Shrimp's Trust Statement on meeting with Sarb Capital

[AndyReifman]

Just go this email from the trust.
They could have made this easier by sending text instead of an email but I've transcribed it here.

On Monday representatives of the Shrimps Trust met with Sarbjot Johal and Saidi Kawooya from Sarb Capital, and Jason Whittingham of Bond Group regarding the proposed sale of Morecambe Football Club Limited.

During the meeting, we were able to raise some of the concerns that have arisen over the last few weeks. Sarb Capital have told us that the accusations of any involvement in a crypto-based investment platform are wholly untrue, and that an investigation is ongoing into the website alongside legal action taken with the allegation of copyright infringement and defamation.

Sarbjot was also keen to impress to us that the financial position and performance of the trading entities within the Sarb Capital group are vastly changed from the financial statements currently on public record at Companies House.

Whilst no further evidence was provided in the meeting, in our discussions it was mutually understood that the evidence to support the financial viability of the takeover will be provided to the EFL, who will perform the appropriate due diligence through the EFL Owners and Directors test. We understand Sarb Capital have already invested an amount of equity into the club, and their intention would be to invest further equity through share issue.

As part of the due diligence process, we would expect the EFL to clarify the source of the investment funds given that this information is not publicly evident from the financial results of Sarb Capital, its group and associated companies.

Sarbjot told us of his ambitions for the club, subject to approval from the EFL, which was aspiring and would involve significant investment both on the pitch and off it. Sarbjot is also keen to maintain a close relationship with supporters, if his application is successful, and build on our community foundations.

Our understanding is that the process is now with the EFL and the Trust look forward to a diligent and decisive response in due course. While we await further information after a constructive meeting, the Trust is in continued close dialogue with the Football Supporters' Association.

[BerlinWaller]

Well played to the people on the trust who gave up their own time to prepare and attend this meeting.

[redrobo]

Well played to the people on the trust who gave up their own time to prepare and attend this meeting.

Totally agree and thanks to the Trust for the update.

However my mind goes back to the promises made by a former owner of the club which never materialized.

I'm still worried about why would he invest in a club so far from his base and the money involved in his various ideas need considerable funding which is of concern.

Maybe I'm wrong about his intentions and that all is genuine but probably like others I'm concerned about the financing and the future day to day running of OUR club plus the continued involvement of our excellent current BoD.

Let's hope my worries are ill founded.....BUT.......

[RedRedWine]

Yes - well done to the Shrimps Trust trustees for giving up their time, and for providing an update. From my experience, it is a thankless task being involved in this type of thing - which on occasion puts you in a position of asking awkward but justified questions to discredited individuals with overly white teeth who may or may not be disqualified lawyers.

The trustees have the unenviable task of trying to remain balanced and having an open mind, keeping lines of communication available whilst doing their best to obtain some kind of information out of the prospective owner on behalf of members - to ensure that the intentions are robust, genuine, and sustainable.

Other than a pointed club statement and some thinly-veiled self-publicity through the press courtesy of Sarb Capitals media mogul who is effectively an ex-convict who fancies himself as an Instagram influencer, we have not seen any details about the takeover itself. In fact there has been very little by way of actual endorsement from existing club directors to my knowledge - which says a lot. Perhaps they also want more information, and have the same concerns that most normal people would share.

We don't know much about Sarb Capital in reality, but what we do know based on publicly available information does not fill you with a great amount of confidence. The Trust appears to have asked various questions, and only verbal assurances have been provided to date - no actual evidence. Due to the Trusts affiliation with the FSA, hopefully pressure can be applied to the EFL to ensure that the necessary due diligence is performed before this progresses any further - and there should be a time-limit for this to be completed that allows everyone to move forward. There can be no doubts - not after the mess that was left behind last time.

[redrobo]

It's all well and good to say things in a meeting which sound good BUT out of the meeting and amongst themselves they may have different and more truthful things to discuss about their real intentions....

Basically I don't trust them and sincerely hope that the EFL dismiss their attempt to buy OUR club.

[Old Man Kensey]

The statement reads very lukewarm to me, certainly not full of optimism.
Thanks to those that used their own time to represent all the Trust members.

I'm surprised the number of members has gone down, what with the increase in crowd numbers and the current takeover uncertainty.

If you're not a member you should seriously consider signing up.

[Keith]

If you're not a member you should seriously consider signing up.

Absolutely. In fact, I'd go further and take "seriously consider" out of the statement and replace it with "be"!

[Hodgie1978]

Yep I echo everything Keith has said.
We've been very lucky for the last 3 or 4 years.
We've built a great relationship with the club meeting every month.
These last few weeks have been hectic for the Trust and I know a few of us had to take time off work for the meeting on Monday. Everyone of us is a volunteer so we are always asking for a much help that we can.
We need members more than ever because nobody knows how this could turn out .

[black morse]

If Sir Jim Ratcliffe's bid for United fails he might want to consider our team? He is a lancastrian after all.

I think that might satisfy RR.

[SupermarketShrimp]

If you're not a member you should seriously consider signing up.

Absolutely. In fact, I'd go further and take "seriously consider" out of the statement and replace it with "be"!

If people could take the direct debit option for the tenner for the year - that really helps. We are having to contact people who we know are backers of the trust who's membership hasn't been renewed probably through ignorance that they've not paid, rather than making the decision to leave.