Recently, a number of people of have been arguing that an SPL without a Rangers "newco" would benefit Celtic and the other teams. I don't think that's true, but that it should happen regardless
I think that while life might be more interesting for a resurgent New Firm (and the third division would have a field day), in general, without Rangers the SPL would be less interesting, especially for those in other countries. A less interesting league would mean less TV money, smaller crowds, and especially less chance of attracting decent foreign players. I can foresee teamsheets akin to those in the early 80s with the exception that the McStays, Millers and McLeishes would move to England at the earliest opportunity. While Scottish teams would get more participation in Europe at Rangers' expense, it's doubtful if they could compete at the same level as they do now.
I'm certain that Celtic could survive and if the other teams downsized there's no reason why they couldn't as well, but Scottish football could become a backwater.
However, when it comes to deciding what should happen to a phoenix Rangers, none of this matters. How it affects any club or any group of clubs should have no bearing on how to dispense justice. Justice is blind, and the rules should be applied equally, ignorant of who is subject to them. The decision to re-admit to Rangers directly to the SPL would be saying "Rangers can never be allowed to leave the SPL". By implication, Rangers could never be relegated because it wouldn't be "good for Scottish football". I'm a football fan more than a Celtic fan. If Celtic start a basketball team, I won't watch it, but I'll happily watch Forfar playing football. The point at which Rangers (and by extension, Celtic!) are subject to different rules from Aberdeen, is the point Scottish football is no longer a sport. It would have no integrity or principle and would be little better than WWE
The implications of competing in an SPL with a new Rangers are unthinkable. Before it could start there would surely be legal challenges from the first division teams which would make Sion seem compliant. A decade of financial cheating would be condoned by the organisations that are meant to police it. There would be no reason for other clubs not to follow suit as long as they would be clear of relegation. The sixth team in the SPL could write off all their debts every year immediately after the split, having spent millions they didn't have, or just not bothered paying their taxes. Soon, no-one would lend to a football team unless at usurious rates.
If Rangers are found to have cheated financially for a decade, there is no happy ending for Scottish football; no solution which doesn't leave the game damaged. If Celtic's standing in the game has to be hurt in order to maintain the integrity of the game, that is what must happen.
Better the financial death of Scottish football than the moral death of Scottish football.
