The Goldstone money

[Brian Fantana]

For those of us who were too young to really know what was going on with the Albion in the dark days, there are a few nuances which still escape me. I know there's a lot of posters on here who were heavily-involved in those days who might be able to shed some light.

From chatting to family, other fans and reading books etc, I'm obviously aware of most of what happened. However one thing I've never quite got my head around is what happened to the money generated by the sale of the Goldstone?

I know that Archer and co removed the non profit clause, but given the fact that the club didn't go out of business (and indeed their deception was uncovered), I'm guessing much of the money raised went to pay off debts? Or did the shysters find some sneaky way of getting it out of the club?

I also know that the land was subsequently sold again for a much larger price to a developer. Do we know if Archer and co had some sort of involvement with the original purchasers and therefore cashed in when it was sold again?

 

[tubby]

The original sale money went to pay off debts but it was rumoured that Greg Stanley had a family interest in Chartwell Land who bought the Goldstone and then sold it for a large profit.

 

[Hugo Rune]

The original sale money went to pay off debts but it was rumoured that Greg Stanley had a family interest in Chartwell Land who bought the Goldstone and then sold it for a large profit.

This. After the two Pauls found the non profiteering changes to the articles of association and they were put back meaning no profit could be made from the sale.

However, Stanley and maybe Archer lent the club a lot of money at extortionate interest rates so they were happy enough to get their money back plus more. It's suggested both invested in the club in order to sell the ground and make a lot of money, they probably did when Chartwell sold it so they both achieved what they'd set out to although the club surviving must have been something of an annoyance to Archer who seemed to hate it and the fans with equal fervour for getting in the way of his profiteering, he later made £300m+ from the sale of Wickes.

 

[Brian Fantana]

The original sale money went to pay off debts but it was rumoured that Greg Stanley had a family interest in Chartwell Land who bought the Goldstone and then sold it for a large profit.

This. After the two Pauls found the non profiteering changes to the articles of association and they were put back meaning no profit could be made from the sale.

However, Stanley and maybe Archer lent the club a lot of money at extortionate interest rates so they were happy enough to get their money back plus more. It's suggested both invested in the club in order to sell the ground and make a lot of money, they probably did when Chartwell sold it so they both achieved what they'd set out to although the club surviving must have been something of an annoyance to Archer who seemed to hate it and the fans with equal fervour for getting in the way of his profiteering, he later made £300m+ from the sale of Wickes.

Thanks!

Any idea what the club's debt level was when the ground was sold? There must have been a surplus left over after paying them off, which Archer and co wanted to hoover up.

 

[Beach Hut]

If it's the Cup Final money, Ernest is an expert on this

 

[Weststander]

I was informed that they didn't have any interest in Chartwell.

It less traceable than that.

Instead an 'unrelated' land deal in the Sunderland area in the same era, gave two characters / their company a financial benefit in the order of the (18 months later) deal for the Goldstone. Allegedly.

 

[Carrot Cruncher]

The Goldstone was sold to Chartwell land (the development arm of the Kingfisher group) for £7.4m. It was alledged at the time that debts were around the £6m mark, so those debts were cleared, but I doubt the club had a tidy £1.4m sitting in the bank. The (empty) site was then sold on for £25m to a company Archer may or may not have been involved with...*


*I'm saying nothing as to what I believe...

 

[Carrot Cruncher]

Paging [MENTION=743]Henfield One[/MENTION]...

 

[Guy Fawkes]

The Goldstone was sold to Chartwell land (the development arm of the Kingfisher group) for £7.4m. It was alledged at the time that debts were around the £6m mark, so those debts were cleared, but I doubt the club had a tidy £1.4m sitting in the bank. The (empty) site was then sold on for £25m to a company Archer may or may not have been involved with...*


*I'm saying nothing as to what I believe...

I can't remember the quoted (or rumoured) figure at the time, but wasn't it only something like £2.7m of debt when Archer first arrived at the club ? An amount that jumped massively under their leadership to get to that £6m debt figure at the time of sale?

 

[Brian Fantana]

Paging [MENTION=743]Henfield One[/MENTION]...

@Henfield One - any further info on this would be really interesting.

 

[peterward]

Purely from memory I thought it was 4m initial then 24m a year later?

Either way those scumbags fleeced our club and trousered many millions.

 

[Green Cross Code Man]

This. After the two Pauls found the non profiteering changes to the articles of association and they were put back meaning no profit could be made from the sale.

However, Stanley and maybe Archer lent the club a lot of money at extortionate interest rates so they were happy enough to get their money back plus more. It's suggested both invested in the club in order to sell the ground and make a lot of money, they probably did when Chartwell sold it so they both achieved what they'd set out to although the club surviving must have been something of an annoyance to Archer who seemed to hate it and the fans with equal fervour for getting in the way of his profiteering, he later made £300m+ from the sale of Wickes.

Like many here, refused to EVER buy anything from them when he was owner.