Duxbury's 'disaster' warning
Filed: Saturday, 27th June 2009
By: Staff Writer
Scott Duxbury had told KUMB.com that the much-delayed club accounts are 'a disaster'.
West Ham United CEO Duxbury, talking to KUMB.com for our latest Q&A admitted that the twice-postponed figures reveal substantial losses incurred as a result of Eggert Magnusson's 'massive player acquisition programme'.
Duxbury also revealed that transfer fees for players such as Matthew Upson - for whom the financing was thought to have come personally from Bjorgolffur Gudmundsson - were actually secured on bank loans; loans which the club is now in the process of repaying.
"The accounts were a disaster; we've had absolute Hell," said Duxbury. "We've had the owner going bankrupt, XL ... it's been an absolute disaster.
"We've had massive pressure from the banks. The collapse of our various partners and owner conincided obviously with the banking world just being absolutely destroyed.
"When Eggert came in we embarked on a massive player acquisition programme. It's not just the transfer fees, it was the salaries that were given. And all of this, we didn't know, was bank funded - it wasn't owner funded.
"Then the banking world collapses and they said 'we want our money back'. Fantastic."
However Duxbury added that the club are now back on an even keel whilst confirming that Gianfranco Zola will have substantial funds at his disposal from the summer of 2010 onwards - although this summer, any inward acquisitions are likely to be loan-based, as per the recent Luis Jimenez transfer.
"Ironically the past year-and-a-half has been the best it's been," added Duxbury, "because we haven't had an owner.
"We've been able to just get on and run the club without interference and basically implement the business plan."
You can read the full interview with Scott Duxbury here on KUMB on Monday morning.
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by Jimmy Anderson
09:03AM 28th Jun 2009
''The more I read about Duxbury the more I like him. He seems to have the best interests of the club at heart. I really hope he remains the public face of the West Ham board.''
by Tell it how it is Charley
07:57AM 28th Jun 2009
''This just gets worse. Who gave Eggert full power? No-one else knew what Eggert was doing and how he was conducting transfers; pull the other one. As the CEO Mr. Duxbury, you never saw it fit to question the financial merits of these transfers? Resign!
XL in all likelyhood was a deal done with the former chairman who lent XL a great deal of money. There are many questions about the conduct of the whole board. To me this just looks like a board that were totally drunk (a bit like those pigs on Animal Farm). There must be a case of gross negligence to answer.
The question still remains how West Ham PLC are to pay these huge debts when they don't make a profit. You've stated it yourself, the banks want their money back, how do you intend to pay them back? Surely now a fire sale of players is imminent.
This is a very sorry day for West Ham. I can see no light at the end of the tunnel you can only see this getting worse ending in bankrupcy and the club ending in the third division like Leeds. The only positive was that Eggert never got his wish of building the new 60,000 seat stadium. Another £400m, this really would have sent the club into oblivion.
It doesn't say much about the heirarchy when the club function best without management. An absolute joke!''
