Tuesday, April 27, 2010

Rangers investigated on tax issue

Ibrox Stadium

Rangers have confirmed that the Scottish Premier League club is under investigation by Her Majesty's Revenue and Customs (HMRC) over a tax issue.

BBC Scotland has learned that the investigation relates to payments made into offshore accounts.

The club is still up for sale with estimated debts of about £30m.

BBC Scotland has also learned that the investigation does not signal an end for the proposed takeover by businessman Andrew Ellis.

"There is an ongoing query raised by HMRC which is part of a pending court case," the club said in a statement.

"On the basis of expert tax advice provided to Rangers, the club is robustly defending the matters raised.

"It would, therefore, be inappropriate to comment further at this stage."

The club have been unable to purchase a player for 20 months as Lloyds Banking Group tries to control the £31m debt.

Three transfer windows have opened and closed without the Ibrox club bringing out their cheque book.

The last arrival was American midfielder Maurice Edu, who they signed from Toronto in August 2008.

Despite their financial problems, manager Walter Smith has guided Rangers to two successive league titles.

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