Financial Fair Play investigation

[efcfanwirral]

Not really we were supposed to supply the Premier League with our 20/21 accounts before the 1st of March 2022. Our accounts for that period were filed late. Significantly we have changed auditors since then. That is despite Moshiri stating that BDO would remain our auditors.

Wasn't there a rumour of previous auditors refusing to sign them off?

 

[Villa_Fan]

are you including the 200mil off the stadium in your workings

I am basing the numbers on the recorded losses in the financial statements on the EFC web. Isn't the stadium owned by 'Everton Stadium Development Ltd' so it will be in a different set of accounts?

 

[blulouie]

Surly the majority shareholder they are referring to is Usmanov, no?

No

 

[blulouie]

Who’s the majority shareholder tbey refer to then?

Moshiri

 

[catcherintherye]

Wasn't there a rumour of previous auditors refusing to sign them off?

They did yes.

 

[gwladysnight]

I mean it's not illegal to change auditors is it, the last time I checked?

I agree its unprofessional to supply accounts late, but it's not illegal. They were passed, with the PL re enforcing their decision to accept the accounts in the following accounting year (that summer).

I'm unsure what has changed between now and then? Has there been a change in accountancy law? Or a public statement explaining in a change of approach to how they interpret the income statement?

The issue is that in October 2022 both Everton and Moshiri stated to the Guardian that BDO had not resigned and were still our auditors. So what has happened between October 2022 and now for BDO not to be the auditors signing off on our accounts?

 

[catcherintherye]

The issue is that in October 2022 both Everton and Moshiri stated to the Guardian that BDO had not resigned and were still our auditors. So what has happened between October 2022 and now for BDO not to be the auditors signing off on our accounts?

I mean its interesting mate, but it's not a crime to change your auditors is it?

 

[Damo_1878]

I am basing the numbers on the recorded losses in the financial statements on the EFC web. Isn't the stadium owned by 'Everton Stadium Development Ltd' so it will be in a different set of accounts?

No.

EVERTON FOOTBALL CLUB COMPANY, LIMITED is the parent company of the group

All the below subsidiaries are covered in 'the group' consolidated accounts

 

[gwladysnight]

They did yes.

BDO didn't sign off on the latest accounts it was Crowe.

 

[gwladysnight]

I mean its interesting mate, but it's not a crime to change your auditors is it?

Why do you keep mentioning a crime?

I would say though it is highly unusual to state that one firm is your auditor and then get another firm to sign off on your accounts.

 

[JLW]

Now they’re released is anyone any the wiser if we’re in breach or not??

 

[Bazlar]

The PL and their commission have a choice to make: punish Everton and destroy a club or (in the event we stay up this season) keep Everton on a short leash and allow the stadium to be complete.

Imagine being the PL and this 'independent' commission delivering a judgement that sinks one of the biggest names in English football. I cant imagine that was part of the plan when they insisted on FFP.

Also mate, they could threaten the development of the Northern Docks area

 

[HalfTimeSayers]

You need to reflect the uncrystalised losses.

Indeed. Which clearly the PL did for the previous periods otherwise we would have been referred a long time ago. It’s a key point that no matter how stupid things looked last year, we were judged as compliant. No one can see how that’s possible, so clearly no one can say anything with certainty about this year either.

Would be pretty brave for them to change tack on what they deem acceptable adjustments, as we would/could have changed our operating model last year if we were already found guilty of a breach. They would have allowed us to dig a bigger hole by signing Maupay!

Only wrinkle on those is that if we stated last year we had effectively lost £xx million because we couldn’t sell Richy at the peak of his value, but then subsequently sold him for a very acceptable profit, it sort of scuppers our own calculations.

No one knows what the exact genuine allowable adjustments to go from accounting profit to P&S profit/loss, even ignoring the Covid stuff. As per yesterday, and the day before, only the final judgement will settle this.

Quite interesting that so many people seem to know exactly how we stand as they can exactly specify what we spent on WSL and youth teams etc over the last 4 years, but none of them got close with a forecast of the headline loss that would be published today. Funny that.

 

[Bez2k2k]

What’s this about the premier league punishing us before the end of the season? I would hope they see sense and just be like here’s a fine. However I have no doubt they will make an example out of us, as I have said for a while, especially since the Russian invasion, they have wanted us gone.

 

[Villa_Fan]

No.

EVERTON FOOTBALL CLUB COMPANY, LIMITED is the parent company of the group

All the below subsidiaries are covered in 'the group' consolidated accounts

View attachment 207715

I understand they are wholly owned subsidiaries but where does it say their accounts are in the income statement? It says they are investments, these will be on the Balance Sheet