Blackpool’s Oystons miss deadline for £10m payment to Belokon

Owen Oyston and his son Karl, the owners of Blackpool football club, are understood to have missed the 31 January deadline for the second £10m instalment of £31.27m they were ordered by the high court to pay the club’s minority shareholder Valeri Belokon for his shares.

A court hearing scheduled for Monday is understood to be for Mr Justice Smith to consider an application from the Oystons for more time to pay the overdue £10m.

Said & Done: ‘People think we’re asset-stripping. It’s absolutely ridiculous’

Smith found in his judgment in November that the Oystons, long-term owners of Blackpool, had “illegitimately stripped” the club following lucrative promotion to the Premier League in 2010. Belokon, a Latvian banker, had previously paid £4.5m for his stake and invested further on the understanding he would be in equal partnership with the Oystons.

However they paid £26.77m out of the club to their own companies, including £11m described in the 2010-11 accounts as a salary for Owen Oyston. Their conduct was in “fundamental breach” of their duties as directors and their obligations to Belokon, Smith found, concluding that the payments were improper. On Monday the Oystons’ application for permission to appeal against the judgment was refused.

Smith ordered all the Oystons’ financial, property and other assets be frozen while their value is assessed, and ordered £10m be paid by 4 December, which was met. Following Wednesday’s deadline which the Oystons missed, they are due to pay a further £7.5m by 31 March and the balance, £7.1m, by 31 May. They must also pay their own considerable legal costs and those of Belokon, who was represented by the London solicitors Clifford Chance and Andrew Green QC.

The Oystons put the club and its related property company, which includes a hotel, up for sale days after Smith’s judgment but there have been no buyers yet. Supporters protesting against the family’s ownership for years were further exasperated last month when Karl Oyston’s son Sam, who has worked at the club since 2011, was appointed chief executive.

I really hope these shameless crooks get their comeuppance

What a disgrace.

Asset stripping and profiteering from a football club.

Glad it couldn't happen down here.

It's their club they can do what they want with it. I doubt the lame brains will follow this story it would be too uncomfortable for them to read.

Interesting thread on Twitter here: https://twitter.com/matt_scrafton/status/960547883077513216

"High Court judge, unimpressed by the Oystons' behaviour (surprise, surprise), has told Valeri Belokon he can acquire the remaining money he is owed (around £25m) however he wants. Essentially he can help himself to whichever assets he so desires..."

Also some debate around how much Blackpool FC and ground is worth (£6.5m?).

Sir Francis Drake wrote:

Interesting thread on Twitter here: https://twitter.com/matt_scrafton/status/960547883077513216

"High Court judge, unimpressed by the Oystons' behaviour (surprise, surprise), has told Valeri Belokon he can acquire the remaining money he is owed (around £25m) however he wants. Essentially he can help himself to whichever assets he so desires..."

Also some debate around how much Blackpool FC and ground is worth (£6.5m?).

I honestly think if the Oyston tipped up down here and offered nool a pretend directorship and Webb a meaningless title they’d still be in charge

Indeed. So many reasons to dislike pro football these day. Common behaviour among certain types, rich or poor, Webb or Brent, it makes no difference. The corporate veil is no longer fit for purpose. Maybe we should all have a few corporate alter egos when we go shopping. "What, you didn't get your money Mr Sainsbury ? Send the bill to my registered office at PL2 3DQ., But you will have to wait your turn as my shopping division is in admin right now and the cat is short on her pension"

beesrus wrote:

Indeed. So many reasons to dislike pro football these day. Common behaviour among certain types, rich or poor, Webb or Brent, it makes no difference. The corporate veil is no longer fit for purpose. Maybe we should all have a few corporate alter egos when we go shopping. "What, you didn't get your money Mr Sainsbury ? Send the bill to my registered office at PL2 3DQ., But you will have to wait your turn as my shopping division is in admin right now and the cat is short on her pension"

I like your thinking. You could offer them 0.06p in the pound and threaten them with nothing if they get shirty. Why stop there though, could sell the children’s toys and spend the money “other things”