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Watford Football Club facing administration

December 16, 2009

Watford Football Club are on the brink of administration after Chairman Jimmy Russo, vice-chairman Vince Russo and director Robin Williams all resigned following a board meeting on Tuesday night. The trio only joined the board at the beginning of this year but decided to step down before they were pushed. The club have now suspended all shares from trading.

Jimmy Russo accused his fellow board members of attempting to “oust” the trio and was aware major shareholders Lord Michael Ashcroft and former chairman Graham Simpson were planning to vote them off the board any way, as they have a combined shareholding of around 54 per cent. But now with the Russo brother’s resignation they have their company Valley Grown Salads would be demanding the repayment of the £4.88m loaned to Watford with immediate effect. Unless the board can find the funding needed they will go into administration before Christmas.

Graham Taylor was made acting Chairman of the AGM after the resignations and said afterwards to the Watford Observer –

“Whatever happens, we are at a very crucial time in this club’s future, it goes without saying. Now we can all look back and decide who we want to blame for this and say this and that but the reality is that there is not going to be much gained, in fact I can’t see anything being gained, if we keep referring back to whatever has happened for whatever reasons. I believe in looking forward, I believe this is what it is, this is the reality. We have to face up to it, we are threatened with administration and the demand from Jimmy and Vince for their money to be returned will put us into administration. I make no bones about saying that because that is a reality. They did put the money into the club and they will have their side of the argument but at the present time, by demanding their secured loans, unless somebody comes to our rescue, we will go into administration”

The £4.88m owed to VGS is secured against the Vicarage Road Stadium, which means the Russo’s could sell the ground if they are not repaid their money.  Fans are said to be angry at what is going on as just two years ago they were enjoying the riches of the Premier League and the fact that Lord Michael Ashcroft (deputy chairman of the Conservative party) and Graham Simpson have not dipped into their pockets to save the club from administration.

Watford Football Club are my local football team and they have had a great start to the season and currently stand 10th in the Championship, just two points off the play-off places, but they face a 10-point penalty if they go into administration.

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2 Comments leave one →
  1. Pete Smith permalink
    December 22, 2009 5:19 pm

    They are my local team too. I live within a stone’s throw from the stadium – It would be terrible for this to happen; as you say they are enjoying a good season considering the shaky start and the problems off the pitch.

    The Chelsea game will be a bit of a lift – hopefully they can snatch a replay!

  2. December 23, 2009 7:35 pm

    I’m pleased to see things seem to be getting better. I hope they don’t have to sell players in January, rumours I know of Scott Loach going etc.

    Here’s hope 2010 is better for Watford Football Club.

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