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  1. #1
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    Team CSC-Saxo Banks new sponsor goes bust

    The IT Factory, the new main sponsor for the Team CSC-Saxo Bank cycling team has gone bankrupt and its CEO has disappeared. Apparently the CEO ran the company as some kind of leasing-pyramid scheme. When the scheme collapsed ITF went bankrupt. The CEO also committed massive tax fraud and is now wanted by the Interpol.

    Bjarne Riis says he will keep Team CSC-SB running, but he now has a massive hole in his budget, and a very, very difficult task to find a new sponsor.

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  2. #2
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    Never a dull moment in the world of pro cycling, even in the off-season. The riders must be quite anxious right now, I would imagine.

  3. #3
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    "Main sponsor" in this case means secondary title sponsor but not the primary or most important sponsor. Team CSC-Saxo Bank (2008) was to become Team Saxo Bank-IT Factory for 2009 with Saxo Bank promoted from secondary to primary sponsor.

    Apparently Saxo Bank always said it wasn't interested in sole title sponsorship; I guess the sponsor contributions could be something like 2 to 1, say €10 from SB, €5 from ITF.

  4. #4
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    Quote Originally Posted by Susan Walker
    "Main sponsor" in this case means secondary title sponsor but not the primary or most important sponsor. Team CSC-Saxo Bank (2008) was to become Team Saxo Bank-IT Factory for 2009 with Saxo Bank promoted from secondary to primary sponsor.

    Apparently Saxo Bank always said it wasn't interested in sole title sponsorship; I guess the sponsor contributions could be something like 2 to 1, say €10 from SB, €5 from ITF.
    According to Danish newspapers ITF was going to supply Team SB-ITF with around 40% of the teams budget. On the plus side is that ITF had made their first sponsor payment.
    The ITF bankruptcy is a quite juicy scandal; seemingly the CEO lied about his academic credits, had very suspicious business friends with fraud convictions, had a secret office where he doctored the books so that the company went from having a apparently solid profit, suddenly went bankrupt to the tune of 100 million dollars.
    The main question is whether he was an inspired crook that managed to steal a lot of this money, or that he is just an ordinary, charming and charismatic psychopat that drove the company into the ground out of sheer incompetency (the usual story).

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  5. #5
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    Quote Originally Posted by interested
    According to Danish newspapers ITF was going to supply Team SB-ITF with around 40% of the teams budget. On the plus side is that ITF had made their first sponsor payment.
    Ah well 40% is not far from my guess of 33% (Some bookies might disagree). How about the absolute numbers, are they mentioned as well? And I meant to write €10+5 *million*, of course.

    Good that they got the first payment at least.

  6. #6
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    Quote Originally Posted by Susan Walker
    Ah well 40% is not far from my guess of 33% (Some bookies might disagree). How about the absolute numbers, are they mentioned as well? And I meant to write €10+5 *million*, of course.

    Good that they got the first payment at least.
    The newspaper "Politiken" claims that the SB+ITF deal was around 100 mill Danish kroner (around 13.5 million Euros) over 3 years. ITF were going to pay 40 million DKR (5.3 million Euro) in four downpayments over 3 years. The figures are guesstimates (or from unknown sources), but probably not far from the true figures.

    Regarding ITF then fake invoices for about 500 million DKR (67,7 million Euros) have been found just on the day of the bankruptcy, so the actual swindled amount is estimated to be much higher.

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  7. #7
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    supposedly the CEO stuck $85 million in a private account then disappear on a trip to Dubai with his lady.

  8. #8
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    Um.

    I think that it's time to give back the fatigues and firearms that the boys were using at boot camp, and send them out on a mission to track down Stein Bagger!

    Maybe they can recruit Bruce Willis or Matt Damon to guide them.
    “The secret of life is honesty and fair dealing. If you can fake that, you've got it made.”
    -Groucho Marx

  9. #9
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    Saxo Bank - Specialized is my prediction!

  10. #10
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    “The secret of life is honesty and fair dealing. If you can fake that, you've got it made.”
    -Groucho Marx

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