Poor day for football finances yesterday.
Firstly Portsmouth administrator axes 85 of the 320 backroom staff - nearly half of the staff are part time already. The Administrator also said that if Portsmouth drop to the Championship (an almost certainty) then further cuts would be necessary.
http://news.bbc.co.uk/2/hi/business/8560834.stmSecondly Chester City have been wound up in High Court in London yesterday. After a proud history spanning 126 years the now Conference side were done in for a meager £26,125 it owed to the tax man. Fans will attempt to re-create the name in some guise but, according to the rules, it will have to start it next life at an even lower division of football. Last year it was relegated out of the bottom level of league football. Attendances this year had almost halved from the 2,500 down to about 1,200 this year.
http://news.bbc.co.uk/sport2/hi/footbal ... 559704.stmThirdly Cardiff City were given a bit of a lifeline when a judge decided that they have until 5th. May to pay HMG the £1.9m it owes on taxes. Cardiff believe they can raise most of that with the sale of land & also suggested that a mysterious "Asian businessman" was willing to invest heavily in the club. Lawyers for HMG were singularly unimpressed by all this & wanted Cardiff wound up immediately - saying Cardiff was.
plainly insolvent
. The judge disagreed & has allowed time to pay. Cynics might suggest that the judge is easily swayed by words & knows little of the history of football financial management - given that the Cardiff Chairman is Peter Ridsdale formerly much revered (or is that reviled ??) in Leeds..
http://news.bbc.co.uk/sport2/hi/footbal ... 557188.stmFinally Southend United were also offered a 35 day reprieve by the High Court to pay the £183,000 HMG claims it is owed. This is not an open & shut case as the club hotly dispute that the money is owed, but arguing with the Revenue is like appealing to their better side - usually a waste of breath!! Professional Footballers' Association paid Southend players' wages for January, which shows that they are unlikely to be able to pay if the Revenue persist...
http://news.bbc.co.uk/sport2/hi/footbal ... 559824.stmMaybe some good news for another club battling debts though - Crystal Palace..
Massimo Cellino, the president of Italian club Cagliari, is "very close to an agreement" to buy Crystal Palace, according to Italian sports daily Corriere dello Sport.
Full story: imscouting.com