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Hearts' wage delays leave players and fans in dark



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Published Date: 02 December 2008
WHEN is a blip not a blip? When does a glitch stop being the result of human error and start being evidence of a deeper, longer-lasting problem?
The first time Hearts staff did not receive their pay on time, spokespeople for the club and for Ukio Bankas Investment Group (UBIG), the parent company, implied the reason was some little quirk which could be easily resolved.

"There have been no
problems at UBIG," Jurga Chomskyte-McGeever, UBIG's head of marketing and communications, said when asked by The Scotsman if cash-flow problems were the cause. "We hope (the non-payment] will never happen again. We don't expect it to, as there are no objective reasons why it did this time."

Back at Tynecastle, spokes- people for Hearts appeared to be totally in the dark about what was going on. When it was revealed that payment had not made its way into staff bank accounts as usual, one of them said the money would be paid early the following week.

That did not happen, and on the next Wednesday Hearts changed the payment date to Friday. They met that self-imposed deadline, with backroom staff receiving their monthly salaries in the morning and players getting their weekly wages later in the day, but there was never any reason given either for the initial non-payment or for the delay in rectifying the situation.

That was in late September. Chomskyte-McGeever said that UBIG were to meet Hearts director Sergejus Fedotovas in a bid to determine what had been the cause of the glitch, and after that meeting had taken place she declared the matter closed without any further explanation.

Two months on, and the event for which there was "no objective reason" took place again. This time it was only the players who failed to receive their money on time. Once more, a Hearts spokesman said the wages would be paid shortly, this time blaming a "blip". "The funds are in place," he said. "The money has been transferred and will be in the players' bank accounts on Monday morning."

This time there was no need for back-pedalling, but it was not until around 5pm that the club felt able to release a statement asserting that the players had been paid. Before that, senior officials had been in a meeting, and were said to be in touch with UBIG officials and trying to find out what the exact position was. "As announced earlier, players' wages were processed on Friday and the money reached their accounts this afternoon as agreed," the statement read in its entirety. The implication was that everything was back to normal.

There was no attempt this time to apportion blame. But nor was there anything about the cause of the delay, and that is the worrying thing both for those who went unpaid for three days, and for Hearts supporters. Until both delays are explained plausibly, and it is shown that whatever faults caused them have been ironed out, players and fans will fear a recurrence.

True, there is still a section of the support which remains loyal to Vladimir Romanov, the man who has a controlling influence in UBIG and, as such, has the fate of Hearts in his hands. But beyond that diminishing group there is an increasingly sceptical majority.

Romanov has been scaling back on his ambitions for some time now, and has long since given up making grandiose pronouncements about imminent European glory for Hearts. He and his companies are subject to the same economic vicissitudes as the rest of the world. Financial concerns far bigger than UBIG have faced serious problems in recent months, and it would therefore be little surprise if the Kaunas-based group began to encounter cash-flow problems.

We cannot say at present that any such problem was the cause of either this recent delay or the first one, but we cannot simply write them off either. Not without evidence one way or the other, and there is very little of that coming out of Tynecastle.

In fact, the vast majority of people within the club, players and backroom staff alike, know very little either. Their Lithuanian paymasters apparently see no need to tell them.

In such a situation, it is a wonder that the team is performing as well as it is, and much of the credit must go to Csaba Laszlo, the manager, for keeping morale high.

But positive results on the pitch can only continue for so long if there is nagging uncertainty off it, and given Romanov's track record we cannot expect clarity any time soon.





The full article contains 781 words and appears in The Scotsman newspaper.
Page 1 of 1

  • Last Updated: 01 December 2008 11:33 PM
  • Source: The Scotsman
  • Location: Edinburgh
  • Related Topics: Heart of Midlothian FC
 
1

Forward not Back,

02/12/2008 00:19:20
I like the way no 'journalist' put their name to this space-filler, when it is basically an admission that they know nothing. What a shame for you!
2

Maroon tinted glasses,

02/12/2008 00:42:58
Usual garbage scotsman, why should there be any clarity? Has anyone asked sir davie murray to wash his linen in public about the state of his empire and how it could be very close to come crashing down at any moment thus meaning the employees playing for his toything would get no wages at all (unless a buyer is found very soon)
3

GeorgeCowieOrWalterKidd?,

02/12/2008 08:30:33
Isn't the main problem that HBOS got into deep doodoo and tightened up their lending (especially to a business like Hearts which is in so much debt) meaning Hearts couldn't pay the wages the usual way - through a 100,000 overdraft with HBOS that covered any international transfer problems/delays? Given that it was this that caused the problem first time around, forcing UBIG to introduce a new system at very short notice, it's hardly surprising there would be problems
4

The Hon. Liam Fairtod,

02/12/2008 09:27:01
Hearts' wage delays leave players, fans and journalists in dark.
5

Santa,

greenland 02/12/2008 09:31:29
Two questions spring to mind;
1) Looking at UBIG's website,none of their listed interests are remotely profitable, so what supports the financial requirements of its football clubs ?

2)If there are problems paying nett wages, what is the position with other ongoing outlays? Are tax,NHI,VAT,rates,police charges,etc paid up to date?
I very much doubt it!!!
6

stillbelieving,

ayr 02/12/2008 10:09:39
I confidently predict that the Scotsman will go out of business. When that will be, tomorrow, next week or next century I can't be entirely sure but lets hope its sooner rather than later.
7

Who?,

02/12/2008 10:59:31
So the salaries were one working day late and all of a sudden the world is falling in?

Why can't Bathgate and the rest of the fools who write articles for this "paper" write something interesting, educational and factual? The errors in most articles are very worrying for people who are suppose to be educated people. Little research is done on a topic with the journo quoting rumours and gossip which tends to come from the voices in their head(s).

Its kind of sad that in 10 years the scotsman has gone from a national newspaper with proper editorial control and accountability to a tabloid rag run by a company who print and distribute free papers.
8

Big T,

02/12/2008 11:28:07
Do The Hibsman have a stutter???

Did I not read the same guff in another article in this rag today????
9

jockie,

Loanhead 02/12/2008 11:38:19
it is always better to make up a story and speculate rather than find out any facts , who was it who said ''the trouble with facts , is they get in the way of a good story''. sounds like a Scotsman byline!!!
10

John south of Soutra,

02/12/2008 12:22:56
question #7 - I take it you would be ok with your salary being paid a day late
11

Glorious Hearts,

02/12/2008 14:56:31
Number 5.....

Ukio Bankas, like many on here, is a tool. It is not the be-all and end-all of Romanov's businesses, it's merely a cog in the machine.

Hope that helps
12

Who?,

02/12/2008 15:31:29
#10 -i've had my salary paid late in the past and it made very little difference. The modern players earn a fortune and don't live hand to mouth.

Anybody on a salary above the bread line should be able to cope waiting from a friday- monday for the money especially when they are working on saturday and unable to spend it!

Lets face it anybody with half a brain can budget their cash (except for stuart bathgate and alan pattillo who are just thick). Have footballers (who have a very short career) never heard of savings?
13

Hibby Heapy,

02/12/2008 19:10:58
I think everyone is missing the point here. When this happened earlier in the year, everyone was told that there would be procedures put in place to stop this happening agin. However a few months down the line, it has happened again!

The question should be "Why has this happened agin! when the Hearts community were told it wouldn't.

Whether its sinister or not, I don't think we will ever find out, but if I were nuteral, and with my name I'm sure you will probably say I'm not, I would be worried.

And I am worried, worried for the Hearts fans, quite a few of who are good friends of mine.
14

Santa,

greenland 02/12/2008 20:05:04
#11 GH
I don't know how the words Ukio Bankas answers either of my questions? I know the Bank owns 6% of UBIG who own 98% of Hearts but as I asked where the profits came from to support 3 football clubs and how far are Hearts behind with their other creditors I don't find cogs and machines very helpful!
And before you claim Vlad's mega rich his personal fortune has shrunk to roughly the same as Heart's last published debts.

 

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