Power to the people

Chris Bailey

November 16, 2006

David Bernstein

DAVID Bernstein has been approached by concerned City fans anxious to help turn around the club's fortunes.

The group of supporters are canvassing opinion behind the scenes among high profile Blues and shareholders including former chairman Bernstein.

M.E.N. Sport is aware that the fans' group, founded by Guernsey-based business manager Ollie Goddard, Miles Webber, a financial executive and fellow supporters Colin Savage and Colin Howell, wants to form a trust that they hope will lead to representation on the board and encourage investment into the Blues who will confirm a debt of é51m - é32m of it external - when they hold their annual meeting at the beginning of next month.

The former City chairman has often been linked with a return to the club after departing midway through Kevin Keegan's reign as manager leaving major shareholder John Wardle to take over the reins.

The Trust move began on www.manchestereveningnews.co.uk when Goddard expressed his concern about the club. That led to many supporters of like-minded opinion contacting him and the four fans got together.

Two of the prime movers are believed to have spoken to Bernstein in London yesterday, though it is not clear what if any new role the fans' group would hope him to play.

The former supremo has since broken his three-year silence.

"Over the last few months I have numerous calls from supporters and supporters' groupings expressing unhappiness over a wide range of issues and the club's general direction," verified Bernstein to M.E.N. Sport. "These concerns appear to be increasing and it worries me that so many people feel this way."

Dialogue

City's bosses, meanwhile, have already broadly welcomed the Supporters' Trust initiative and have opened talks and met with them though they believe that many of the group's objectives are already being fulfilled. It is not known whether the group's meeting with Bernstein will affect the nascent relationship.

Blues spokesman Paul Tyrrell said last night: "We are in constructive dialogue with the people who are behind the 0idea. However, it is important to keep a perspective on their ambitions.

"Trusts do a great job at the lower end of the football pyramid, but the high financial stakes in the Premier League somewhat limit their potential effectiveness - as we have seen at other top flight clubs.

"All our fans must be clear that there does not appear to be any significant investors or investment opportunities associated with this group of well meaning people.

"Most of their stated aims are being delivered by Manchester City - day in, day out."

Trusts have had notable success in the lower divisions, at Brentford and Northampton for example, and in non-league but the Premiership is new ground and the group would have to find in the region of é80m to gain total control and wipe out the debts.

The Blues have historically shown that they are open to new initiatives having in the past incorporated a "fan on the board."

The group hoping to make an impact at City are planning an open public meeting in the New Year at a venue yet to be decided. They would like it to be at Eastlands.

Also in the pipeline are presentations to the Blues various supporters' associations, official and otherwise, and they may also go out to individual branches.

They are communicating mainly by electronic newsletter and by a blog but they have planned a website and say they registered MCFCSupportersTrust.co.uk and .com.

Savage 51, from Prestwich said last night: "We are not a sack-the-board movement.

"Our primary objective is to re-engage the supporters of Manchester City. We are at the planning and investigatory stage and we have spoken to many, many people associated with the club asking for help and advice."

Objective

Confirming the group had been in touch with Bernstein, Savage refused to confirm or deny whether they had spoken to another former chairman Francis Lee.

Savage said: "Our next objective is to speak to the supporters' group. This has always been part of our plan."

Savage, a City fan for 40 years said that they have not had a face to face meeting with City directors but had been in contact.

Goddard describes himself on the blog as an avid fan and Manchester City shareholder He explains that Supporters' Trusts are set up to promote and support the concept of democratic supporter ownership and representation though mutual not for profit structures.

They are also set up to promote football clubs as civic and community institutions and work to preserve the competitive values of league football in the United Kingdom and promoting the health of the game.

"I, many fans and shareholders feel that such an organisation should be put in place at our great club," he wrote.

"We have raised the possibility of a Supporters' Trust with the club.

"According to the latest figures available approximately 5,000 individuals and nominees own 33 per cent of the club but do not have a representative on the board or a voice.

"A trust does not require the backing of the club. Supporters' Direct, a Government backed agency to promote Supporters' Trusts, are backing our bid to set one up."

What do you think? Have your say.

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Colin Savage, Manchester (16/11/2006 at 09:16)

Just like to clear up one or two points in this story. I made it clear when interviewed that we would not break confidences where we had been asked to respect those and therefore would not confirm that we have met with any individuals (including David Bernsten) unless those people were happy to be named. However, I can categorically say that we HAVE NOT met Francis Lee and have no plans to do so. Among other reasons why we will not do so is that he is one of the four major shareholders in the Club whereas we are looking for the trust to speak for any of the 5,000 smaller shareholders (and any other supporters that don't hold shares) that wish to join us when we launch. If Lee wanted to join the trust he would only get the same one share and one vote as any other member, regardless of how many shares in the club he had. If anyone wants to know more about trusts see the Supporters Direct website.

mark, bluefield (16/11/2006 at 09:22)

What difference is this going to make to our club. There still won't be any money for new players. Waste of time guys.

the greek, coms (16/11/2006 at 09:24)

im all fore sacking the board of directors as monies in and out of club do not add up and i think they are taking huge pay out of us.how can we sell a player 4 21m buy players max worth 10m and still be in 51m in the red???????????when buernstein was in control he managed to get us out of dubt and used his own money without him getting paid till the club was in a good state of affairs but the lot we have now will take every penny they can get there hands on.And a worring fact Cardiff city are in 20m dubt and it will take them a championship side a yr to get out of it and we in the prem are not getting rid of any whats right with that BRING BACK BURNSTEIN HE HAS GOOD BUSINESS HEAD ON HIM PROVEN CTID

Bertie Blue Nose, Eastlands (16/11/2006 at 09:25)

This is extremely interesting, but can anything really come of it? Mr Bernstein was forced to resign when his attempt to prevent Kevin Keegan frittering away GBP8.5m on David Sommeil and Robbie Fowler failed. They were players bought we did not need, with money we did not have, and at a time we did not need them. Mr Bernstein said so, was forced out, and he was subsequently proved right. As for Francis Lee, he proved to be a truly catastrophic chairman, sacking a manager who kept us in the Premiership (Brian Horton) and allowing another (Alan Ball) to keep his job after taking us out of the top flight. If that is not a warning sign, what is?

Mickey H, Stockport (16/11/2006 at 09:34)

Wooooo! Been a long time coming this piece. The knives are out Ollie & co. Looks like the club don't want the trust!!! Further proof the MUEN are in league with those who seem determined to make City fail.

Phil, Sheffield (16/11/2006 at 09:34)

All the very best to the Trust founder members and a big thank you to them for initiating this. I really hope that the club will view this positively and work with the Trust for the betterment of Manchester City and therefore the City fans. I hope that we can get the best brains on the job - and that means David Bernstein too. It was such a shame that there was a split in the board in 2003. I hope that split is not irreconcilable and that Bernstein can be brought on board for the betterment of everyone associated with Manchester City.

Blue Tiger, Virginia (16/11/2006 at 09:52)

All these guys mean well , and take the time to do all their hard work because they care about the club they support.
But the big problem with MCFC right now in my view is the lack of new investment into the club.
Because of the large debt no own is willing to come forward and invest.
A gamble was taken by MCFC Board by taking out a loan and paying for it with a guarantee of future ticket sales.
Out of this loan some bad buys were made, we all know who they were.
I don't get into they financial side of the club, for I am just a fan who wants the club to start winning some games.
Its good that there are people who care about the financial side of the club to keep it on the straight and narrow.
Come on you BLUES!

Colonel Mad, Beswick (16/11/2006 at 09:59)

I have been following the debate with interest. I like the idea of the trust. And Ollie and co are well meaning. But they are very naive when it comes to dealing with the press the club doesn't need more boardroom unrest, it needs stability all they have achieved so far is to create a platform for mischief-making. What is actually required is investment and prudent management

BlueBlue, Blue Yonder (16/11/2006 at 10:02)

I would like to second the previous statement by Phil, Sheffield. I believe the proposed idea is an excellent one and I shall give it my 100 percent backing in any way I can. David Bernstein's record whilst at the club speaks for itself. It is also very obvious that if 5,000 "small" shareholders own one third of the club then their voice should be heard. In recent years Manchester City F.C. has been run as a "closed book" and the people that pay their money have had no insight into the financial affairs of the club. The majority of us want change, but only a very few are prepared to stand up and get the wheels turning. Ollie and his pals should be given our full support.

Blau, 78234 Engen (16/11/2006 at 10:03)

As someone who was cautiously supportive of the board's attempts to get the debt under control, i find it staggering to read that, despite a GBP 25million positive swing in finances (GBP 10million profit this year against a 15million loss last year) the club has managed to trim a miserly 6 million off the overall debt. The JW/DM loans kept the club going, and all should be grateful for that, but they are attracting interest at 5% and there seems to be no plan whatsoever for even repaying the interest, let alone the loans themselves. The powers-that-be should stop trumpeting this as some sort of fiscal-wonder, as this "internal debt" is clearly part of the problem that's holding the club back from the major "on-field" investment it so desperately needs. So can someone attending the AGM please ask these "financial wizards" if there is any long-term plan for "overall" debt-reduction, and if there is, to please let the supporters know what it is. The ones of us who were prepared to accept a few seasons of austerity, if it were to mean one day in the not-too-distant future we could again start to compete in the transfer-market without putting the club at risk, can find no comfort in these figures at all, however much AM dresses them up. As for Bernie, well at least he kept us informed (as much as any club keeps it's supporters informed) and at least we felt there was a clear aim. I hope JW would be big enough to swallow his pride and ask him back, but it would be a big ask for anyone to be honest.

Si, Manchester (16/11/2006 at 10:11)

Great. Lets all sack the board because after all its their fault that we got beat at Charlton and Wigan isnt it. Oh, and wasnt it us that launched the huge campaign to have Pearce installed as manager.
And didnt they back the last manager with a disastrous spending spree and lok where that got us. so lets bring back the chairman who presided over two relegations, and was in charge when we dropped to the lowest league position in our history. Genius.

Harry Skinters, Sealand (16/11/2006 at 10:19)

"Most of their stated aims are being delivered by Manchester City - day in, day out."

What rubbish. Where does all the money go? The board needs to change. The biggest single shareholding is held by Mark Boler who inherited from his father. We do not need this person on our board either way. We need a cohesive board committed to the clubs success. The supporters trust may not be the answer in itself but it is a positive step in the right direction. Nothing can be hidden from the fans if the fans are on the board. It will give us transparency into the business of MCFC and perhaps it might give us an insight into why the never ending debt excuse for failure never goes away - and allow us to call for change.

If all it does is to bring back Bernie then it is worth doing for that reason alone. The man guided us back to respectability from the depths. He saw the hole that Keegan wanted to dig and objected. He was ousted and the rest of the board dug the hole regardless. And look where we are yet again as a result. Message to Bernie - Please please do work with the Supporters Trust. Message to Colin and the other Supporters Trust organisers - Good Work guys. Ignore the flak. This will be a great success. There are some wealthy and influential people watching with great interest.

Colin, Cheadle Hume (16/11/2006 at 10:25)

I have no idea how trusts work or iof this makes financial sense.

But what we need right now is leadership.

Who knows whether Burnstein will ever return, but since he left there has been a leadership vacuum at MCFC.

Forget the money for now ... Wardle has never offered the vision, communication or pragmatism of the previous Chairman, and the club would be in a better state if we wound the clock back four years and let Burnstein have his way on Fowler, Sommeil and all the other reasons that he felt forced to leave.

Ad, Manc (16/11/2006 at 10:29)

There is no doubt the present regime have the club at heart but Daved Bernstein was a great Chairman and is revered by the supporters. His departure was regrettable. His involvement in any capacity would be welcomed.

Bertie Blue Nose, Eastlands (16/11/2006 at 10:45)

And PS: Mickey H - does the phrase 'Don't shoot the messesnger' mean anything to you? Secondly, I meant to add that City's so-called number one fanzine, King of the Kippax, were extremely vocal in their campaign to bring Franny as chairman, and what a rotten job he did. Well done Dave Wallace!

Danny, Wilmslow (16/11/2006 at 10:48)

Si - Manchester, are you having a laugh? Not that i am in full support of this move but to link Berstein with the clubs lowest league position is totally out of order. It was Bernestein who finally got City out of debt and brought financial stability. It was Berstein who helped to bring back to back promotions. It was Bernstein who steadied the ship with his financial nouse. No one complained about the 'ludicrous' spending spree at the time and i'm sure you didnt either. I will never criticise a chairman who tries to give supports what they want, a winning team. Bernstein believed we should be up there with the big boys and he sanctioned big transfers. That is exactly where we should be. No one should be criticised for trying to put the club back where it should be. He left becuase of the embarassement that was the robbie fowler transfer and he has ultimately been proved right. Obviously a terrible chairman.

Tony Book's hod carrier, Glastonbury (16/11/2006 at 11:01)

Business and pleasure don't mix (unless you have money to burn and treat your investment in a football club as a hobby) and I fear that this will end in tears.

However, if the trust can help keep the present board "honest" without putting their noses out of joint then why not?

As for Bernstein, I'm not sure. It is easier to shine when you're bringing a club of City's size out of Div 3 but he had an opportunity to progress the club further and decided to pull out. If I'm not mistaken he was chairman when Wardle and Makin came on board.

One thing's certain, Wardle and Makin won't hang around for long listening to a group of small shareholders telling them what to do with their money no matter how correct the trust shareholders might be.

Whether that's good for the club only time will tell.

Andrew, Stockport (16/11/2006 at 11:04)

Colin is right! We can't turn any clocks back but we can do the best for mcfc going forward. Bernstien has the clubs best interests at heart and should return giving us the best leadership possible.

Mickey H, Stockport (16/11/2006 at 11:11)

Bertie - agreed! However, again, maybe a bit of niaivity on my part, I expect journalistic integrity and fairness. The paper need not be the mouthpiece of the club. Maybe I'm just too old? I remember quality journalism, for instance the Guardian, and even the Mirror, in the old days. Even TV had World in Action. I just don't understand how (perceived or not) mismanagement of a major English football club can go unnoticed and unreported for so long. We have often heard of this so called Fifth Column at the club - not just on these boards, but in news stories too. Those stories also go back to the Swales days. Who exactly wants to, and is subsequently causing, our club (and I say our because as fans I consider us the major stakeholders and the raison d'etre of the club - again you may say niaive) to fail so spectacularly? If we were a multinational like Exxon or Barclays there would have been murders over how we've been run into the ground over the last 30 years. I tell you now, if my club goes out of existence on the back of all this, trust me, someone will pay. That's how bad I feel the situation is. I don't profess to know how to read the accounts properly, but having got a copy we have liabilities of over ??90 million. Alistair Mackintosh took ??300k out of the club last year, which included a ??50k bonus and for doing what exactly???? Now do you see why I am worried?

Andy, Manchester (16/11/2006 at 11:12)

I fear Wardle would be too spineless to try to get DB back on board. It's a shame because he is so obviously in a different league from the current inept regime

Mickey H, Stockport (16/11/2006 at 11:15)

Bertie - sorry mate, I also forgot to add that the article published is full of more inaccuracies. Another reason I am annoyed. Still, it's just a game so why get so wound up, eh, as the wife would say!

Andy, France (16/11/2006 at 11:21)

Whatever happened to the fan on the board, is he burried under the old main stand?

Dave, cheadle (16/11/2006 at 11:27)

Trusts don't work. Club's owned entirely by trusts made up of supporters nearly always leads to disaster because the chance of trust members being able to collectively provide the business skills and experience needed to run a club is slim-to-zero. This situation is different - but it's just window dressing. Fans reps on boards start off with the right intentions but over time they will become subject to the collective responsibilty which obligates all board members. In the end they just become another member of the board obligated to keep fans in the dark about decisions which have to remain behind closed doors. It is also doubtful that having an open-access board makes good business sense. Rival clubs would surely benefit from them knowing more about us than we do about them. In the end our view of football clubs is coloured by our passion for success. But MCFC is a business and should be run as such. Run-of-the-mill fans must be kept at arms-length supporting the team from the stands. Usually a fan will always advocate spending money on the team when results are poor. That's understandable. But would that always be the right business decision? No. We're in this crisis now because the club chucked cash galore in KK's direction - Keagan had this ability to turn hard-nosed businessmen into blue-nosed footy fanatics and all business sense went out of the window. Exciting times but boy what a price to pay now? No, the club does not need fans on the board. It needs a long term business plan, managed by experienced businessmen who take the club out of its huge debt. Only then can we dream of the type of team rebuilding all fans want. It's going to be a long road chaps...

City, through and through (16/11/2006 at 11:34)

Micky, I was never a big fan of "World In Action", I preferred "Weekend World" with Brian Walden.

Si, Manchester (16/11/2006 at 11:43)

Danny, my point is that its easy to point the finger at the board when things arent going well on the field but maybe we should be looking at other areas and addressing them rather than calling for the chairman to be ousted. Bernstein was chairman when were relegated twice, once when we dropped into div 2, thats a fact. i dont remember anyone calling for his head unless im mistaken.
We dont know the full facts of "wheres the money?" and we probably never will. Most clubs run on an overdraft, however on GMR the other day they had an accountant go through the published figures and according to him we had ¿¿9m in the bank, of which ¿¿4m could be used for transfers - the rest to cover interest costs etc.
The current board have made it clear from day 1 that they would welcome outside investment and i think its common knowledge that Wardle and Makin have put in substantial amounts of their own money interest free, so i think its unfair to make assumptions that they are syphoning money out of the club left right and centre.
I just get sick of the "sack the board" mentality, its as cliched and easy to use as the old "lost the dressing room" and "tactically naive" rubbish thats trotted out. by the way, i used the term disastrous, not ludicrous.

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