Liverpool Deal..

[Greg_B 306]

Govt hints that it will abandon Liverpool stake deal

 

BANGKOK: -- The government gave many strong hints yesterday that it was giving up the controversial bid to buy a 30percent stake in Liverpool Football Club, questioning the club’s financial situation and voicing concern over the special lottery plan to finance the purchase.

 

Cabinet ministers leaked comments to the press, saying Thailand would reorganise the way the club did business if the bid succeeded.

 

This, observers say, was apparently aimed at discouraging the club from agreeing to the deal, which has created a political storm in Thailand.

 

Despite initially failing to heed warnings that Liverpool FC is far from a perfect investment choice, government officials are now mentioning the club’s financial burdens, although they say Liverpool’s reputation alone is still a sound investment.

 

“What I fear is not the financial status of the team but the opposition by several groups, especially senior figures,” said Deputy Commerce Minister Pongsak Ruktapongpisal, the chief Thai negotiator on the deal.

 

Government Spokesman Jakrapob Penkair said in a separate interview that the Thaksin administration would have to take into account the feelings of Thai people.

 

Opposition to the lottery plan has become tumultuous and a signature campaign has been launched to block the deal.

 

Even PM Thaksin Shinawatra’s political mentor, Chamlong Srimuang, came out on Monday to harshly criticise him.

 

“Because the talks with Liverpool still go on, the lottery plan will be suspended for a while,” Jakrapob said.

 

“The negotiations with the club will go on, but the prime minister has made it clear he would not push forward stubbornly or simply walk away without reasons.”

 

“Promoting vice is never my idea,” the PM said. “But Thai society undeniably still indulges in gambling, and that’s a reason why my government has issued new lottery tickets to compete with the underground lottery. In the Liverpool case, it’s not at all about gambling. People who are criticising me just don’t understand what I’m doing.”

 

Pongsak said Liverpool had ฃ2.8 million (Bt208 million) in cash, assets of ฃ100 million and a debt of about ฃ18.9 million. The figures could not be independently confirmed by the club.

 

While saying the club’s reputation would provide “immeasurable brand value” to Thailand and help lift the country’s image internationally, Pongsak again cautioned that the deal was not final and suggested that if it fell through the Kingdom was willing to look at other teams. “If you see the Cabinet resolution, you will see that the Cabinet approved the lottery to buy an English Premier League team,” he said. “We did not name the team. That means we can go to another if the current bid fails.”

 

Government officials said the prime minister’s working team had uncovered the “diversity” of Liverpool businesses and was worried by it. “Unlike other leading clubs like Manchester United, Arsenal and Everton, which have been involved in sportrelated activities only, Liverpool has diversified its business,” said a government source, who asked not to be named.

 

“If Thailand manages to buy the 30percent stake, we will have to demand substantial control of the way the club does its business.”

 

--The Nation 2004-05-02

[nidnoyham 30]

Oh dear, just when I had an excuse not to buy Thai Lottery tickets, they go and change their minds about spending the money on Scouserpool. Here we go again, 1000 bhts worth of tickets to win 1000 bht, if lucky.

[Babepecker 0]

Thaksin seems to be a publicity wizard - he got a lot of it, as it now seems, for free.