Portsmouth are likely to run out of money by mid-April and may not be able to complete the season’s fixtures. Should that happen the results would be expunged. The last time this happened in the Football League was in 1992 when Aldershot and Maidstone United went out of business.
Portsmouth are likely to run out of money by mid-April and may not be able to complete the season’s fixtures. Should that happen the results would be expunged. The last time this happened in the Football League was in 1992 when Aldershot and Maidstone United went out of business.
The Premier League does not normally make payments to third parties, as joint administrator Trevor Birch made clear in a clarification statement issued today. However, under the terms of the previous administration, £2.2m of parachute payments will go to the company being wound up by liquidators. They are settling debts of £16.5m including money owed to former owner Alexandre Gaydamak.
It had been hoped that the parachute payments would cover costs until the summer transfer window. Each home game generates £150,000, but monthly costs are four or five times that sum. Portsmouth’s central payments of about £200,000 a month from the Football League will be frozen until they exit administration.
Parachute payments over the next two seasons of £14m could also go to repaying creditors from the previous administration, making the club less attractive to potential purchasers, not many of whom have been in evidence.