The holding company of the former Super League champions Bradford Bulls will finally enter liquidation this week after creditors voted overwhelmingly in favour of the administrators’ proposals, which include a thorough examination into the club’s historical financial affairs following its well-publicised demise.
Despite the Rugby Football League already sanctioning a new company and club in time for the 2017 season, the company owning the old club has not yet been formally liquidated despite reports to the contrary. That process will officially begin this week after creditors – who, in total, were owed almost £2m – approved plans to begin the liquidation of the company who ran the Bulls, Bradford Bulls Northern Ltd.
Creditors were granted one vote per pound of debt owed, with more than 50% of the votes cast being required to approve the plans for liquidation to get under way. It us understood that the plans were “overwhelmingly” approved, with HMRC – which was one of the biggest single creditors, having been owed more than £400,000 – among those who voted through the proposals.
The Guardian has also learned that part of the proposals put forward by the administrators, Gary Pettit and Gavin Bates – who will also be appointed as the liquidators of the company – involve a team of forensic accountants being appointed to examine the club’s business affairs since the former owner Marc Green assumed control at Odsal in March 2014.
The club’s officers who were registered at Companies House – as well as “sporting directors” – are likely to be interviewed over the financial state of the company, which accrued more than £2m worth of debt before being placed into administration by Green in November last year. The liquidation process would normally last several months and could potentially take years if any litigation is undertaken.
A new company, Bradford Bulls 2017 Ltd, was created this month to allow a newly reformed Bradford Bulls club to take their place in the upcoming Championship season, with the New Zealand businessmen Andrew Chalmers and Graham Lowe the men awarded the right to create a rugby league club in the city by the RFL.
The Guardian has also learned that the lease surrounding the Bulls’ Odsal Stadium home has a break clause in May 2019 where it no longer has to be used as a rugby league stadium. The council gave the RFL a 150-year lease before the sport’s governing body granted a sub-lease to Bradford Bulls Northern Ltd for approximately 30 years several years ago. However, in two years’ time, it is believed there is a clause which dictates the venue can begin to be used for other purposes.
