Nick P asked the following questions on the Notts mailing list........

The other thing that I'm wondering about at the moment is the process that the administrator is following after accepting an offer for the club. Will a meeting of shareholders be called and will their be a vote to decide whether to accept the offer. Can the decision be blocked if just one of the criditors doesn't agree?


The supposedly straight forward answer is as follows. For a new company (such as that fronted by the Strang/Bhatia consortium) to take over the league registration of NCFC they have to satisfy all football creditors and have a creditors voluntary arrangement (CVA) agreed to take us out of administration. For the CVA to be agreed 75% (by value of debt) of the present and voting creditors have to agree which means that creditors totalling 25% can block the arrangement.

The estimated debt at present is £6m so anybody owed more than £1.5m (or a combination) could block the arrangement. If there is no agreement then the responsibility rests with the administrator to liquidate or take the best offer (according to Paul Finnity). However the problem then lies with whether the football league will allow their rules to be flagrently broken. In our latest discussions (yesterday) Nick Craig, the league's legal man, was adament that they would adhere to the rules.

This is a highly worrying situation and not the cosy picture painted in the local media in the past week and why the Trust remains cautious about the prospects of an imminent resolution.

Regards
John (Interim Chair)