Group considers how to deal with Folkestone Invicta's debts
Comments |
Folkestone Invicta
shareholders will attend a special meeting at Stripes Club on
Friday night to consider a rescue plan for their club.
The Folkestone Invicta Recovery Group, made up of the club’s
remaining directors plus a handful of supporters, have called the
meeting to discuss how best to deal with Invicta’s £170,000 debts,
the majority of which is owed to the Inland Revenue.
Mark Jenner (pictured), a member of
the Recovery Group, said that the shareholders would be asked to
support a pre-agreed Creditors Voluntary Arrangement (CVA) to keep
Invicta alive.
The CVA, which would last for five
years, proved a successful route back to recovery for Dover
Athletic when they were facing similar financial problems several
years ago.
Mr Jenner said: "We owe in the
region of £170,000 and of that figure, £135,000 is owed to the
Inland Revenue, with the other major creditor being HSBC Bank, both
of whom, I would like it to be known, have been very supportive
towards the club in this situation.
"If the shareholders support the
CVA plan, we will be given a five-year period to pay off our
creditors in monthly instalments and in addition, the Inland
Revenue will reduce the amount we owe them to £70,000.
"Full details of the settlement,
which is not the same as going into administration, will be
outlined and the club’s officials will also outline the future
composition of the board and plans to transfer ownership into a
Supporters Trust."
One of the downsides of taking the
CVA route will be that Invicta will automatically be deducted 10
points by the Ryman League, which would see them knocked off the
top of Division 1 South for the first time since early
December.
Manager Neil Cugley, who is himself
a shareholder, said: "It’s all a bit of a nightmare which has been
hanging over the club for the past 16 months and now it’s all come
to a head.
"The ironic thing is that none of
the problems have been caused by the present side, which is
inexpensive and hard-working.
"But, whatever happens off the
field, all we can do is to get on with it and try to keep winning
matches."
Invicta face two further away games
in the space of four days as they seek to recover from their first
defeat in 12 matches.
On Saturday they are away to Walton
Casuals and then on Tuesday they will make a return trip to Surrey
to meet fourth-placed Godalming.
Wednesday, February 03 2010
The KM Group does not moderate comments.
Please click here for our house rules.