Monday, September 16, 2024

Vitesse loses pro football licence over financial crisis

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In April this year, the KNVB docked 18 points from Vitesse
the largest such penalty in Dutch history, and one that guaranteed the
club’s relegation – for repeated breaches of licensing regulations and
providing incorrect information to investigating authorities. It also
said its inquiries unearthed “indications that Abramovich has or has had
control over Vitesse”.

Vitesse has been in a desperate hunt for a new owner to pay
off the club’s mounting debts. However, one prospective US investor,
The Common Group – which also holds a significant amount of the club’s
debt – was rejected by the KNVB. The football authority cited a lack of
transparency over the origins of the group’s funds.

Despite gaining approval to transfer Oyf’s shares in
Vitesse to a new foundation, which could then pass them on to a buyer,
the club has been unable to raise the funds to balance its books – a
requirement for retaining its licence.

Vitesse said that it would appeal the decision, adding that
a preliminary agreement had been reached between Guus Franke, a
Swiss-based Dutch entrepreneur, and Coley Parry, CEO of The Common
Group, on the group’s share of Vitesse’s debt.

According to the club, Franke will only become the intended
owner of Vitesse after the debt is restructured and “on the condition
of approval and the eventual granting of the licence by the KNVB”.

Edwin Reijntjes, Vitesse’s interim general manager, said:
“Hopefully we will receive good news from the licensing and appeals
committee within a few weeks and we can definitely continue.”

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