Morecambe FC crisis: "Club effectively grinding to a halt"

Morecambe FC

The head of a Morecambe FC supporters group says the crisis-hit football club is "effectively grinding to a halt".

Tarnia Elsworth, chair of the Shrimps Trust, spoke out after the apparent collapse of the long-awaited sale of the club - and the owner's revelation of the presence of an un-named new buyer.

Ms Elsworth also addressed concerns among Morecambe FC fans that this new buyer was "fictitious".

She also spoke about a transfer embargo placed upon the club last week, and how that affects the playing staff whose wages for June are yet to be paid in full.

Morecambe FC staff have only been paid a third of their salaries, and non-football events inside the stadium - including parties for school leavers - are having to be cancelled.

In a statement on Friday, Ms Elsworth said:

"Yesterday we started to hear that the new buyer wasn't fictitious, and that (Morecambe FC owners) Bond Group were in discussions with someone.

"We have unofficially been provided with a name, and we are working hard to verify it. In the meantime, we urge Bond Group to share details of this ASAP.

"If the buyer is real, and is engaging with the National League, the process of approval can take 10 days after all paperwork has been provided. 

"This doesn't solve staff wage issues now."

Ms Elsworth (below) also spoke about the resignation of the board of directors at Morecambe FC.

They had threatened to put the club into administration if Bond Group Investments didn't complete the sale to Panjab Warriors, the company who had agreed final terms with Bond Group to buy the Shrimps before the sale U-turn.

Jason Whittingham, director of Bond Group Investments, then said he'd sack them, leading to all five directors resigning en masse. But then the owner invited them back onto the board to help finalise the sale after all, only for them to resign again after final transfer of shares to Panjab Warriors did not take place.

"The club also doesn't have a board of directors, and if our former board does not return, new directors will have to pass the testing, to be appointed to the club, to then be able to finalise a sale," said Ms Elsworth.

Meanwhile Panjab Warriors have raised formal complaints with the National League.

They have called for an investigation - alleging breaches of the Owners' and Directors' Test (OADT) which owners have to pass to show they are fit and proper to own a football club.

Last week they also threated taking legal action against the Morecambe FC owners and if necessary, the club itself, saying they've already pumped millions into their hoped-for takeover.

"We are in contact with Panjab Warriors every day," said Ms Elsworth.

"They are seeking recourse action wherever they can."

The trust also said the transfer embargo - preventing the signing of new players - will "remain in place until the club is proven to be solvent again".

"We also understand that the current playing squad are only obliged to stay at the club for 14 days after non payment of wages," she said.

"That would be today (July 11). We understand the players are taking their steer from the PFA (Professional Footballers' Association) and I am sure any decisions from them will be communicated.

"The club itself is effectively grinding to a halt. We thank all of those who have stepped up to support cancelled events, and it is amazing to see the wonderful community effort.

"I also want to note my personal thanks to Lizzi Collinge MP. We are in constant contact with Lizzi, and she is doing all she can to get our plight on the national stage, and in the ear of our government."

Morecambe FC was put up for sale in September 2022.

Since then, the club has twice been relegated from its highest ever position of League One.

The Shrimps are due to begin their first season back in non-league football, on August 9. They are scheduled to play their second pre-season friendly, away at Hyde United, on Tuesday evening.

Panjab Warriors were given clearance by the English Football League (EFL) to buy the club in June.

Mr Whittingham said on July 4 that he had agreed final terms with Panjab Warriors to sell the club to them, after a week of uncertainty when it seemed the deal was on the brink of collapse.

But on July 9, he said another late buyer had come forward and he intended to sell to them instead.

Mr Whittingham also said on Wednesday: "This buyer will make their own statement shortly to introduce themselves and set out their plans for the club over the coming seasons.

"Further announcements to follow tomorrow."

There have been no further announcements from the club, Mr Whittingham or Bond Group since then, as we went to press.

 

MORECAMBE FC CRISIS: TIMELINE OF EVENTS SO FAR

Friday June 27: The Morecambe FC board of directors reveal that the planned sale of the club to Panjab Warriors is on the brink of collapse, just weeks after the prospective new owners gained clearance from the English Football League (EFL) to proceed with a takeover. The board said owners Bond Group Investments were "considering reneging on the deal". Players and staff at the club were due to be paid their monthly salaries, but hadn't received the money from the owners.

Tuesday July 1: The board gives Bond Group an ultimatum, sell to Panjab Warriors or the club faces being put into administration. By this point, staff have been paid around a third of their wages.

Wednesday July 2: Jason Whittingham denies "stalling" over the deal, says he still intends to sell but that "any transfer of shares (has to be) done in a way that holds no recourse for either the club or Bond Group". He says he intends to "resolve the matter of staff salaries" and wants to "avoid administration at all costs". As such, he says he has begun the process of dismissing the board. All five board members - co-chairmen Rod Taylor and Graham Howse, and James Wakefield, Charles Appleyard and Mick Horton - are terminated as directors at Companies House, although minutes of a Shrimps Trust meeting reveals all five had resigned before this.

Thursday July 3: Lizzi Collinge, MP for Morecambe and Lunesdale (below), says in Parliament that the club is "in crisis". Both she and Lisa Nandy, Secretary of State for Culture, Media and Sport, call on Bond Group to complete the sale. In a further statement, Jason Whittingham says "work continues to complete the sale process and give Morecambe Football Club the fresh start the club and its community deserve". Sponsors Bay Camera and Communications Ltd say they will stop sponsoring the club until it is sold.

Friday July 4: Mr Whittingham says the long-awaited sale will complete on Monday July 7 and that final terms have been agreed with Panjab Warriors. The board of directors, he said, have been invited back to "support the final stages of the sale process". The five directors are then reappointed. The Shrimps Trust said they had spoken to Kuljeet Singh Momi of Panjab Warriors, who confirmed an agreement had been reached. But, said the trust: "If a deal is indeed agreed, we do not understand why it needs the weekend to complete."

Monday July 7: Mr Whittingham says the sale will not complete on Monday as extra time is needed for "final items" to be signed off and "it’s likely we will need tomorrow to complete the sale.’’ In response, the board of directors resign again. Mr Whittingham also says there has been "a campaign of abuse" against him and his family on social media and this has "put off at least two potential buyers" of the football club.

Tuesday July 8: Panjab Warriors say everything is ready for them to take charge and accuse Mr Whittingham of holding the club hostage. As the new Football Governance Bill passes through the Commons, Lizzi Collinge calls on the Morecambe FC owner to "sign the damn paperwork". Morecambe beat Longridge 2-1 in their first pre-season friendly.

Wednesday July 9: Jason Whittingham says a new buyer has come forward and agreements will be signed "this evening". The Shrimps Trust respond by saying that the National League had not been made aware of the alternate buyer.

Thursday July 10: Panjab Warriors say they are "currently seeking legal advice and will begin exploring all legal avenues, including action for misrepresentation and recovery of funds". Meanwhile, events and functions at the football club are having to be cancelled, including parties for primary school leavers, due to the ongoing issues.

Read more about the ongoing crisis at Morecambe FC at these links:

Morecambe FC crisis: Panjab Warriors threaten legal action after Shrimps sale U-turn - Beyond Radio

Morecambe FC crisis: Owner announces last-minute new buyer of club - Beyond Radio

Businesses rally round to help Morecambe FC staff as wages remain unpaid - Beyond Radio

Morecambe FC owners-in-waiting say club is "being held hostage" over delayed sale - Beyond Radio

UPDATED: Morecambe FC takeover deal still not done as board resign for second time - Beyond Radio

Morecambe FC owner says social media ‘campaign of abuse’ has put off potential buyers of club

Morecambe FC owners say sale of club will complete on Monday

Morecambe FC crisis: Devastated Shrimps fan withdraws sponsorship until club is sold

Morecambe FC owner says "work continues to complete the sale process" 

‘Crisis point’ - Morecambe FC owner sacks board of directors as administration row rumbles on

Administration threat as Morecambe FC owner given sale ultimatum

'Where is the money?' Morecambe FC sale on brink of collapse after wages delay

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