28th January 1965: Bates launches Howarth on the Manchester Stock Exchange. Howarth is a construction and property development company based in Burnley.
Also in 1965 he becomes chairman of Oldham Athletic.
1966 A member of Oldhams' board resigns saying, Bates believes in a
committee of two, with one absent
1966 bates begins a building project in the British Virgin Islands. It
involves the reclamation of several acres of land and a small island called
Anegada. The British Foreign Office supports the project.
1967 Howarth is in trouble. At the shareholders meeting Bates say we have
put the worst of the troubles behind us. I am not getting out.
July 1968. Some of the bankers who helped Bates finance the British Virgin
Islands project refuse to work with him; citing his appalling manners. At
this time Bates admits to the Financial Times that he earned his money by
breaking the rules. Bates, his wife, and now 5 children move to the
British Virgin Islands. Bates resigns as a Director of Howarth and as
Chairman of Oldham Athletic. Vice-Chairman, Harry Massey says, Bates was too ambitious, too quickly. His pace was too fast.
24th July 1969. Howarth reveals debts of £1.8 million and calls in the
receiver.
1969. After 1 year of the British Virgin Islands project locals complained
of Bates's vulgar behaviour, especially local female politicians. After a
local town flooded, allegedly as a direct result of the land reclamation,
locals threatened violence against Bates's cavalier attitude.
1970. Concerned about Bates's continued presence in the area and the level
of civil unrest, the British Government intervened. Bates says he wants $10
million to go or I'll get mean.
21st April 1974. Bates accepts $5.8 million from the British Government to
leave the island. It's grossly unfair, says Bates who pays all the
creditors, but fails to earn his anticipated fortune.
Bates moves to Dublin, Ireland and now opens his own bank Irish Trust
Bank. The bank is focused on small savers in Ireland and attracts 1,400 savers in it's first year of operation (including George Best and Bobby Charlton)
1971. Bates's bank advances a large sum to International Trust Group which
also, curiously, owns 20 per cent of the bank itself.
17th April 1972. Following concerns from the Irish Central Bank, Bates
resigns as a director to be replaced by Freddie Pye (a former wrestler,
scrap merchant and Chairman of Stockport County.) Pye metals immediately
secures a loan of £200,000 from the bank.
1974. Bates meets John Papi, a Kuwaiti, employed by Stoy Ayward as an
insolvency expert. Acting on advice from Papi, Bates took over Kemp
Directories for £1 (earned Bates over £1 million) and Owen Press also for
£1.
1975. Irish Trust Bank is in difficulties. The Irish Central Bank cites too
many loans to anonymous offshore entities. These loans were not being
repaid. Bates, even though he is not officially a shareholder or Director
fights a court action to revoke the bank's license.
23rd March 1976. Bates and 2 other men (described as heavies) walk onto the bank's premises and seize documents. A warrant is issued for Bates arrest. The judge orders Bates to return the papers and grants the
application to close down the Irish Trust Bank.
1977. Across Ireland many small savers are faced with loss of life savings.
The Irish Government intervenes, during election year, and promises to repay
all the lost savings in full. The investigation could never prove that any
loan was made either directly to Bates, or any company Bates was directly
associated with. There were however some remarkable coincidences.
Bates emerged from the seventies with about £5 million. Much from the advice of John Papi. Bates then grew his hair long and moved to Australia.
Bates A potted History - Part 1 & Part 2
posted on 16/8/11
I wouldn't trust this fella with a sandwich. Part 2 coming up which is Chelsea all the way up to abramovitch. Would love to see part 3 where he fooks the Wembley project up and we see the costs double, sound familiar anyone
posted on 16/8/11
Bates OUT!
posted on 16/8/11
November 1981. Bates resurfaces in London and meets with John Papi who informs him that he can have Chelsea Football Club for £1. Acting on this
advice, Bates buys Chelsea. Though, interestingly, when submitting his ownership of this and at least one other company submits an incorrect date-of-birth.
Without sufficient cash Bates makes a massive mistake and does not buy the second company which owns the stadium and surrounding land. Instead, the
freehold is sold to Marler, a property development company and the club are given notice to leave the stadium in 1989.
The eighties are not great times for either Bates or Chelsea. Fighting for control of the ground and Chelsea's problem with a hooligan element
dominated the eighties. In response to this hooligan problem Bates applies for permission to erect an electric fence which is rejected by the local
council.
1991. Bates and Chelsea are saved as Marler are insolvent. The freehold is now with The Royal Bank of Scotland who grant Bates a 20 year lease with
'Option to Buy'.
1992. Chelsea announce further losses and a widening deficit. They are unable to pay many creditors, including a £1.75 million unsecured loan with The Royal Bank of Scotland. Technically, Chelsea are playing football while
insolvent, an infringement of FA regulations.
Again, acting on advice from John Papi, who notices a mistake in the player's contracts issued by the FA. They are in the name of 'Chelsea Football Club' rather than the 'Chelsea Football and Athletic Club'.
Papi creates 2 new companies Chelsea Village Ltd and CFAC, Ltd and on 14th August 1992 assets of Chelsea Football and Athletic Club are transferred to the new legal entity CFAC, Ltd.
Chelsea Football and Athletic Club was then renamed CFAC, Ltd to protect the name 'Chelsea Football Club'. Next all of CFAC's assets were transferred to
Chelsea Village Ltd. Everything was now set for CFAC to be placed in receivership.
Also around this time Papi also transferred Chelsea's players, worth £7 million, from CFAC to Chelsea Village (whose shareholders were anonymous
offshore trusts). This transaction was criticised by Touche Ross as unlawful. To complete the process, season ticket sales were not deposited with the old company CFAC.
June 1992. Papi transfers £620,000 to Chelsea Village leaving debts of
£418,000 in CFAC. Maybanks (Chelsea's printers), unaware of these transactions issued a formal winding-up order of CFAC.
May 1993. As Chelsea Village was also the largest creditor of CFAC, John Papi was also appointed as the receiver. He announces that CFAC had no
option but to cease trading. Creditors were outraged that the liquidator had favoured Bates and in late 1993, at the request of the creditors, Bates was investigated by the FA.
Bates wins a High Court judgment to cease the investigation. Bates has to guarantee to repay the creditors.
Unsatisfied by the failures of John Hollins, Bobby Campbell, Ian Porterfield and David Webb to transform the fortunes of the club, Bates appointed Glenn
Hoddle as manager in 1993 and a mediocre Premiership club began ascending the table.
1994. John Papi's license is withdrawn and 4 years later he is jailed for cheating the Inland Revenue.
Hoddle's Chelsea reached the FA Cup final in 1994 and further success, funded by Matthew Harding's cash, followed under Ruud Gullit and Gianluca Vialli.
Bates's marriage to wife Theresa collapses after he is discovered to be having an affair with Pam a model.
Chelsea won the FA Cup in 1997 and 2000 and the European Cup Winners' Cup in 1998 and reached the semi-finals the following year.
The sudden sackings of Gullit in 1998 and Vialli, the club's most successful manager, in 2000 showed that despite his advancing years Bates had not lost
his ruthlessness.
The Chelsea chairman, though, was struggling to tame the club's debts, believed to be in the region of £80m. From nowhere came one of the richest men in the world - Roman Abramovich's. His takeover ensured secured the long-term future. Without him, many believe Chelsea may well have been in the same position as Leeds United and indeed Sheffield Wednesday.
Bates received a reported £17m for his original £1 investment.
posted on 16/8/11
The Chelsea chairman, though, was struggling to tame the club's debts, believed to be in the region of £80m. From nowhere came one of the richest men in the world - Roman Abramovich's. His takeover ensured secured the long-term future. Without him, many believe Chelsea may well have been in the same position as Leeds United and indeed Sheffield Wednesday.
*DING DING DING DING*
and here you have come across (in my opinion) the crutch of the current Leeds problem.
Despite what we might think Bates aint stupid, and he doesnt have a short memory either. He is not going to risk riches again and plunge his current team into debt.
This time around he is counting every single penny. Which unfortunatly is not what we the fans really want.
posted on 16/8/11
It isn't very potted is it!
posted on 16/8/11
Matty and Orange, I guess you 2 still think this w4nker is our saviour
posted on 16/8/11
I'd like you to point to where I have ever said Bates was our Saviour.
posted on 16/8/11
"I hear fans saying that the wage bill isn't big enough or we don't spend much money, but how would they know how big our wage bill is or how much we spend?"
"I'm still here and the reason I'm here is because no Yorkshireman was willing to put his hand in his pocket in 2005 or 2007. If it wasn't for me, there wouldn't be a football club at all. The people complaining are a vociferous minority."
posted on 16/8/11
Harvey recently told the commons select committee that our wages are under control and that many clubs would love to be in our position, as we don't have a huge wage bill. Believe whoever you want, because it won't be the first time 2 directors of the club have got different stories. lets hope the select committee ask bates to turn up this time and explain why Harvey told lies ...
posted on 16/8/11
i BELIEVE THAT RUMOURS ABOUND HE HAD A CONTRACT ON HIS HEAD