Telegraph today

[Sillypoint]

It's all kicked off again! Huge article

Telegraph Sport has seen an email sent in the summer of last year by Edward Lord – who stood down as an independent director in April – stating his opposition to elevating Cornish from interim to permanent CEO without giving others the chance to apply for the role.

Tons of information. None of it positive. The ECB need to get in there are remove the lot.

[Sillypoint]

Forgot the link. https://www.telegraph.co.uk/cricket/2023/11/15/cricket-ball-tax-scandal-middlesex-financial-crisis/

Now they've mentioned tax scandal over the club’s buying and selling of cricket balls is plus failure to file accounts which led to HMRC fines and frozen accounts. When was this?

Pension stuff on top. Totally bizarre and doesn't seem retrievable

[Sillypoint]

Might be in the wrong part of the forum.sorry

[MIDDLE EXILE]

Forgot the link. https://www.telegraph.co.uk/cricket/2023/11/15/cricket-ball-tax-scandal-middlesex-financial-crisis/

Now they've mentioned tax scandal over the club’s buying and selling of cricket balls is plus failure to file accounts which led to HMRC fines and frozen accounts. When was this?

Pension stuff on top. Totally bizarre and doesn't seem retrievable.#
The article is behind a paywall, so unable to access it.Is it possible to copy and paste for our information?

[Gareth Jones]

For those that can't get around the paywall, I hope this helps

‘Cricket ball scandal, £1m black hole’ and a bitter feud: Middlesex’s financial crisis uncovered

By Ben Rumsby

12-15 minutes



Middlesex are at the centre of a potential tax scandal over the non-payment of Value Added Tax (VAT) on cricket balls amid explosive new claims about their financial crisis and toxic dispute with their former chief executive.

A Telegraph Sport investigation has uncovered the full extent of the alleged “mismanagement” that saw sanctions imposed on the county by the England & Wales Cricket Board (ECB), which has been followed by a separate bitter public row with Richard Goatley and his family that threatens to end in court.

This includes details of:

*A possible tax scandal over the club’s buying and selling of cricket balls

A failure to file accounts for the recreational game that amounts to a criminal offence

Fines allegedly imposed by HM Revenue & Customs over consistently late filings, and the temporary freezing of the club’s bank account for similar failings

Alleged “unauthorised payments” made by Goatley – who denies misappropriating funds – to himself totalling more than £70,000

Claims bailiffs swooped on the club’s head office over thousands of pounds in unpaid parking fines incurred by Goatley

Complaints and resignations from board members over how the club has been run, including over the appointment of the current chairman and chief executive

Middlesex were first plunged into turmoil almost three years ago with the discovery of an error in pensions payments that ended up costing the county a fee running into six figures and compounded losses triggered by the coronavirus crisis.

Shortly afterwards, Goatley suffered a suspected stroke during an online meeting and soon left the club citing ill health.

Middlesex allege they subsequently discovered “unauthorised payments” by Goatley into his bank account and one held jointly with his wife said to total more than £70,000 and have been pursuing the matter ever since.

‘We feel like we’re trapped in hell’

Goatley denies misappropriating funds and his family have complained to the ECB about the county’s approach, which his lawyer says will bankrupt them and make them homeless. There is no suggestion his wife was involved or aware of any wrongdoing. Middlesex deny any wrongdoing in their pursuit of the money at the centre of what has become a bitter public dispute involving Goatley’s wife, Lucy Ayliffe, and her sister, Daisy.

Both women have made numerous posts on X, formerly Twitter, about the saga, with Lucy writing last week: “We feel like we’re trapped in hell.” Daisy, a BAFTA-nominated documentary-maker and former Guardian journalist, then wrote on Monday about her sister being “taken from her home and her kids in an ambulance”.

The row is threatening to end up in court, which could see the airing of further allegations and revelations that can be disclosed for the first time.

They include claims Goatley incurred thousands of pounds in work-related parking fines his staff were forced to pay on their personal bank cards – they were later reimbursed by the club – after bailiffs swooped on Middlesex’s head office.

They also include allegations fines were imposed on the county by HMRC over consistently late filings and their Barclays bank account was temporarily frozen over similar failings.

And they include the club’s former interim finance director, David Thompson, blowing the whistle about a ‘possible years-long tax scandal’ related to the non-payment of VAT on their buying and selling of cricket balls.



The county have admitted to a single issue of that nature arose after Thompson was brought in following Goatley’s departure but said current chief executive Andrew Cornish stopped any wrongdoing from occurring on that occasion and that no evidence had been found of any prior offence.

Thompson told Telegraph Sport he was not contacted by the ECB as part of its investigation into Middlesex, which had been triggered by another whistle-blower raising the alarm over suspected misuse of central funds.

It can be revealed one of the main focuses of that probe related to the non-filing of accounts for the club’s recreational arm, Middlesex Cricket Board (MCB), for more than three years – a criminal offence that saw the company dissolved in March last year via compulsory strike-off.

When accounts were eventually filed four months later and the strike-off reversed, figures showed an apparent near-£1 million black hole had opened up in MCB’s finances between the years 2018-20.

The non-filing of MCB accounts formed part of the ECB sanctions imposed on Middlesex, but past and present club officials have told Telegraph Sport there had not been a genuine black hole in the company’s finances and that figures implying there had been were the result of ‘previous mismanagement’.

The most recent MCB accounts also show no such black hole, while ECB sources confirmed misuse of funds had not been among the findings against the club.

Goatley did not respond to detailed questions about any of the above matters but former colleagues and board members have told Telegraph Sport it would be wrong to hold him solely responsible for everything that allegedly occurred during his six years in charge.

Most pointed to governance failings that saw the club operate without a chief financial officer for his entire tenure that compounded what was potentially inadequate scrutiny of his own work.

Complaints about poor governance also did not end with Goatley’s exit and it can be revealed that the past year has seen the departure of two board members to have raised the alarm over the appointments of Cornish as chief executive and Richard Sykes as chairman.

Telegraph Sport has seen an email sent in the summer of last year by Edward Lord – who stood down as an independent director in April – stating his opposition to elevating Cornish from interim to permanent CEO without giving others the chance to apply for the role.

Lord and one other director were outnumbered by their fellow board members, who argued the club needed an urgent appointment amid fears they were in danger of going bust.

Then, in December, Sasha White KC quit in protest after Sykes, then the senior independent director, applied for the chairmanship despite having been tasked with leading the search for a successor to Mike O’Farrell.

Former deputy-chair Eddie Villiers also withdrew his own candidacy after Sykes had previously told him and White he had no plans to stand.

The row led to the entire process being scrapped and a new one launched in which Sykes, who is adamant all rules around the appointment process were correctly followed, was ultimately named chair.

‘My family and Middlesex members deserve closure’

Former directors and staff also raised concerns with Telegraph Sport about other appointments in the wake of Goatley’s departure which they said raised questions about the club’s commitment to good governance.



Goatley said in a statement: “I was forced to leave Middlesex, a job and club that I loved, due to serious ill-health. I provided full co-operation with the handover and answered all questions put to me, which I agreed to as part of an amicable severance. Middlesex reneged on that deal and my family has suffered as a consequence ever since. I have always been open to supporting any fair and independent investigation into questions that I can assist with during my tenure, but the club’s process has dragged on for years and has not followed due process. I believe my family and Middlesex members deserve closure.

“I completely deny any allegations of misappropriation of funds. Repeated legal threats and demands for unevidenced sums of money, that I neither owe nor know anything about, for almost three years has been tortuous, for me, my wife and our young children. Our repeated calls for a resolution remain unanswered. Two years ago, my wife was told in writing the case has reached agreement. Months later, more legal threats arrived. Public statements have been made by the club describing legal proceedings but no case has been filed. We have been assumed guilty and have not been able to move on.

“I am grateful to Middlesex members who have raised concerns about how me and my family have been treated. When I was at Middlesex, we were rightly proud of our values, we worked hard to uphold them both on and off the field. I marshalled my club through Covid with zero debt and left the club in rude health having signed a global deal with my cricketing hero and friend, Sachin Tendulkar. I am sad to see what has become of Middlesex since I left.”

His lawyer, Emilie Cole, of Cole Khan Solicitors, added: “It is deeply disappointing that our repeated calls for a resolution to these longstanding issues continue to fall on deaf ears. We implore for threats to cease and for efforts to now be made to reach a resolution which doesn’t involve our client facing impending bankruptcy and repossession of the family home. We hope that they will now engage with the ECB and with us in a reasonable manner to reach a resolution once and for all.”

Continues in next post

[Gareth Jones]

Continues from previous post

‘The club has spent a great deal of time trying to resolve this matter amicably’

Middlesex said in response: “In line with the values of the club and the spirit of the game, Middlesex Cricket has exercised significant restraint in recent months in seeking to avoid commenting publicly on matters pertaining to the ongoing dispute with former chief executive officer Mr Richard Goatley.

“Unfortunately, due to an orchestrated campaign to damage the club in the media, we have been left with no option than to comment in order to put right a number of mistruths and misunderstandings and defend the reputation of our club and individuals associated with us. We have worked to ensure that the facts reported reflect the truth of this ongoing dispute.

“Middlesex Cricket can confirm that, contrary to the misleading claims made recently by lawyers representing Mr Goatley, a Pre-Action Protocol letter was sent on 12th November 2021 setting out the club’s claims against him. The club has sought to resolve the dispute without recourse to litigation but if a settlement cannot be reached then the club has an obligation to its members to seek to recover the sums owed to it through the courts. It is unfortunate that if this matter reaches the courts then it will inevitably attract that very same publicity that the club has tried extremely hard to avoid.

“Despite the very serious nature of the allegations, involving unauthorised payments to Mr Goatley, the club has spent a great deal of time trying to resolve this matter amicably with Mr Goatley and his lawyers. Offers have been made and rejected. “The on-the-record claims made to the Telegraph by the club’s former CEO on this matter are disgracefully misleading. Mr Goatley has had full knowledge of the gravity of circumstances that have led to this dispute, and the correspondence that has passed between the parties since. Mr Goatley has been offered the opportunity to provide full explanations in relation to payments to his personal bank accounts but has, up until this point, failed to do so.

“Whilst we do not intend to dissect every single claim made by the former CEO in his on the record statement to the Telegraph, claims that he left the club in ‘rude health’ are symptomatic of the many gross inaccuracies that exist in his statement. The club’s financial accounts, which are available for all to see, show that the club suffered losses of over £950,000 in 2021, the last year of Mr Goatley’s six-year tenure as CEO.

“We have been working hard to ensure that the difficulties that the club has faced following Mr Goatley’s time as CEO are repaired and not repeated. This has involved recruiting an experienced chief financial officer to lead a dedicated finance team as well as improving historic processes and procedures to ensure robust and appropriate governance moving forward.

“The club has no interest in putting this dispute into the public domain. However, after repeated provocation and outright falsehoods being published by those associated with Mr Goatley, we have been left with no alternative but to defend our reputation and the reputation of individuals associated with us.

“Whilst we are sure that most people will see this for what it is, it is disappointing that the other parties involved in this dispute have sought to prioritise self-interest over integrity and due process.

“We are grateful for the support that we have received as a club as we rebuild and improve following the mistakes of the past. It goes without saying that we are working incredibly hard and hope that this issue can be resolved as quickly as possible in order that we can focus all of our energies on the future rather than the past.”

Cornish also said after the ECB sanctioned the club in September: “Middlesex is determined to ensure that the financial management and governance of the club going forward is of the highest standard and we are resolved to work closely with ECB to ensure that this is the case.”

[MIDDLE EXILE]

Thank you, Gareth for the clarification.Reading between the lines it would appear that the club is most reluctant to resort to litigation, not only for the adverse publicity it would bring, but the real fear of judgment going against them and the severe financial penalties that are likely to incur,plus even if they were to succeed in their action it seems unlikely that they would derive any benefit from the process.I have no knowledge as to whether Richard is responsible for any misappropriation of funds or not,but I personally am forced to take the view that rather than seeking an amicable solution as they claim, the club has chosen to adopt a campaign of threats and bullying towards him and his family rather than go down the legal route.

[Sillypoint]

Fair comment. They've made a strategic decision to not go criminal route which is strange if all these allegations have evidence. Perhaps worried about favoured bystanders catching a few stray bullets if they start firing...

Not sure how long it takes before the new kids are no longer the solution but just part of the same problem. The timelines are quite confused...

[MIDDLE EXILE]

Of course, we know not if the club has gone to the police and their complaint has been dismissed due to lack of evidence or alternatively considered a civil dispute with no criminal involvement and declined to investigate, It may explain why the club is pursuing Richard and his family as they are. The police will always be reluctant to become involved if there is little chance of a successful prosecution.

[adelaide]

Just to note that criminal prosecutions require proof beyond reasonable doubt. Civil litigation is usually balance of probabilities. The use of the word litigation surely implies that only civil remedies have been considered.

[MIDDLE EXILE]

I agree it's most unlikely that the club has sought a criminal prosecution, but it's even more unlikely that they would disclose it, if as I speculated it has been refused.I rather think we're heading eventually to an out-of-court settlement and a non-disclosure agreement.