Dundee future remains in balance

Last updated : 07 January 2011 By BBC Sport

Dundee could yet go out of business, administrator Bryan Jackson has warned, with the tax authorities holding the key to their future existence.The tax man is seeking £550,000 as the First Division club agreed to pursue a creditors voluntary arrangement in a bid to come out of administration.

"We'll put a proposal to all creditors which, if accepted, will take the club out of administration," said Jackson.

"If not accepted, it could actually mean the club terminating."

Jackson was speaking after a lunchtime meeting at Dens Park that was arranged to pass a resolution for a CVA.

"The vote today needed over 50%," he explained, adding that an offer would be put to creditors on 28 January.

"Unfortunately, the vote for a CVA [to be accepted] needs over 75%. That's where it gets very tight.

"HMRC voted against today and they have a significant claim. That claim is probably about 25% of the total claims, so that's how tight it is."

Jackson hopes to agree a lesser claim from HMRC, saying that he thought their estimated debt was around £100,000 less.

Those made redundant when the club went into administration in October, including nine players and the management team of Gordon Chisholm and Billy Dodds are also seeking payment, along with local businesses and investors.

Jackson would not be drawn on figures but did say that the offer of a dividend was going to be small.

"I don't want to be over pessimistic for everybody but I can't be over optimistic and fall on my face either," he said, when asked about the club's survival chances.

"If you look at the creditor who voted against today that creditor has about 25% of the vote so it's very tight.

"HMRC obviously have their own agenda. They are in charge of taxpayers' money."

Source: BBC Sport

Source: BBC Sport