Coventry City Under Transfer Embargo - 23/10/2007

Coventry City have been subjected to a Football League transfer embargo. It was imposed after the Sky Blues reportedly failed to meet instalment payments from Leon Best's transfer from Southampton. The club was plunged into crisis after US-based Manhattan Sports Partners withdrew from a long drawn out takeover bid. The club has debts that some sources estimate at £38m. They rent the Ricoh Stadium for £1 million a year and their only tangible asset is the Ryton training ground. Nevertheless, the club insisted in a statement that 'takeover talks with other groups have progressed well in the last seven days, and a solution is in sight.' However, if the club was forced into administration, any potential bidder could acquire the club much more cheaply.