Portsmouth FC could exit administration
Thu 17th Jun 2010 | Money & Finance
Portsmouth's creditors have voted overwhelmingly in favour of a deal which should see the club exit administration according to Football365.com.
A total of 81.3% of the creditors voted in favour of the Company Voluntary Arrangement (CVA) which will see them receive only 20p for every pound they are owed over the next five years.
That would allow the club to come out of administration and avoid any points deduction in the Championship next season.
However HM Revenues and Customs, who opposed the agreement, still have 28 days to appeal against the decision.
Portsmouth's administrator Andrew Andronikou told the meeting that the CVA had been "duly approved". He also said that he had managed to reduce HMRC's claim from £37million to £24million, in effect preventing them blocking the CVA agreement.
HMRC could still go to court to challenge the amount of debt the administrators says they are owed.
Nigel Tresidder, chairman of the Pompey Supporters' Club central branch, attended the meeting and said he was buoyed by the outcome but concerned about the likelihood of HM Revenue and Customs appealing.
He said: "It's excellent news other than HMRC have 28 days to appeal against it.
"I think the people in charge of the club are confident of winning any appeal but it's time the uncertainty came to an end."
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