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Cardiff City’s Legal Battle v Nantes Over Sala Transfer: LATEST

Trust chair Keith Morgan

I have previously provided members with updates on CCFC’s legal cases against FC Nantes and Willie McKay. I am now providing a further update dealing with the current position after inquiries were made of the club’s legal advisors and we also looked at information about the case on the public record, as well as other sources.

In the claim against Nantes for compensation in respect of their dealings in the Emiliano Sala transfer, there is a court hearing in France on  November 18 where Nantes asked for an order for the disclosure of documents by CCFC.

The club are opposing Nantes request on the basis that they don’t need the documents to defend themselves and that the application is a delaying tactic. A ruling on the point is not expected for some months.

Once the above issue is resolved, Nantes are expected to file a further defence to CCFC’s claims and further exchanges of claims and defences are likely to follow with a formal trial towards the end of 2025.

It should be noted that a separate criminal case by the French authorities against Nantes and its owners and directors is still ongoing where they have requested the help and support of CCFC.

In the case against Willie McKay for disclosure of documents relevant to the claim against Nantes, the McKays were ordered by the court to make full disclosure but did not do so properly or on time, ignoring several orders.

As a consequence, they face a contempt of court case. This has not yet happened as Willie McKay has claimed that he has been severely unwell and unable to attend the court hearings set to date.

The court will decide whether he and his family must pay financial penalties and legal costs (He has already paid over £40k to date from earlier cost orders).

I understand that documents disclosed to date show Willie McKay was clearly and heavily involved as an agent of Nantes in the Sala transfer, a fact that was previously denied by Nantes as part of their defence.

On a separate issue, but perhaps a very worrying one, there have been some rumours that club senior management has received threats of violence from a party involved in the litigation. We can only comment to the extent of our enquiries of people who claim to have received such threats and there appears to be merit in such claims.

Keith Morgan

Trust Chair

 

Super Sol Bamba T-Shirt Sold For Cancer Charity

Trust chair Keith Morgan with the ‘Sol’ T-Shirt

The Trust is delighted to announce that a special Sol Bamba T-shirt is being produced with all profits to the charity Lymphoma Action.

The shirt is a partnership between the Trust and our friends at GB Sportswear, which is kindly producing the T-shirt at cost.

Sol’s wife Chloe, Cardiff City Football Club and Lymphoma Action have given the go-ahead for the production of the T-Shirt which has an iconic image of Sol on the front and his name and 14, his first number at the club, on the back.

The T-shirt costs £20 plus postage and packing and you can order this ideal Christmas gift online at www.gb-sportswear.com/sol-bamba

Trust Board Member Jonathan Hicks and Trust chair Keith Morgan have worked closely with GB Sportswear to have the T-shirt manufactured. GB Sportswear is also organising a video/photo shoot this coming week.

Trust Chair Keith Morgan said: “Sol was a Cardiff City icon and this T-shirt is a marvellous tribute to Sol. We’re sure Cardiff City fans will love this shirt and we expect huge demand. So,  I would urge fans to order as soon as possible to avoid disappointment.

“We’d like to sincerely thank GB Sportswear, a local firm, for taking on the crucial task of creating this iconic T-shirt at cost basis, which means all profits from the sale will go straight to Lymphoma Action.”

Cardiff City Fans’ Parliament Report

Note of Fans’ Parliament, November 1st, 2024

Dear Member,

On Friday, November 1st, I was invited, as a member of the Fans’ Advisory Board to the Fans’ Parliament. Also, Trust Board Member Gareth Williams was invited as one of the season ticket holders. It is his notes that form the basis of this email and I am grateful for his efforts in preparing a record of the meeting. After the meeting, I was able to get further clarification on what was said from senior staff and management of the club.

This event is part of the club’s consultation with fans. It runs in parallel with the Fans’ Advisory Board which deals primarily with strategic and corporate governance issues and the Supporters Liaison Group which deals mainly with match day and travel issues. The Fans’ Parliament is intended to give fans the opportunity to question the senior management of the Club on any issue. The 3 levels of consultation go a long way in satisfying the club’s obligations in respect of the Fan-Led Review of Football Governance.

Of the 100 season ticket holders​ invited, approximately 40 fans attended. I got the impression that the club was disappointed that so few were able to attend.  The club on their part had assembled Chairman Mehmet Dalman, CEO Ken Choo, the Head of Finance, and all heads of departments throughout the club and arranged presentations from those heads of departments in respect of their areas of operations​ within the club.

The presentations painted a positive picture of the club’s activities both on and off the field of play which demonstrated that they were looking to engage with fans and the wider community. These presentations were then followed by open questions from those present towards the various club departments. The following main points were made.

  • Financial Position of the Club – It was stated that the club continues to be compliant​ with the current Profitability and Sustainability requirements both for season 2023-24 and this season (which was confirmed in separate discussions with the Finance Director). Adjusted losses need to be below the figure of an average of £5m per year which can rise to £13m if the extra £8m is put in as more share capital. Continuance of this situation will ensure that transfer embargos and points deductions will be avoided.

It was also stated at the meeting that, effectively, the club was debt-free given that it was owned by Vincent Tan and the vast majority of the listed debt was actually owed to the owner.

This claim by the club is not entirely accurate and I sought clarification after the meeting. What should have been said is that all of the club’s debt in material terms is due either to owner Vincent Tan or to Tormen Finance, a company in which club chairman Mehmet Dalman has a significant financial interest. Therefore, there are no other outside parties who could or would demand repayment of debts.

Before the meeting, I was able to ask the Finance Director and Ken Choo about the impact on the club of the recent budget. He stated that a significant impact, especially in relation to the increase in Employers’ National Insurance contributions would be felt​, requiring realignment of budgets in order to remain compliant with Profitability and Sustainability.

It was stated that the club is in a better overall financial position than many other EFL clubs.

I have looked at a number of Championship clubs’ latest filed accounts and many show losses above our levels before selling off players at a big profit so underlying losses for them appear to be worse than ours.

  • The Club’s possible participation in the “Welsh Cup” and European entry. Ken Choo stated that he was in favour of exploring the possibility of entering the new competition as he feels obliged to examine all potential income streams. However, he was pressed to confirm that he would not pursue it if there was any risk to Cardiff City’s place in the English Football Pyramid. Ken Choo confirmed that he would not pursue the issue if that was the case.

The Trust view is that there is little benefit in entering such a competition in the hope that, if we were to win it, we enter a European Competition. The EFL and IREF (the Football Regulator when appointed) have the power to stop us or impose unacceptable restrictions. EFL Clubs would probably object if we have a route to Europe (and an income stream) not available to them.

  • Fans’ Advisory Board (FAB) – It was stated that the Club was leading the way in engaging with the FAB on a regular basis and we were one of only 5 Championship clubs to have an active FAB.

I think it is fair to say that Cardiff City is ahead of most clubs in having an  FAB. It is not perfect in the early days of operation but the Trust Members on it are working on improving this.  The Fan Engagement Policy, submitted to the EFL (on the club website) as they were obliged to do in the Summer, is a good document which other clubs are using as a template. Those Clubs who missed the Summer deadline are non-compliant. Whatever implementation issues there may be, research of other Clubs show that CCFC has more engagement meetings than most other clubs at our level.

  • Engagement in the Community – As part of the  125th anniversary they are aiming at 125 community engagements involving schools, communities etc. which will involve players and staff in promoting football, the community and the club.
  • Attendance in the Family Stand – Concern was expressed by the club about the large number of “no-shows” at games. It was stated that due to a good deal more 12.30pm KO many children were actually playing their own junior Saturday morning football which affected their attendance, this is an issue which is, of concern to everyone however there are difficulties which are yet to be resolved.
  • Atmosphere at matches and fan behavior – Concern was expressed over the current set up for home and away fans, the club stated that they were one of the first clubs in the country to introduce “Safe Standing areas” and were always keen to respond to fans concerns, however, there were no current plans to change the present set up within the stadium.  

It was stated that fan Behavior was generally of a high standard throughout but any racist or other forms of abuse​ would not be tolerated and would lead to stadium bans and prosecution when appropriate.

  • Alcohol  ​on ​the Terracing – The question was asked as to the club’s view on supporters being allowed alcohol on the terracing. Concern was expressed about the incidents being reported from Rugby (Principality Stadium) surrounding negative impacts on fellow supporters with alcohol in their seats. Wayne Nash stated that he had had discussions with other EFL Clubs and ground safety authorities and said that he would not be against it in principle if fans wanted it. The Trust board has not taken a view on this matter but would consult its members if it became a proposal.
  • The Court Case with Nantes FC –it was stated that the club’s case against Nantes was progressing and the club were confident on the outcome​. It is hoped that there will be some progress in the coming months. I have discussed the matter with the club’s legal advisors and hope to be able to update members in detail in the very near future.
  • Away Tickets issues – It was stated that CC ticket office was making all efforts to secure mutually favourable prices for away​ fans both at CCFC and away grounds. It was stated that some Championship clubs namely Sheff Wed and Leeds were very resistant to reasonably priced tickets for fans much to the frustration of CCFC ticket office and fans alike. Concerns were raised about disabled access and pricing on away matches which was not in the control of the CCFC.
  • Cardiff City Academy– It was highlighted that the Academy was now achieving better outcomes and as a level 2 academy was now amongst the best in the country. It was noted that a number of academy players were either breaking into the first team or on the verge of doing so. The club had made great strides in obtaining better quality loans for up and coming young players as an aid to their progression. A very positive picture was emerging on this area within the club.
  • Player Recruitment – The new head of recruitment outlined that they were now adopting a data-led approach to the recruitment of players. It was also stated that, using this approach they were looking to recruit​ improved longer-term​ transfers and move away from short-term loan players, due to the increasingly expensive cost of loan players especially from Premier League Clubs who ask​ clubs for, not just the cost of all wages, but also an additional premium as well as a substantial loan fee.
  • The Current Manager Recruitment position was raised – Omer Riza was present at the meeting and was very respectful to all those present.  It was fully recognised that things had greatly improved under his interim management.  When asked if there would be a quick decision regarding the managerial position Mehmet Dalman replied with a simple “No”.
  • Strategy– when​ asked by those present what the club strategy is the reply was to retain a competitive position at our current level in the short term but with gradual consistent improvement on the field with the aim of being an established Premier League team in 5 years. 

In summary, it was a very informative evening where the operations of the club were laid out for fans to see, it should be noted that this forms the basis of good engagement with club and Fans hopefully moving together in a positive manner.

Keith Morgan

Chair

Foodbank Collection Will Help Needy Families, Individuals In Pontypridd

Cardiff City Supporters’ Trust – with support from Cardiff City Football Club – is holding a sixth collection this Christmas to help  provide support for struggling individuals and families in the Pontypridd area.

A food donation point will be set up from 12.30pm close to the Trust office, near Gate 5, before Cardiff City’s clash with Watford on Saturday, December 7th, 2024.

Here is a list of food items most urgently needed by the Pontypridd Foodbank: Easy Cook Rice, Instant Pasta, Pot Noodles, Tinned Meat, Fish, Rice Pudding, Vegetables, Fruit, Tinned/Packet Soup, Long-life UHT Milk, Fruit Juice Long-life (both one litre), Shampoo, Shower Gel, Deodorant, Toothpaste, Soap, Washing Up Liquid, Cleaning Sprays, Baby Wipes, Large Nappies (Size 5 and Up), Jams and Spreads, Tea Bags/Instant Coffee, Instant Mash Potato, Biscuits or Snack Bars. No perishable food, please.

Food will then be collected by the foodbank well in time for Christmas.

Amanda Hayden-Hall, manager of the Pontypridd Foodbank which covers the CF37 Postcode said: “We’re thrilled to be partnering with Cardiff City Supporters’ Trust.

“Between April 2023 and March 2024, Pontypridd Foodbank provided emergency support to 6,714 people – a third of the food parcels going to children. On average, each client needed our help just twice last year, largely due to our work putting clients in touch with external agencies that could assist them to get back on their feet.

“Sadly, donations have dropped while demand continues to rise. In 2024, we’ve had to purchase 18% of our stock – double what we had to a few years ago – and this is only possible thanks to the support of our community.

“That’s why fans’ donations will make a real difference, whether it’s a tin of food, some pasta or a small cash or card donations. It all helps keep our shelves stocked and ensure no one in our area goes hungry. Thanks in advance to Bluebirds fans for standing with us to  help make a lasting impact on our community.”

Trust Vice-Chair Mike Spear added: “Everyone knows the struggles many face because of rising energy and food prices. The demand is great and foodbanks are having to purchase more and more food as understandably donations have dropped off because of the cost of living crisis.

“The Trust is once again appealing to the generosity of Bluebirds fans to give whatever they can afford – whether it is a jar of food or a bag of items. Anything supporters give will be gratefully received and, hopefully, it will make Christmas a little easier for families and individuals on the breadline.”

Mike Spear said that the Trust thanked Cardiff City Football Cub, its staff and players for support they keep giving to the foodbank collections.

Cash and card donations to the foodbank can also be made on the day and also online by clicking on the link below

DONATE HERE VIA OUR SECURE PAYMENT PORTAL

 

Trust Welcomes New Football Governance Bill

Trust chair Keith Morgan

Trust chair Keith Morgan has welcomed the introduction in Parliament today of the Foo​tball Governance Bill that will see an independent Football Regulator established. This will give football fans a greater say in their clubs.

Keith Morgan said: ”The Trust has been actively involved with the national Football Supporters’ Association and the UK Government for some time in helping to progress fans’ rights from a Fan-Led Review to formal legislation. This has continued after the change of Government this summer.

“Today, Culture Secretary Lisa Nandy will be presenting an updated, strengthened version of the Bill to the House of Lords in order to speed up progress of the legislation following approval to date in the House of Commons.

“The Bill will grant increased powers to an Independent Regulator of English Football covering the top five divisions of the English football pyramid. These powers will make clubs accountable for their financial well-being, including powers to enforce financial support from the Premier League to the English Football League  ​(eg parachute payments).

Another key element of the legislation is to make clubs far more accountable to their supporters with effective engagement and consultation. As Lisa Nandy says it puts fans back at the heart of the game.”

“The EFL has welcomed the new Bill in its updated form. While the Premier League recognises the key elements of the Bill can make the game stronger it is not happy with the proposed new power of the regulator to control payments between the EPL and the EFL.

“It ​is estimated that the Regulator will be fully in place in no more than 18 months but we will continue to update our members at each stage of progression.”