SCOTLAND'S chief legal officer is being asked to be intervene in a contempt of court case over Rangers chairman Dave King's failure to make a judge-ordered £11 million bid for most of the club’s shares.
It is understood the invitation is responsible for delaying what is the first enforcement action the Panel on Takeovers and Mergers has taken since being given statutory powers 12 years ago.
It is understood the question of the Lord Advocate's involvement has arisen because the unique court action by the financial watchdog is being brought as a civil matter that could have criminal consequences.
Contempt of court is punishable by a fine and imprisonment.
It comes after Lord Bannatyne last month again urged Mr King to comply with the law and make the bid.
It came during a hearing over a failure to comply with a court order to make the offer to Rangers shareholders.
The Rangers chief has already been told that he is in breach of takeover rules by failing to make the bid.
Thursday's hearing before Lady Wolffe, was postponed for what was officially called a "legal problem".
A hearing is expected in early October to hear submissions from counsel over whether the Lord Advocate should be able to run the rule over the case and pass any comment.
In December Lord Bannatyne ruled in favour of the Panel, agreeing that Mr King acted in with other shareholders when he bought a controlling stake in 2015 ousting a board of directors said to be allied to Sports Direct founder Mike Ashley.
That supported the Panel's view that a formal takeover should have been triggered after the Three Bears group led by Mr King secured more than 30 per cent of the voting rights in Rangers.
Under Takeover Code rules, a written offer to shareholders had to be made within 28 days of a bid announcement being made on March 29 - but so far it has not been forthcoming. Mr King has previously said it has been held up because he has to get funds from South Africa to the UK.
Mr King arrived at the Court of Session on Thursday in what was expected to be a contempt of court hearing.
He has previously denied being in contempt of court has no concerns about the case and insisted he is doing all he can to settle the matter.
But the Herald understands that it was Mr King's representative who took the view that the Lord Advocate needed to be involved which would involve him receiving details of the petition and given time to comment on it. It is understood the Panel's representative did not think it was necessary.
Mr King has previously argued that a judge went "too far" in ordering him to make a mandatory offer at a price of 20p a share.
Lord Bannatyne in a previous hearing said that Mr King's argument that he did not have the funds to make the offer was "irrelevant".
Mr King has said he has agreed to make an offer for the shares, and has previously said he has no concerns about the prospect of a contempt of court case and insisted he is doing all he can to settle the matter.
Three days ago, Rangers called a general meeting of shareholders on August 31 to approve the issuing of more than £12m worth of new shares. The 63,147,137 new shares will be issued at 20p to 13 different individual shareholders.
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