Rangers in Danger of Points Deduction After Cash Firm Card Breach Ruling
Rangers Football Club is facing a potentially severe penalty following a recent legal ruling involving a financial firm, Reputation Exchange (REPX), which has accused the club of breaching an agreement related to a customised cash card scheme. The Ibrox side, already navigating a challenging season on and off the pitch, now finds itself at risk of a points deduction as the fallout from this dispute threatens to escalate into a significant sporting sanction.
The issue stems from a deal between Rangers and REPX, a fintech company known for creating branded prepaid cards for football clubs across Europe, including AC Milan and Torino. According to reports, REPX alleges that Rangers reneged on an agreement to launch a prepaid cash card designed for fans, a project the firm claims cost them significant time and resources. The company asserts that it invested over £500,000 in development, including design work, and suffered losses amounting to £1.5 million when the plan was abandoned by Rangers. Additionally, REPX claims it paid the club £120,000 as part of the agreement, with further costs of £20,000 attributed to wasted management time.
The case, now filed at the Court of Session in Edinburgh, has taken a contentious turn, with REPX pursuing damages of up to £2 million. The firm contends that Rangers breached the contract after a year of collaboration, halting the card’s release despite substantial groundwork. This legal battle comes at a delicate time for Rangers, who only last year celebrated being free of litigation claims for the first time in over a decade, making this development a bitter blow to the club’s stability.
While the immediate consequence is a financial dispute, the broader implications could see Rangers facing a sporting penalty, including a points deduction. Football governing bodies, such as the Scottish Professional Football League (SPFL), have precedents for imposing sanctions on clubs found guilty of financial or contractual misconduct. Historical cases, such as Rangers’ own administration in 2012, which led to a 10-point deduction and eventual demotion, and more recent examples like Everton’s 10-point penalty in the English Premier League for breaching profitability and sustainability rules, highlight the potential severity of such punishments. If the SPFL deems Rangers’ actions in this breach to have compromised competitive integrity or financial regulations, a points deduction could be on the table.
The timing couldn’t be worse for Rangers, who are currently locked in a tight Scottish Premiership title race. Any deduction could derail their season, handing an advantage to rivals like Celtic and impacting their chances of securing European qualification. On the pitch, manager Philippe Clement has worked to steady the ship, but off-field distractions like this could undermine morale and focus at a critical juncture.
Rangers have remained tight-lipped, with a club spokesperson stating, “As this is a live legal issue, it would be inappropriate to comment.” REPX, meanwhile, has also declined to elaborate beyond its legal filings. The case’s next procedural hearing is scheduled for May 2, 2025, before judge Lord Sandison, leaving ample time for speculation and uncertainty to grow.
For Rangers fans, this is a frustrating echo of past financial turmoil. The club’s history of administration, liquidation, and subsequent climb back to the top flight serves as a stark reminder of how off-field issues can ripple through a season. While the exact penalty remains unclear—be it financial reparations, a fine, or the dreaded points deduction—the breach ruling has undeniably cast a shadow over Ibrox.
As the legal process unfolds, the SPFL and potentially UEFA (if European competition regulations are implicated) will monitor developments closely. Rangers will hope to resolve the matter swiftly and avoid further damage, but for now, the specter of a serious penalty looms large, threatening to undo their hard-fought progress both on and off the pitch.
