Source: Team_Talk
Hearts vow to clear their debts
Hearts have vowed to settle a tax debt on Tuesday after being threatened with administration by Her Majesty's Revenue and Customs.[LNB] Papers were lodged in the Court of Session on July 29 by the Advocate General for Scotland on behalf of HMRC.[LNB]Hearts this evening released the following statement on their official website on Monday: "The club has been in discussions with Her Majesty's Revenue and Customs over the payment of an outstanding invoice.[LNB]"Hearts can confirm that payment will be made in full tomorrow."[LNB]The Notice of Petition for Administration Order, which was issued against Heart of Midlothian PLC under the Insolvency Act 1986, is available on the Companies House website.[LNB]It is understood no court date was set for a hearing into the matter and the club's payment should prevent further action.[LNB]The club, who host Tottenham in the Europa League on Thursday, were previously threatened with similar action from HMRC almost exactly two years previously.[LNB]A petition for 'wind-up' action was lodged against the Edinburgh club in July 2009, which the club claimed came as a surprise as they had a payment schedule in place with HMRC. The club vowed to meet the debt in full.[LNB]Hearts announced a return to profitability for the first time in 11 years when they revealed their financial results earlier this year. The Edinburgh club announced a profit of £39,000 in the year to July 31, 2010.[LNB]The profit, which followed a loss of more than £8.5million, came after parent company UBIG, owned by Hearts majority shareholder Vladimir Romanov, invested £7.9million in the club.[LNB]And a £10million debt for equity plan handing more power to Romanov in return for cutting the debt to around £25million, was approved in November 2010.[LNB]HMRC, who do not comment on individual cases, are also involved in disputes with Rangers and Sheriff officers last week visited Ibrox amid negotiations.[LNB]Rangers were hit with a bill of £2.8million earlier this year over a historical matter but are believed to be disputing a fine of around £1.4million relating to the issue.[LNB]Rangers last week stated they had reached "outline agreement" with HMRC over the issue with talks ongoing.
