Following the decision by the footballing authorities, Luton Town have issued a statement to pull on the heart strings of supporters everywhere.
The consortium who are the preferred bidder to buy the Hatters, Luton Town Football Club 2020 Ltd (LTFC2020), have been informed today of the conditions upon which the Football League will return the 'Golden Share' to the Club. The Football League have said they will provide further detail behind their decision to the Club tomorrow.
In a phone call to Gary Sweet, MD of LTFC2020, Andy Williamson, Chief Operating Officer of the Football League stated that the decision of the Football League board was that the share would be returned on the basis of the Club accepting three key penalties:
a)that the Club accept they will be
deducted 20 points during the 2008/9 season
b)that the club pay an additional half a million pounds for the club so that the
creditors receive 16p in the £
c)that the Club sign a letter relinquishing any rights of appeal
Stephen Browne, director of LTFC2020 said, "It's quite clear that we have made a mistake. We placed our faith in the footballing authorities. We have tried to do everything openly and honestly. We tried to give our best offer from the start. Obviously the very clear message from both the FA and Football League is that doing such a thing is a total waste of time. Once again the Club suffers from the mismanagement of the past. Once again the faithful supporters are left high and dry. Once again, a policy of honesty is not at all recognised by the football authorities who claim they want to clean up the game. Once again the Football League fail as who was it that cleared the previous owners as 'fit and proper' owners in the first place?"
Stephen continued, "The Football League had our application at the end of April. They have prevaricated because of the Leeds case and this has caused the administrator costs to rise as he has been managing the Clubs business for longer than needed. Even bearing this in mind, the Football League have decided to dictate what should be paid for the football club as it now appears that they are the only people who can set a purchase price for a football club. It's a gun to our heads because we also have to forego our right of appeal; or else we will not be allowed to stay in professional league football.
It is quite clear to me that to incur significant costs of seeking a CVA, as well as the extra time involved, is something that is a total waste of money. In addition, the Football League are confused - their statement says 'in line with recent precedent' when it was very clear from the Leeds case that the Football League were told NOT to view that outcome as a precedent."
When asked what will now happen, Stephen said, "We have already discussed this internally and we have decided unanimously that we will continue the fight by sticking to our principles of openness and honesty. People who should, in theory at least, be protecting supporters and encouraging honesty in the game will not bring us down. They are clearly trying to push Luton Town out of existence for mistakes that they should take part of the blame for. It is obvious that their Insolvency policy is in disarray and even after the Leeds case, they are still no nearer to bringing their policies in line with UK law. It's not a laughing matter anymore, but even so we will continue to ensure that Luton Town has a solid and sustainable future, despite what the Football League do to us."
LTFC2020 Ltd is currently in discussions with the administrator in order to bring an end to administration.