RANGERS shareholder Sandy Easdale believes he has been exonerated after an investigation into his time as chairman of Rangers' operating company was dropped.

The club has said the probe would not be proceeding against Mr Easdale who decided to resign from all his club directorships.

It is understood Mr Easdale will not be immediate plans to give up his vital 20% of the voting rights at Rangers. That together with the shares of Newcastle owner Mike Ashley gives them power of veto over crucial financial decisions facing Rangers.

The development came the day after the club said Easdale, chief executive Derek Llambias and financial director Barry Leach had all been suspended from their duties pending the investigation and a resolution that aims to remove them as directors.

Former chief executive Llambias and finance director Leach exited The Rangers Football Club plc board as directors after a landslide victory by Dave King and his allies at an extraordinary general meeting on Friday.

Dave King managed to obtain around 85 per cent of the vote to support his Ibrox revolution at the club's EGM which saw Paul Murray, Douglas Park, John Gilligan appointed to the plc board.

Jack Irvine, adviser to the Easdale family said: "They couldn't suspend him as this is contrary to the Companies Act and the club's Articles of Association as I said. Ergo, Mr Easdale wanted this inaccurate nonsense cleared up.

"He resented the suggestion of an 'investigation' when there was nothing to investigate and the club have now conceded this in their statement.

"Sandy simply wanted matters to be handled in a proper and legally sound manner and after a lot of hard work by his legal advisers this has now been achieved.

"Perhaps if Mr Gilligan was familiar with company law and his club's own articles this could all have been avoided. If he didn't ken before he'll ken noo! "

Rangers said that matters with Mr Easdale were resolved on an "amicable basis".

The club said: "Mr Easdale has agreed to resign from his directorships with the group with immediate effect and he does so wishing the club, its supporters and the new board every success for the future.

"The club thanks Mr Easdale for his co-operation in this changeover and confirms the investigation previously referred to will not now proceed. The club is also happy to confirm that Mr Easdale did not receive any remuneration in respect of the directorships he held with the club."

It is understood the investigation that led to the suspensions were to examine financial management in recent months including how a loan by Mike Ashley was favoured over King's £16 million takeover bid.

The Three Bears group of Park, George Letham and George Taylor also had a £6.5m loan offer rejected in favour of two tranches of £5m that were made available to Rangers' through Ashley's Sports Direct group.

As part of the loan agreement, Ashley's Sports Direct became the "ultimate controlling party" of Rangers Retail instead of the club plc and gained security over many of the club's precious trademarks.

Sports Direct also has security over Murray Park training ground, Edmiston House and Albion Car Park as a result of the loan.

The deal also gave Sports Direct the right to two representatives on the the board of the holding company Rangers International Football club plc. Llambias, a trusted lieutenant and Barry Leach, the chief executive of IBML, Sports Direct's licensing division has been seen as Ashley representatives until they were removed.

Phoenix Suns basketball team owner Robert Sarver also had a £20 million takeover offer turned down in January.

Fans have previously raised concerns that Mr Easdale, who owns McGill's bus company, previously had influence over 26 per cent of the shareholding and the voting rights at Ibrox. This was reduced before the EGM to around 20%. It is understood he abstained during the EGM.

Sandy Easdale, who is chairman of the operating company, had remained in position after his brother and business partner James resigned the plc board and all subsidiaries nearly two weeks ago.