Dundee's random penalty exposes SFL rulebook

They could have told the First Division team to perform in false moustaches and funny wigs. Or that Dens Park chief executive Harry MacLean had to agree to become a full-time Elvis impersonator. The SFL constitution, in the form of rule 44.5, gives the league's board the full power to "deal with as it sees fit" a member "it finds guilty of conduct contrary to the interests of the league and its members".

In the end, following no precedent, the SFL took the seemingly arbitrary decision to dock Dundee 25 points - the highest such deduction for a club entering administration in British football history. For the SFL, unlike every other major league on these isles, does not have a set tariff for clubs going into administration.

That is sure to be one of the areas that will come under the scrutiny of lawyer Rod McKenzie. A senior partner with Harper Macleod, he will act on behalf of Dundee at the request of administrator PKF in the appeals procedure. "We are lodging an appeal and hope the matter can be resolved within football," said McKenzie.

Dundee's initial appeal will be heard by a special general meeting of the 30 SFL clubs. If a majority backs the points deduction, Dundee will take the case to an independent SFA appeals committee - a panel chaired by a law lord who is joined by two non-SFL members of the SFA. If Dundee still do not believe justice has been served they can then take the matter to the courts - if they are given approval to do so by the SFA.

The SFL's chief executive David Longmuir said this week that the "flexibility" his body gives itself to punish what it judges as misconduct is necessary so that all cases can be dealt with on their own merits. But that appears to be the crux of the problem as it leaves the SFL open to charges of serving self interest.

There has been some attempt to promote the notion that the SFL has been lenient with Dundee in comparison to how they treated Livingston and Gretna. Both clubs were relegated from the First to the Third Division for breaching a different rule, 76.2, relating to insolvency. But these matters were dealt with during the summer, between league programmes. Were the SFL to have meted out that same sanction to Dundee now, they would throw the entire league into disarray. Clearly the message to clubs threatened by administration is to beg creditors to call in debts during a season. SFL president Jim Ballantyne said at the news conference to announce Dundee's 25-point deduction that he believed it was a "strong rule" not to have a rule stating precisely what would happen to clubs if they entered administration. He said, from the experience of England, that fixed penalties didn't solve the problem of clubs going into administration. As the Gretna, Livingston and Dundee situations demonstrate, not having penalties doesn't stop administration either. Ballantyne pointed out that administration is "open to abuse". You could have a team that throws money at a league challenge, finds it isn't working out and "takes the hit" of ten points because it is worth it. He deemed that was a particular concern in the SFL, where the difference in prize money between fourth and eighth was slight.

Ballantyne didn't deal with the potential for conflict of interests. Dundee are angry that while Dunfermline's Jim Leishman did not vote at the board meeting because his club are First Division rivals of Dundee, Second Division representatives Gilbert Lawrie of Dumbarton and Ayr United's Lachlan Cameron did. If Dundee do become a Second Division team, the numbers they would bring to away grounds would double the average gates of seven of the current members of the Second Division. Moreover, the Dens Park club believe the SFL has made an example of them for the benefit of HMRC, so as to warn other clubs with potential tax arrears.

Though there is no suggestion of any impropriety, a set tariff would preclude aspersions even being cast. On that front, there are still plenty of Livingston supporters who harbour concerns about what Dundee chief executive MacLean has called the "do whatever they want, whenever they want" rules of the SFL on matters pertaining to clubs' solvency. When Livingston were demoted two divisions in 2009, then SFL vice-president Ballantyne sat in on board discussions, despite the fact that his club Airdrie United stood to benefit from the West Lothian side's enforced relegation.

Airdrie stepped up to the First as a result, which was also the situation when Gretna were demoted in 2008.

Glasgow solicitor John McGovern was asked to review the SFL's decision-making process on behalf of a possible buyer for Livingston in the summer of 2009 on that basis. His considered opinion was that there could be grounds for seeking a judicial review, which was not pursued when his buyer stepped away. "The rules would appear to be too loose," says McGovern who is of the mind that an ancient organisation is, in some part, running with a rule book more suited to previous generations.

Dundee's troubles can be traced to their reliance on investor Calum Melville. "Essentially, he answered their advert in the paper asking for investment, and has now stepped away leaving a club and support to pick up the pieces and, as they do so, receive no succour from the SFL," McGovern adds. "Surely the rule book should be modernised so that external investors can be scrutinised."

MacLean said this week his club will never again be seduced by a sugar daddy. But it might be too late. It is not too late, however, for the SFL to take heed.