Following their court defeat, Newcastle United’s owners are facing a hefty HMRC bill—a hangover from Mike Ashley

More than two years have passed since Mike Ashley was finally let go by Newcastle United supporters.

But for the owners of Newcastle United, his considerable shadow had continued to linger over St. James’ Park.

In fact, it still does, even though it has been almost exactly 26 months since Mike Ashley gave SJP the keys.

It has now been made public that Mike Ashley, when he was in charge, was directly responsible for the Newcastle United owners’ defeat in their legal battle against HMRC.

After losing their High Court appeal over tax owed on agents fees and other payments made during the Mike Ashley era, Newcastle United is now required to pay £6.25 million to HMRC.

When something like this happens—a legal case is still pending, and a takeover of the company occurs before a decision is made—it is common for the person selling the company to “indemnify” the new owners against the cost of the decision.

Stated differently, a condition of the sale agreement is that the departing owner agrees to cover the outstanding balance upon the resolution of the legal dispute.

But I’m assuming that in the case of our old friend Mike Ashley, he most likely informed the new or current owners of Newcastle United that, regardless of the potential financial consequences, they must assume this liability as well if they want the club.

After the High Court’s decision, it will be interesting to hear what the Newcastle United owners have to say.