • Graeme McPherson QC - Sports Lawyer
  • Robert Englehart QC - Sports Lawyer
  • James Stanbury - Foresnic Accountant

 

People who said it wasn't:

  • Rick Parry - EFL Chairman
  • Charles Hollander QC - Sports Lawyer
  • Rt. Hon. Lord Dyson - Sports Lawyer (among other fields)
  • David Phillips QC - Sports Lawyer
  • Professor Peter Pope - Professor of Accounting

 

I know which side of the fence I would sit on regarding an accounting matter. The issue is it's the other side of the fence who have the final say

Also worth noting that Professor Pope’s testimony was criticised as he had no practical experience of preparing accounts, nor experience of the football industry (meaning some of his assumptions about the player market were questionable). He was also told that if ever called again he needed to learn about the role of an expert witness to provide facts and illuminate technical arguments, not present the argument for one of the litigants (if that’s the right term in this case). 
 

On that basis his testimony was thrown out - a decision overturned by the IDC without allowing DCFC to present a new witness to counter his newly allowed contribution. 
 

I know DCFC we’re criticised for not providing their own witness but this is (yet another) stitch up. The amortisation charge was added last minute and they didn’t have time to sort out a witness. As they were talking about whether accounts that had passed audit over several years were audit-compliant it was self-evident to all the practicing accountants involved that this wasn’t an issue. If they’d been told at the outset that the knowledge of Pearce and panel members would be disregarded, I’m sure they would have requested an adjournment to sort an expert witness. They weren’t told this.  And this wasn’t the position until several steps down the line, and then (again) applied retrospectively as though it was an oversight on our part. 
 

Worth noting that Parry’s deal allowing a Gibson to pursue independently only applies if we were found guilty of a charge - any charge. So it makes you think why anomalies like the above witness nonsense, and the multiple appeals until they get a result, happened. 

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11 minutes ago, R@M said:

You are confusing law with regulations. The law is vague to allow for the businesses you mention, the EFL did not specify that a particular line of accounting should be used under their rules, until 3 years later. 

The EFL rules specify that you must comply with FRS102. FRS102 is deliberately vague. Hence there's argument over whether we complied or not.

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3 minutes ago, Indy said:

Also worth noting that Professor Pope’s testimony was criticised as he had no practical experience of preparing accounts, nor experience of the football industry (meaning some of his assumptions about the player market were questionable). He was also told that if ever called again he needed to learn about the role of an expert witness to provide facts and illuminate technical arguments, not present the argument for one of the litigants (if that’s the right term in this case). 
 

On that basis his testimony was thrown out - a decision overturned by the IDC without allowing DCFC to present a new witness to counter his newly allowed contribution. 
 

I know DCFC we’re criticised for not providing their own witness but this is (yet another) stitch up. The amortisation charge was added last minute and they didn’t have time to sort out a witness. As they were talking about whether accounts that had passed audit over several years were audit-compliant it was self-evident to all the practicing accountants involved that this wasn’t an issue. If they’d been told at the outset that the knowledge of Pearce and panel members would be disregarded, I’m sure they would have requested an adjournment to sort an expert witness. They weren’t told this.  And this wasn’t the position until several steps down the line, and then (again) applied retrospectively as though it was an oversight on our part. 
 

Worth noting that Parry’s deal allowing a Gibson to pursue independently only applies if we were found guilty of a charge - any charge. So it makes you think why anomalies like the above witness nonsense, and the multiple appeals until they get a result, happened. 

That’s why a public inquiry is needed 

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3 minutes ago, duncanjwitham said:

To be fair, we were paying him to argue our case, so it would have been a bit of a shocker if he'd said the opposite.

M'learned colleagues, I will note that I do not agree with the argument presented, however, as im on the clock, the presence of several work colleagues at the drinking contest confirm that the drinks party was in fact a work meeting...

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3 minutes ago, Indy said:

Also worth noting that Professor Pope’s testimony was criticised as he had no practical experience of preparing accounts, nor experience of the football industry (meaning some of his assumptions about the player market were questionable). He was also told that if ever called again he needed to learn about the role of an expert witness to provide facts and illuminate technical arguments, not present the argument for one of the litigants (if that’s the right term in this case). 
 

On that basis his testimony was thrown out - a decision overturned by the IDC without allowing DCFC to present a new witness to counter his newly allowed contribution. 
 

I know DCFC we’re criticised for not providing their own witness but this is (yet another) stitch up. The amortisation charge was added last minute and they didn’t have time to sort out a witness. As they were talking about whether accounts that had passed audit over several years were audit-compliant it was self-evident to all the practicing accountants involved that this wasn’t an issue. If they’d been told at the outset that the knowledge of Pearce and panel members would be disregarded, I’m sure they would have requested an adjournment to sort an expert witness. They weren’t told this.  And this wasn’t the position until several steps down the line, and then (again) applied retrospectively as though it was an oversight on our part. 
 

Worth noting that Parry’s deal allowing a Gibson to pursue independently only applies if we were found guilty of a charge - any charge. So it makes you think why anomalies like the above witness nonsense, and the multiple appeals until they get a result, happened. 

We had the option to either get someone or delay (to give us time to get someone). Due to the evidence Prof Pope was giving, DCFC opted not to bother. We could have had pretty much anyone acting as a witness and the LAP decision would have been different. 

It went back to the DC who obviously disagreed with their decision, whose verdict was for us to restate the accounts with a compliant method. We adjusted our 'Derby method' to still be non-linear but the EFL obviously disagreed as they wanted a linear one which resulted in a points deduction. If we didn't go into administration and we had the time the club would have fought for it. However, Mel put us into administration, the administrators didn't have the time to fight against the EFL, so we were forced into reverting to a straight line method and forced into a points deduction. 

There is no doubt we would have failed future periods without a lot of player sales, but this was the risk highlighted by the EFL's current CFO after having a meeting with club reps in 2019.

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