Hearts 'go into administration'

SPL side Hearts are to go into administration, Press Association Sport understands.

Last Updated: 17/06/13 at 17:26 Post Comment

Hearts: Facing administration

Hearts: Facing administration

Hearts are to go into administration, Press Association Sport understands.

The financially-stricken Scottish Premier League club are in the process of lodging papers at the Court of Session in Edinburgh and have approached accountancy firm KPMG to act as their administrators.

The club was faced with a winding-up order last week after Her Majesty's Revenue and Customs threatened action over an unpaid £100,000 tax bill, although the majority of that sum has been paid.

Hearts were also hit with an immediate transfer embargo by the Scottish Premier League last Friday after admitting they could not afford to pay their players.

The news came just 24 hours after the Gorgie board released a statement saying they had entered a "critical" stage in their battle to pay off debts of £25million as well as financing tax and running costs.

The entire Jambos squad was put up for sale in a desperate bid to raise the reported £500,000 needed to see the club through to the start of the new season.

The situation at the two Lithuanian companies which hold large stakes in the club has also raised fears for the future of the Edinburgh club.

Majority shareholder UBIG - which owns a 50 per cent stake in the club - and 29.9 per cent shareholder Ukio Bankas were both once controlled by Vladimir Romanov but are now in the midst of being declared insolvent by Kaunas-based authorities.

Ukio Bankas - which lost an appeal against liquidation last Wednesday - is due £15million by Hearts, who also owe another £10million to UBIG.

Politician Ian Murray is leading the Foundation of Hearts supporters' group who hope to buy the club, with a formal bid expected to be lodged by the end of the month. There is also interest from a number of other parties, including a Scandinavian consortium.


Click here for completely free £10 bet with Sky Bet


The club are now likely to face a 15-point penalty when the new SPL season kicks off on Saturday, August 3.

Top-flight rules state any club suffering an insolvency event will be stripped of 10 points or a third of their previous season's tally, whichever is the greater.

Hearts finished the 2012/13 campaign in 10th place with 45 points.

Related News

Most Commented

Readers' Comments

Y

ou can't blame De Gea for wanting to leave, he has enough to do in front of goal as it is as well as taking on the role of Man Utd's version of Derek Acorah in trying to contact and organise a defence that isn't there.

rodger's gusset
Van Gaal downbeat on De Gea

I

f you want to take six points off Arsenal, then that's a great strike force. Can't imagine either of them showing much for the rest of the season though...

foot in mouth
Adebayor & Berbatov: You Have To Admire The Balls

L

ooks like Real get their man, most likely at their own valuation, yet again. Resistance is futile.

paul7702
Van Gaal downbeat on De Gea

Footer 365

Digne agent denies Liverpool talks

Lucas Digne's agent has denied reports he has held talks with Liverpool regarding a move to Anfield for the Paris Saint-Germain left-back.

Mourinho scuppered Reds' Costa move

A new biography has revealed how Jose Mourinho scuppered Liverpool's bid to sign Diego Costa - a year before he arrived in west London.

Ramos 'extends' Real Madrid contract

Manchester United's pursuit of Sergio Ramos is over after the centre-back agreed a new contract extension at Real Madrid.

Mail Box

De Gea Disrespectful? Remember RVP...

We got dozens of mails from people pointing and laughing at Brian D for suggesting David de Gea has acted disrespectfully; we printed some. And there's more...

Getting Tired Of De Gea's Disrespect

One Manchester United fan is growing weary of David de Gea's disrespect. Plus thoughts on Southampton's summer, Balotelli loan, and Depay in the centre. Why?

© 2015 Sky Ltd. All Rights Reserved A Sky Sports Digital Media company