Revealed: list of Gretna creditors owed £4m

By Amanda Little

Last updated 20:54, Thursday, 24 April 2008

GRETNA Football Club could be forced into liquidation with debts of nearly £4 million.

Ron MacGregor

Administrators now controlling the stricken club have called a meeting for May 8 with 139 individuals and businesses owed money following the collapse of financial affairs at Raydale Park after owner Brooks Mileson ended his backing following an illness.

The creditors’ claims include £1.871m loaned by Mileson and one of his companies, Heartshape.

In a statement of the club’s affairs obtained by The Cumberland News, the Sheffield-based administrators, Wilson Field Limited, have estimated the club’s debt at £3,734,811.53.

Former manager Rowan Alexander is claiming £800,000, HM Customs and Excise are demanding £136,292 and the Inland Revenue is owed £439,762.

Carlisle City Council is owed more than £2,000 and the University of Cumbria is claiming £74,000. The club’s now defunct youth academy was based at the university’s facility at Newton Rigg, Penrith. Also on the list are former players James Grady and Martin Canning, who are claiming £20,000 and £9,000.

The outlook remains bleak for Gretna, who were placed into administration in March.

The club’s fate could now be in the hands of creditors, who have the chance to meet with joint administrators David Elliott and Lisa Hogg at the Smiths Hotel in Gretna Green on May 8.

Gretna could face a winding up order if creditors do not feel the club is able to continue trading.

The administrators would then take steps to close the club and place it into creditors voluntary liquidation (CVL).

Gretna, who have been relegated from the Scottish Premier League after a turbulent season, could be saved if a new buyer can be found and is willing to take on their liabilities.

Glasgow-based football consultant and agent Paul Davies is among three potential buyers, but they are yet to make a move.

Gretna’s only tangible assets are the land and property at Raydale Park which are listed with a value of £824,000. The club, which only two years ago reached the Scottish Cup Final at Hampden Park, has been able to see out its final fixtures this season because of a £272,000 advance from the SPL.

But long-serving chairman Ron MacGregor, who along with Mileson is listed as one of only two directors, has played down fears the club could close in a fortnight. He said: “I do not expect that to happen. We are optimistic a buyer will be found and we are keeping all our hopes alive to try to soldier on.”

The administrators’ bill is so far more than £250,000 – at a rate of more than £200 an hour.