Source: Telegraph
Portsmouth heading into administration
Telegraph Sport can disclose that Chainrai has set a South African consortium interested in taking on the club a deadline of the end of business today to provide proof of funds, but has no expectation of them meeting it. [LNB]With a High Court winding-up order from Her Majesty's Revenue and Customs next Monday over £12m of unpaid tax scheduled for Monday and the club's total debts exceeding £70m administration has become the likeliest option. It would prompt a nine-point deduction and certain relegation but it would give the club a chance of avoiding going out of business altogether. [LNB]Blackburn line up Peter CrouchPortsmouth chief executive Peter Storrie has spoken optimistically about an un-named South African consortium providing proof of funds to take on the club this week, but Chainrai is not hopeful of a deal. [LNB]Storrie appears to have been marginalised by Chainrai, with the Hong Kong businessman thought to be personally handling efforts to avoid liquidation. Chainrai and business partner Levi Kushnir, who took control after the club defaulted on repayments of an £18m loan, are in London this week to settle its future. [LNB]Should the club voluntarily file for administration supporters will be watching developments carefully. HMRC and former owner Sacha Gaydamak, who claims to be owed £30.5m, are likely to have to settle for a fraction of their outstanding debts. [LNB]Chainrai would be in a stronger position as he currently controls Fratton Park, and is proposing to lease it to the club for around £1m a year until his debt is repaid. That would amount to half of the club's television income in the Championship. [LNB]A source close to Chainrai said that he is determined to ensure that the club survives even if it means administration. 'Administration would mean relegation but it would give the owner a chance to clean up the finances and start again without the threat of going out of business altogether.'[LNB]
