- Jul 17, 2008
- 14,853
- 20,662
Above the law? Not at all.
There is nothing illegal about a leveraged buyout.
Nor is there anything illegal or inherently wrong about accruing debt.
The reason why the likes of Portsmouth got into desperate trouble and plummeted down the leagues is that they accrued massive debts but were unable to service them. Their's was an unsustainable business plan.
Clubs like Man Utd and Real Madrid, by contrast, can accrue massive debts and comfortably service them.
Yes, I'm aware of this. I've just never liked the way Madrid have gone about their business and just venting frustrations. Although they're not doing anything strictly illegal I still perceive them as acting above the law in their attitudes and the way they've had a very unfair advantage given to them by the Spanish authorities over the years.