Oldco Rangers liquidators to pay creditors £10m with £1.4m going to new chairman King

According to the Herald newspaper, the South African businessman’s payout is due to him being registered as an unsecured creditor in the club’s former incarnation, into which he ploughed £20 million 14 years ago.

His cash is part of an interim £10m payout to a host of creditors of the former club which will see them given around six to seven pence in every pound owed, liquidator BDO has confirmed.

The accountant said the payments, which have been reduced by one-third because of liquidator, legal and other administrative fees, will be made by the end of next month.

Nearly £11m has been paid out to accountants, lawyers and other administrative staff since BDO carried out the liquidation in October 2012, leaving £18m for creditors.

BDO papers show that £5.4m of the £6.2m costs of the liquidation incurred over the six months to the end of April were legal fees relating to the settlement of a claim against London-based Collyer Bristow, the solicitors involved in the controversial takeover of the club by Craig Whyte.

The liquidators banked £24m for oldco Rangers’ creditors.