Sports Direct is back in control over the merchandising arm of Rangers, by appointing a second director associated with a troubled family-run sports retail business parts of which have come under the control of Mike Ashley.

Nigel Conway has been appointed to the Rangers Retail board in the wake of the resignations of Mr Ashley, the billionaire Sports Direct owner and the firm's chief executive David Forsey tendered their resignations.

Glasgow Times:

Last week it emerged that Justin Barnes, who has served as international brand manager of Sports Direct International Plc and is known as an expert in intellectual property law, has also been appointed to the board.

It had been hoped in some circles that the Sports Direct resignations may indicate a loosening of Mr Ashley's grip over the merchandising joint venture between Sports Direct and Rangers.

Read more: Mike Ashley loses court appeal against SFA fine

Mr Conway, 60, was a manager within Soccer Scene UK, originally operating a small chain of sports and leisure shops.

It's soccerscene.co.uk retail website is under Sports Direct's control. The website states a link to the in-liquidation company.

Glasgow Times:

According to liquidation papers lodged in 2014, Soccer Scene had total assets available for creditors worth £135,015. It's biggest unsecured creditor was Sportsdirect.com who were owed £4.59 million while the taxman was owed £168,000.

Five years earlier, Soccer Scene Limited, of which Nigel Conway was company secretary, director and major shareholder, went into administration with debts of over £3 million Before the insolvency, 16 people were made redundant following the closure of two London stores.

But the business and assets were bought by Kestrel UK Limited, which has Nigel Conway as a major shareholder, for £72,500, and the shops were retained with the staff. A lease to a Carnaby Street store was surrendered and an Oxford Street shop lease was assigned to Kestrel.

Glasgow Times:

Adminstrators said in 2010 that while £50,000 was paid to the bank as a secured creditor, it lost out to the tune of £160,019.

There was not enough funds to make any payments to unsecured creditors due to "insufficient asset realisations", the administrators said.

Kestrel UK was formed in May, 2009, for the retail sale of sports goods, fishing gear, camping goods, boats and bicycles, three months before Soccer Scene Limited went into administration.

According to Companies House, there is an active proposal to dissolve the company as its accounts for the year to July 31, 2011 are over four years overdue.

Mr Ashley and Mr Forsey are understood to have stood down after attempts were made to convene a board meeting where it was expected challenging questions would be asked about the merchandising deal which means only 4p from every pound spent in the Ibrox store is banked by the Old Firm outfit.

It was felt by some fans that the directors standing down was a "humiliation" as it appeared to be away to avoid questioning by Rangers executives Dave King and Paul Murray, who are on the Rangers Retail board.

The joint venture between Rangers and Sports Direct was confirmed by then chief executive Charles Green in August 2012, it was promoted as enabling Rangers "to once again control its retail operation and give supporters the chance to buy direct from the club and in doing so, continue to invest in its future".

But last month the Rangers board - unhappy with their return on the venture - served notice to cancel the merchandise deal with Rangers Retail Limited, controlled by Sports Direct. Rangers said it was withdrawing intellectual property rights from Rangers Retail which had the licences to exploit club-related trademarks and logos including the club name, Ibrox and The Gers, Intellectual property experts said that the move looked destined for a courtroom battle.

It is understood that no challenge has yet been lodged by Sports Direct, which has a controlling vote on “financial matters” concerning Rangers Retail.