CREDITORS owed money by the former owners of Darlington FC are unlikely to receive a payout, liquidators have warned.
Darlington FC 2009, which was formed by former chairman Raj Singh , is in the process of being liquidated by Yarm
accountants Taylor Rowlands.
Liquidator Harvey Madden said the company’s total debts were still being calculated, but it is believed Mr Singh is the biggest creditor and is owed about £800,000.
Mr Madden said: “Ideally, we would have exited administration with a company voluntary arrangement (CVA) but that was not possible, so the only available route was to put the company into
“We’ve finalised the administration and we’re now in the process of going through the liquidation.”
Mr Madden said his office had contacted creditors to find out how much the company owed.
“If there is money left at the end of the day, there may be a dividend to creditors. However, I’ve got to say it doesn’t look likely.
“Maybe the preferential creditors will get something, but it doesn’t look like there will be anything left for the unsecured creditors.”
Mr Madden confirmed that Mr Singh was an unsecured creditor.
Mr Madden said he planned to travel to London speak to Fulham FC regarding clauses in the contracts of former Quakers players Dan Burn and David Stockdale before the company was liquidated.
Darlington FC 2009 retained half the rights to the clauses, while Darlington 1883 (DFC 1883), which now owns the Quakers, owns the second half of the rights.
Commenting on the clauses, Craig Mckenna, DFC 1883 project manager, said: “It’s no secret that 1883 would benefit from any revenue that is generated from the Dan Burn and David Stockdale clauses.
“We’re obviously hopeful that Harvey’s discussions with Fulham will generate a cash boost for the football club.”
DFC 1883 yesterday reported that about £2,000 was collected at the Alf Ramsey Knew My Grandfather production, that was staged last week at Darlington Civic Theatre.
The show also made a reasonable profit for the club, although the total is not yet known, Mr McKenna added.