Post by Mrs H on Jul 23, 2010 9:38:58 GMT -1
Sheffield Wednesday have been served a winding up order by HM Revenue and Customs over an unpaid tax bill.
The action by HMRC relates to an outstanding PAYE balance which amounts to £550,000.
The club, who remain confident that the outstanding debt can be paid, will appear at the High Court on 11 August.
A club spokesman said: "We have been involved in dialogue with HMRC for a number of weeks. As such, we are disappointed by their decision."
He added: "Sheffield Wednesday would like to inform supporters their club is not about to be wound up.
"We understand that HMRC is taking a tougher line in general with football clubs, but feel their actions are disproportionate and will raise unnecessary speculation as to the financial situation of the club.
"We can inform supporters that the club, working in partnership with the Co-operative bank and their advisors, will seek to settle this matter as soon as practical."
The Co-operative bank has also issued a statement: "It is disappointing to note that HMRC has presented a winding up order in respect to Sheffield Wednesday Football Club.
"The Co-operative bank has been working extremely hard for some time with representatives of the football club and investors to explore ways to ensure its future stability.
"At present we are continuing to enter in to dialogue with our advisers, Sheffield Wednesday Football Club and potential investors to explore solutions which will allow the club to operate on a sound and secure financial footing for the future."
Wednesday are the latest club in England's top four divisions to be hit with financial problems, after Portsmouth became the first Premier League side to face administration in February with debts of around £70m.
The Fratton Park side, who currently only have 18 players registered after a series of departures from the club, are currently facing an HMRC appeal against the club's Company Voluntary Agreement (CVA) which could force them to remain in administration after the start of the Championship season.
Fellow Championship side Cardiff City faced their fifth winding up order in June to settle a £1.9m tax bill, before it was eventually withdrawn after an instalment was paid.
However the club now face another winding up order at the High Court on 11 August, over a new HMRC debt of £1.3m.
Preston North End also faced a winding up order in May, after being 20 days overdue in paying their tax and national insurance liabilities to HMRC.
Although that petition was dismissed, the club have since received further notification over an unpaid PAYE liability due on June 19, and are liaising with HMRC in relation to the unpaid bill, though to be over £400,000.
Elsewhere League Two club Southend face two trips to the High Court over unpaid debt.
An administration hearing at the High Court on 2 August has been brought over an unpaid HMRC tax bill of £238,710, and the club will return to London to face a winding up order over a separate debt owed to Charterhouse Finance on 11 August.
The Owls, who were relegated to League One last season, were involved in takeover talks in January with Chicago-based investment company Club 9 Sports, but no agreement between the two parties was made.
The action by HMRC relates to an outstanding PAYE balance which amounts to £550,000.
The club, who remain confident that the outstanding debt can be paid, will appear at the High Court on 11 August.
A club spokesman said: "We have been involved in dialogue with HMRC for a number of weeks. As such, we are disappointed by their decision."
He added: "Sheffield Wednesday would like to inform supporters their club is not about to be wound up.
"We understand that HMRC is taking a tougher line in general with football clubs, but feel their actions are disproportionate and will raise unnecessary speculation as to the financial situation of the club.
"We can inform supporters that the club, working in partnership with the Co-operative bank and their advisors, will seek to settle this matter as soon as practical."
The Co-operative bank has also issued a statement: "It is disappointing to note that HMRC has presented a winding up order in respect to Sheffield Wednesday Football Club.
"The Co-operative bank has been working extremely hard for some time with representatives of the football club and investors to explore ways to ensure its future stability.
"At present we are continuing to enter in to dialogue with our advisers, Sheffield Wednesday Football Club and potential investors to explore solutions which will allow the club to operate on a sound and secure financial footing for the future."
Wednesday are the latest club in England's top four divisions to be hit with financial problems, after Portsmouth became the first Premier League side to face administration in February with debts of around £70m.
The Fratton Park side, who currently only have 18 players registered after a series of departures from the club, are currently facing an HMRC appeal against the club's Company Voluntary Agreement (CVA) which could force them to remain in administration after the start of the Championship season.
Fellow Championship side Cardiff City faced their fifth winding up order in June to settle a £1.9m tax bill, before it was eventually withdrawn after an instalment was paid.
However the club now face another winding up order at the High Court on 11 August, over a new HMRC debt of £1.3m.
Preston North End also faced a winding up order in May, after being 20 days overdue in paying their tax and national insurance liabilities to HMRC.
Although that petition was dismissed, the club have since received further notification over an unpaid PAYE liability due on June 19, and are liaising with HMRC in relation to the unpaid bill, though to be over £400,000.
Elsewhere League Two club Southend face two trips to the High Court over unpaid debt.
An administration hearing at the High Court on 2 August has been brought over an unpaid HMRC tax bill of £238,710, and the club will return to London to face a winding up order over a separate debt owed to Charterhouse Finance on 11 August.
The Owls, who were relegated to League One last season, were involved in takeover talks in January with Chicago-based investment company Club 9 Sports, but no agreement between the two parties was made.
Forever without exception. x
