The Rangers Review understands that Marathe has relinquished his role as vice-chairman at Ibrox just months after joining Andrew Cavenagh as one of the faces of the American Revolution. Marathe will no longer hold an official position in Glasgow but his interest – in both financial and, more importantly, football terms – has not and will not be diluted.
Gene Schneur, a director at Leeds United, has also left his position. Here, the Rangers Review answers the key questions over the latest boardroom development at Ibrox.
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Why have Marathe and Schneur stepped down?
As it stands, both men could have stayed on the boards of Rangers and Leeds United. It would have been too great a risk, however, and Rangers are not going to take the punt, either on their fortunes or those of the Premier League outfit.
Paraag Marathe (left) and Chairman Andrew Cavenagh in the stands at Ibrox (Image: Andrew Milligan)
Article 5 of the UEFA Regulations outlines rules regarding multi-club ownership and persons with a controlling interest in more than one club. Marathe was named as chairman of Leeds following the 49ers Enterprises' full acquisition of the club in July 2023 and Schneur was appointed 12 months later. The real estate magnate joined the Ibrox board in May after Cavenagh and his consortium completed a 51 per cent takeover.
UEFA does not allow two clubs within the same ownership group to participate in the same European competition. The possibility of Rangers and Leeds both qualifying for the Europa League has forced the issue. Despite both clubs operating completely independently of each other and having their own board and executive structures, this has been described by sources as a safeguarding move.
Danny Rohl is aiming to deliver Champions League football (Image: Andrew Milligan)
If Danny Rohl’s side were to finish second in the Premiership, they would miss out on the Champions League and be involved in the tournament that they were eliminated from at the group stage this term. Daniel Farke, meanwhile, is aiming to guide United to the FA Cup, a feat that comes with a Europa League spot as a prize.
The deadline for UEFA assessment is March 1, so Rangers cannot chance it and hope that Rohl leads his side to the title. Discussions have been ongoing with UEFA and this is a step that Rangers were aware could have to be taken at some stage.
Article 5, Section b states that ‘No one may simultaneously be involved, either directly or indirectly, in any capacity whatsoever in the management, administration and/or sporting performance of more than one club participating in a UEFA club competition.’
Are there other examples to point to?
The most high-profile example is that of Crystal Palace. Oliver Glasner’s side should have been participating in the Europa League this term after their FA Cup triumph last May, but the influence of John Textor at Selhurst Park and Lyon set the wheels in motion for a lengthy legal dispute. In the end, Palace were denied their spot and finished tenth in the Conference League before winning their play-off round tie with Zrinjski Mostar this week.
Palace appealed to the Court of Arbitration for Sport – a case which they subsequently lost – after UEFA determined that Textor, the majority owner of Lyon, had an influence at Selhurst Park that breached their regulations.
CAS ruled that there was no mechanism for clubs to become compliant after the March 1 deadline that was missed and Palace failed to convince UEFA that they and Lyon were not ‘simultaneously involved in any capacity whatsoever in the management, administration, and/or sporting performance of more than one club participating in a UEFA club competition.’
Paraag Marathe is Leeds United chairman (Image: Andrew Milligan)
The setup at Ibrox and Elland Road is not a traditional multi-club model and Rangers are not a feeder club for Leeds. Marathe stressed that point on the day he sat beside Cavenagh following the General Meeting that confirmed their takeover.
Marathe stated that the consortium had ‘checked the box with those that we need to’ at that stage and that both clubs were ‘closed-loop universes that deserve proper attention and nurture and care - we will designate and assign resources approximately.’ That has always been the case and remains so.
UEFA provided dispensation to Manchester City and Girona ahead of the 2024/25 Champions League campaign and Manchester United and OGC Nice in the Europa League the same season after being satisfied with the structures of their respective working agreements. Tony Bloom holds a 29 per cent non-voting rights stake in Hearts and the Brighton and Hove Albion owner reduced and restructured his shareholding and governance influence at Union Saint-Gilloise to eliminate dual control, enabling both clubs to participate in UEFA competitions.
What does it mean for Rangers at boardroom level?
The Rangers Review understands that discussions over a replacement for Marathe as vice-chairman are ongoing and no plan has been finalised in that regard. Cavenagh has been increasingly hands-on in recent months and will naturally continue to have a leading voice in the direction of the club from his position as chairman. He regularly travels from his base in Philadelphia and has invested his time as well as his money in Rangers in order to deliver success.
The Rangers Review exclusively revealed that Cavenagh and Marathe had signed off on the appointment of Jim Gillespie as chief executive officer last month and he is expected to take up his post in the coming weeks. Gillespie will work closely with Fraser Thornton, who has filled the role of interim CEO following the sacking of Patrick Stewart in November, and the executive team at Ibrox.
Jim Gillespie has been named as CEO (Image: Getty)
The remaining board members will not change and long-standing directors John Halsted and George Taylor remain in situ alongside Andrew Clayton and Mark Taber, both of whom were appointed following the takeover. Taylor, Stuart Gibson and former chairman Douglas Park are the other major shareholders alongside the Rangers FC LLC consortium of Cavenagh, 49ers Enterprises and other investors.
Sources have told the Rangers Review that the commitment from Cavenagh and the 49ers has not altered. The ownership model will not change and the long-term capital investment plans – for both on-field success and off-field growth – remain in place. This is a point of governance and the American influences remain fully aligned as Rangers gear up for a potentially lucrative finale to the campaign.